The ease of doing business in India, has taken new a dimension.
Automation! Is the new catch phrase outlining the corporate culture in India. The government is trying their best to make the Incorporation of a Company more transparent and easy, in the spree to promote start-up culture in India.
The Central Board Of Direct Taxes and The Income Tax Department has made real-time affiliations with Ministry of Corporate Affairs to streamline the allotment of PAN and TAN within 24 Hours.
# The Journey So Far
The MCA portal which aids Company incorporation in India has undergone tremendous updates owing to the changed government policies and reforms.
Initially, the companies had to apply for PAN and TAN manually, post the incorporation procedure.
To do away with such hassles, MCA introduced a new integrated E-form for incorporation. Such integrated form provides a base for filing company's Memorandum of Association and Articles of Association in the Electronic form.
Moreover, there is an additional feature to apply for PAN and TAN within the form. The same will be sent via e-mail in the form of E-PAN in addition to the physical PAN Card.
# The Procedure
On submitting the common integrated SPICe E-form, with the MCA portal, the data is processed at the respective Registrar of Companies and is eventually shared with the Central Board of District Taxes by MCA.
The CBDT immediately issues PAN and TAN, within a day’s time.
#The Success Story
MCA in association with CBDT has already allotted PAN and TAN to the following:
• Upto 31st March 2017: 19,704 new applicants were allotted PAN/TAN
• In March 2017: 10,894 new applicants were allotted PAN/TAN
CBDT has further shown excellence by providing PAN and TAN in approx 95% cases within just 4 hours compared to the 24 hours challenge.