In India, we have so many identity cards. We have voter ID cards, ration cards, Aadhar cards, PAN cards, passport and the list is long. It is obvious that a person can get easily confused over cards on as which card can be used for which specific purpose. Can PAN card will work at place of Aadhaar card, can I use Aadhar card at the place of Voter ID card and many questions like these keep on coming up. Two of the most confusing identity cards are Aadhar cards and PAN cards. Let’s clear the confusion.
|Aadhar Card||PAN Card|
|Can be used as Identity Proof?||Yes||Yes|
|Can be used as Address Proof?||Yes||No|
|Can be used as date of birth proof?||Yes||Yes|
|Issuing Authority||UIDAI||Indian Income Tax Department|
|Unique Code||12 Numeric Digits||10 Alpha numeric digits|
|Affected by change of address||Yes||No|
|Documents Needed||Proof of identity, Proof of Address and Proof of Date of Birth||Proof of identity, Proof of Address, Proof of Date of Birth and photographs|
|Can be applied online||No||Yes|
|Is it free||Yes||No|
Use of PAN card
Permanent Account Number or PAN is mainly used for financial transactions. If you wish to do any financial transaction above Rs 50,000, it is mandatory to have a PAN card. It is mandatory to have a PAN card for:
- Sale or purchase of any immovable property valued at five lakh rupees or more.
- Sale or purchase of a motor vehicle or vehicle excluding two wheeled vehicles.
- A contract of a value exceeding one lakh rupees for sale or purchase of securities.
- Opening a bank account or while making an application for installation of a telephone connection.
- Payment to hotels and restaurants against their bills for an amount exceeding twenty-five thousand rupees at any one time.
- Payment in cash in connection with travel to any foreign.
Is it compulsory to have a PAN card?
No, not everyone needs to have a PAN card. But, it is compulsory for:
- All existing assesses or taxpayers or persons who are required to furnish a return of income, even on behalf of others.
- Any person carrying on any business or profession whose total sales, turnover or gross receipts are or is likely to exceed five lakh rupees in any previous year.
- Any person, who intends to enter into financial transaction where quoting PAN is mandatory.
Uses of Aadhar card:
Aadhaar card can be used as proof of identity, proof of address and as a proof of date of birth. It can be used for opening a bank account, doing online shopping, getting a new mobile connection etc. It is not mandatory to have an Aadhar card but if you wish to be a part of Pradhan Mantri Jan Dhan Yojana, having an aadhaar card is mandatory. Apart from that, there are few changes in the looks of the card. While an Aadhar card can be used on a paper, a PAN card can only be used as a plastic card.