Govt mulls making PAN as Business Identification Number for companies, firms

In what could now cut down the time taken for registration of companies and firms, the government is planning to make the permanent account number (PAN) as the Business Identification Number. It means there would no longer be need for a tedious procedure of separate registration with authorities - registrar of companies, direct and indirect tax wings, the labour department and for export and import etc.

During a meeting called by industrial policy and promotion secretary Amitabh Kant late last month, it was reportedly discussed that PAN issued to corporate entities by the Central Board of Direct Taxes (CBDT) could serve as the unique ID for registration with all central government departments.

The consideration was on the basis that as of now, entities first need to get a Company Identification Number (CIN) from registrar of companies, followed by PAN from the income tax department and labour identification number.

Also, the government is trying to make eBiz issue unique ID for all registrations, a project which was conceived as the one-stop shop for all clearances from central, state and local authorities several years ago, but has not yet produced the intended results with even central government agencies not fully linked to the portal.

The department of industrial policy and promotion (DIPP) is now going to make a fresh bid to get all agencies and their service providers (the private sector IT companies such as Infosys and TCS) to come on board for the project.

(Image credits: BCCL)