The Income Tax Department is planning a major digital revamp of India’s PAN and TAN systems.
The new system, called PAN 2.0, is designed to make the entire process of getting, updating, and managing PAN (Permanent Account Number) and TAN (Tax Deduction and Collection Account Number) faster, simpler, and more secure.
To lead this upgrade, the government has chosen LTIMindtree, part of the Larsen & Toubro Group.
The overall cost of the project is Rs 1,435 crore, and LTIMindtree won the contract with an adjusted bid of around Rs 792 crore, according to officials.
What is PAN 2.0?
PAN 2.0 is a large-scale digital project aimed at improving how individuals and businesses register and manage PAN and TAN.
With over 78 crore PANs and 73 lakh TANs currently in the system, the upgrade will bring all related services under one platform for better efficiency and convenience.
The goal is to modernise and simplify taxpayer services through a new, unified online system that ensures quicker processing and better user experience.
What Will Change for You?
PAN 2.0 will bring several user-friendly improvements, including:
One single online portal for all PAN and TAN services
A fully digital and paperless process, making it faster and eco-friendly
PANs issued for free with quicker turnaround times
Enhanced data security with a PAN Data Vault to protect user information
Dedicated call centre and helpdesk to support users
The system aims to offer a smoother and more reliable way for individuals and organisations to access tax-related services.
When Will PAN 2.0 Be Ready?
The upgraded system is expected to be live within the next 18 months. A person familiar with the project confirmed the timeline.
The project was approved by the Cabinet Committee on Economic Affairs in November 2024, and development is now underway.
Why This Matters
By merging PAN and TAN services into a single platform, the government aims to:
Deliver faster and more reliable services to taxpayers
Reduce operational costs through automation
Improve transparency and compliance
Make it easier to track financial activities for better tax monitoring
Once launched, PAN 2.0 is expected to become a key part of India’s digital tax infrastructure, benefiting millions of users across the country.
