First of its kind, transgender to be recognized as independent gender category in PAN form

New Delhi, April 10: Welcoming new changes and inviting new ideas, the aim has always been to imbibe and create equality for all. Keeping this perspective in mind, there are some amendments made in the Income Tax rules that will now allow transgenders to be recognised as an independent category of applicants for obtaining a Permanent Account Number (PAN) for their tax-related transactions. The move is to help transgender obtain their PAN card and help them link it with their Aadhaar cards.

 

A notification was issued by the Central Board of Direct Taxes (CBDT), which frames policy for the department providing a new tick box for the transgenders to apply for PAN.The notification, issued under sections 139A and 295 of the Income Tax Act, specifies the new application process for obtaining a PAN number by an individual. Till now, only male and female gender categories were available to be chosen on the PAN application form.

This decision has been taken framing the issues and hassles faced by the transgender community in obtaining PAN card as Aadhaar had issued the third gender category. The transgenders were not able to link their PAN with their Aadhaar due to this anomaly; hence this decision has come in effect.

The amendment will now be reflected in Form 49A (PAN application form for Indian citizens) and 49AA (PAN application form for individuals not a citizen of India). Section 139 AA (2) of the Income Tax Act says that every person having PAN as on July 1, 2017, and eligible to obtain Aadhaar, must intimate his Aadhaar number to the tax authorities.

PAN is a 10-digit unique alphanumeric number alloted by the Income Tax department to individuals and entities. The government has now made quoting of Aadhaar mandatory for filing income tax returns (ITRs) as well as obtaining a new PAN.

As per updated data till March 5, over 16.65 crore PANs, out of the total about 33 crore, have been linked with Aadhaar. The deadline to link these two has been extended recently till June 30 by the CBDT.