New PAN card rules from today: Here's all you need to know

The IT department has taken several recourses in technology and automation in several areas such as pre-payment of taxes, filling of returns, refunds, among others, Chandra said, adding that the availability of PAN cards in four hours will begin within a year.

The IT department has also modified PAN card rules to prevent tax evasion wherein it will not be mandatory to mention applicant's father’s name. The department has made an exception for those whose mother is a single parent.

It may be noted that from December 5, new PAN card rules will come into effect.

The department also said that PAN applicants will continue to have a choice to choose the name they want to be printed on the card.

The tax department has made it mandatory to hold a PAN card for all entities doing transactions worth at least Rs 2.5 lakh per annum.

“In the case of a person, being a resident, other than an individual, which enters into a financial transaction of an amount aggregating to two lakh fifty thousand rupees or more in a financial year and which has not been allotted any permanent account number, on or before the May 31, immediately following such financial year,” the department said. The rule is also applicable to the top management of the companies.

Taxpayers may soon get a relief from the hassle of filing their Income Tax return forms as the government may soon start “pre-filled” forms, Chandra said, adding that the user may only need to endorse their IT return forms which will already be filled with the taxpayer’s income, income sources and personal details.

The reform brought in the IT return forms will expedite the process for the government. The centre is also working towards completing the process of return within a week, he added.