Firm dissolved in 1 month-how to surrender pan ?

This query is : Resolved

CA Abhishek Singh (Querist)
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18 October 2012 hello everyone,

a partnership firm was dissolved within 1 month of formation. firm has not done any business till the date of dissolution. there were two partners and entire capital was contributed by one partner and he has taken over the firm and doing it as proprietorship.

My question :
How to surrender the PAN of the firm ?

shivaji prasad bhimavarapu

shivaji prasad bhimavarapu (Expert)
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18 October 2012 Though the firm is dissolved,ITR has to be filed for this One month period to avoid 271 F penalty.So, in my opinion, it is better NOT to surrender now it self and let the time pass by to meet all obligations. In the mean time, intimate of dissolution of the Firm to the Concerned AO with proper acknowledgement.Any further discussion by other experts invited.

Asha Kanta Sharma

Asha Kanta Sharma

(Expert)
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24 July 2024 To surrender the PAN of the partnership firm that was dissolved without conducting any business and where one partner has taken over and is now operating it as a proprietorship, you can follow these steps:

1. **Prepare Surrender Application**: Prepare an application for surrendering the PAN of the partnership firm. This application should include details such as the PAN of the partnership firm, the reason for surrender (in this case, dissolution without any business activities), and any relevant details about the subsequent proprietorship.

2. **Supporting Documents**: Gather supporting documents such as:
- Certificate of dissolution of the partnership firm, if available.
- Copy of the partnership deed showing the dissolution.
- Any other relevant documents showing the change in business structure (e.g., documents related to the proprietorship).

3. **Visit the Nearest Income Tax Office (ITO)**: Locate the nearest Income Tax Office (ITO) or PAN card office. Visit the office with the following documents:
- Application for surrender of PAN of the partnership firm.
- Certificate of dissolution of the partnership firm.
- Copy of the partnership deed.
- Any other documents as required by the ITO.

4. **Submit Documents**: Submit the application and supporting documents to the concerned officer at the ITO. Ensure that you obtain an acknowledgement receipt for the documents submitted.

5. **Follow Up**: After submission, follow up with the ITO regarding the status of your application. The processing time can vary, but typically, it takes a few weeks for the Income Tax Department to update their records and confirm the surrender of the PAN.

6. **Confirmation of Surrender**: Once the surrender of the PAN is processed, you should receive confirmation from the Income Tax Department. This may be in the form of an intimation letter or an updated status on their website.

It's advisable to keep copies of all documents submitted and the acknowledgement receipt for your records.

If you have any specific queries or need assistance during the process, consider consulting with a tax professional or legal advisor who can provide guidance tailored to your situation and ensure compliance with all regulatory requirements.

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