12 March 2014
Registration is required once your receipts exceed 9 Lacs and collection and payment liability will start after your receipts exceed 10 Lacs.
05 May 2014
sir i want to know when to get a TAN No. , (1) if we have 3 to 4 Prop. business with same pan card and , (2)is this required to get TAN No. for evry Prop. Business or to get only on one Individual Pan card,
10 August 2024
**Tax Deduction and Collection Account Number (TAN)** is required for entities or individuals who are responsible for deducting or collecting tax at source under the Income Tax Act. Here's how it applies to proprietorships:
### When to Obtain a TAN Number
1. **If You Have Multiple Proprietorship Businesses:** - **Single TAN for Multiple Businesses:** If you operate multiple proprietorships under the same PAN, you need only one TAN. TAN is issued to a PAN holder and is unique to that PAN. It does not matter how many proprietorships or businesses you run under that PAN; one TAN is sufficient for all. - **No Separate TAN Required:** You do not need to obtain a separate TAN for each proprietorship if they all fall under the same PAN. The TAN should be used for all your businesses under that PAN for deducting or collecting tax at source.
2. **TAN Requirement:** - **When Required:** Obtain a TAN if you are required to deduct or collect tax at source under various provisions of the Income Tax Act, such as: - **TDS on Salaries:** If you pay salaries and need to deduct tax at source. - **TDS on Payments to Contractors/Suppliers:** If you make payments to contractors or suppliers that are subject to TDS. - **TCS (Tax Collection at Source):** If you are involved in activities where TCS is applicable.
### Key Points:
- **Application Process:** You can apply for TAN online or offline. The online application can be done through the Income Tax Department’s official website or the NSDL (National Securities Depository Limited) website.
- **Documentation:** Ensure that you have the necessary documentation and details ready for the application, such as PAN details and business address.
- **Compliance:** Once you have the TAN, use it to comply with TDS/TCS regulations, file returns, and issue TDS/TCS certificates to deductees or collectors.
### Summary:
- **Single TAN for Multiple Proprietorships:** You need only one TAN for all your proprietorship businesses operating under the same PAN. - **Requirement for TAN:** Obtain a TAN if you are required to deduct or collect tax at source as per the Income Tax Act.
If you have specific scenarios or complex situations, it might be beneficial to consult with a tax advisor or accountant to ensure proper compliance with TDS/TCS regulations and to address any other related queries.
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