PAN card is now an essential ID proof or document for Indians. There is no age limit for issuing the PAN card. Many think that this ID proof is only essential for adults, but not for kids under 18.
However, this is not true. No matter what age your kid is, issuance of the PAN card is now important. Do not be under the impression that the PAN card will be important once your kid turns into an adult and starts earning. There are companies that issue pan card online for your kid, which you can use for the ID proof.
When does the Kid need PAN card?
Your kid will need the PAN card if you are making him/her nominee for your investment purpose. In much investment where you keep your kid as the nominee, you will be asked to submit the PAN card of your kid. Not just for investment purpose, but also for opening up the bank account.
In case, your kid is earning, the income from the kid through salary or investment isn’t taxable unless-
- The child has a physical disability.
- The child earns through her own skill, knowledge, or talent.
- The child has earned an income on his or her own.
Process to apply for PAN Card for kid-
The process of applying for a PAN card online or offline for your kid is quite easy and fast. Here are the steps to follow-
If Applying Online-
- Visit the official website of NSDL and look for the online PAN Application tab
- You will now need to fill form 49A online.
- Go through the instructions carefully.
- Fill in all the necessary personal details on that form
- Upload supporting documents and photographs. Supporting documents include age proof, address proof, and more.
- You will now be required to upload your signature. If you have created a digital signature of your kid, then upload it
- You will have to pay the required amount of fees via demand draft, debit card, credit card, or net banking.
- Click on the ‘submit’ button, and you will get acknowledge number to help you track your application status.
- If you have chosen demand draft as the mode of payment, then you can enclose all the supporting documents, if not uploaded.
If Applying Offline-
- First, download the form 49A from NSDL website
- Fill the document with right details and submit the same in the nearest NSDL office
- The PAN Card sent to the address provided after verification is finished
- In case of Updating PAN Card for minor after becoming major
Once your child turns adult, you will need to update the PAN card. The update includes the picture of your kid. You will get the PAN card application form online and offline both. Below is the process-
Open up a Fresh Account-
Your kid will need to open up a fresh account. He/she will need to either use form 49A or 49 AA.
Fill the Form-
Fill the form with right correct details about age and other essential updates.
Document and Payment–
Submit the form with right documents along with the payment. Indian citizens need to pay INR 107 while NRIs are required to pay INR 989.
The entire update process will take a week and is delivered at your mentioned address.
Uses of PAN card–
The PAN card is now useful for various purpose. Mentioned below are some of the uses of PAN card-
For IT returns filling-
If you and your kid are eligible for income tax then you are expected to pay IT returns. Using PAN card is important document to submit along.
For opening bank account-
When you are opening a new account for self or your kid, you will need to submit the PAN card as a part of document.
Applying for Debit or Credit Card-
If you are applying for a debit or credit card, then you need to submit the PAN card as a part of regulations.
