Full Form of TAN | TAN Full Form | What is TAN | About TAN
Full Form of TAN is Tax Deduction and Collection Account Number: TAN stands for Tax Deduction and Collection Account Number. It’s issued by income tax Department of India to those people and companies who are needed to deduct or pay tax on payments created by them, underneath the income tax Act, 1961. Under Section 203A of the income tax Department, it’s necessary to provide the TAN in all TDS returns and Challans while paying tax. So, TAN is the account number that is used to pay the tax, without having a TAN you can?t pay the tax. On receiving the tax quantity the income tax department verifies the number and if the taxpayer has deposited an additional tax by mistake then the additional tax are credited into his account. Full Form of TAN.
TAN could be a ten-digit alphanumerical number. The primary 3 letters of TAN represents a city, the fourth letter is the initial of the taxpayer and also the next 5 numbers and the last letter make the TAN unique.
According to Wikipedia:
In India, a Tax Deduction and Collection Account Number (TAN) is a 10 digit  number issued to persons who are needed to deduct or collect tax on payments created by them beneath the Indian Income Tax Act, 1961. The Tax subtracted at Source on payments created by assessees is deposited beneath the TAN to change the assessees who have received the payments to assert the tax subtracted in their revenue enhancement come. TAN is applied through “Form No. 49B” (prescribed beneath Indian revenue enhancement Law). A completed kind is submitted on-line at the NSDL web site or at the “Tax info Network Facilitation Center” (TIN-FC). These centers square measure established by NSDL, an appointed intermediator by the Central Government, across India.
TAN is needed to be quoted in all TDS/TCS returns, all TDS/TCS payment challans and all TDS/TCS certificates to be issued. TDS/TCS returns won’t be accepted if TAN isn’t quoted and challans for TDS/TCS payments won’t be accepted by banks. Failure to use for TAN or not quoting an equivalent within the such documents attracts a penalty of Rs. 10,000 No documents are needed to be filed with the appliance for allotment of TAN. However, wherever the appliance is created on-line, the acknowledgment (a PDF file) that is generated once filling up the shape should be forwarded to NSDL. careful tips for the procedure are out there at NSDL web site. A TAN application ought to a company a ‘proof of identity’ and a ‘proof of address’ (photocopies) of the deductor. within the case of on-line applications, these documents have to be compelled to be sent over mail (post/courier) to NSDL – TAN Application division.
For TAN fill up the form no. 49B. Then attach all the specified documents like identity proof and address proof and submit it at the website of NSDL or Tax info network facilitation centre.
On receiving the TAN application form, the NSDL department verifies the details and sends the appliance form to tax department.
The tax department approves the appliance and sends a unique number (TAN) to the NSDL department.
The NSDL department informs the applier regarding the TAN.