The Income Tax Department has embarked on a major digital overhaul of India’s PAN and TAN systems, selecting LTIMindtree to lead the ambitious Rs 1,435 crore initiative named PAN 2.0. This comprehensive upgrade is designed to simplify and modernise taxpayer registration services, with a strong focus on enhancing user experience through a unified, digital-first platform.
Currently, the system manages over 78 crore PANs and more than 73 lakh TANs, but the process of issuing and maintaining them often involves multiple steps, outdated interfaces, and delays. With PAN 2.0, the department aims to centralise and digitise the entire ecosystem. All PAN and TAN services will be offered through a single online portal, accessible across devices and built with user-friendly design principles. This will allow individuals and businesses to apply, update, and manage their PAN and TAN entirely online without the need for physical paperwork.
One of the biggest highlights of the project is that PANs will be issued free of cost, with turnaround times significantly reduced through automation and streamlined workflows. The platform will also introduce robust security features, including a PAN Data Vault to safeguard sensitive personal and financial information. To support users, a dedicated call centre and helpdesk will be established, ensuring round-the-clock assistance and grievance redressal.
Importantly, the system is being developed with a commitment to eco-friendliness, supporting India’s broader goals for digital governance and sustainability. The Cabinet Committee on Economic Affairs gave its approval in November 2024, and the new system is expected to go live within the next 18 months.
The government sees PAN 2.0 not only as a technological upgrade but also as a way to improve transparency, reduce operational costs, and make financial tracking and tax compliance more efficient. By integrating PAN and TAN services under one umbrella, the Income Tax Department aims to deliver faster, more secure, and more reliable services to India’s growing base of digital taxpayers.
