The Indian government's Cabinet Committee on Economic Affairs (CCEA) has approved the Income Tax Department’s Permanent Account Number (PAN) 2.0 Project which aims to streamline and modernise the process of issuing and managing PAN and TAN.

"With existing PAN database of 78 crore PANs and 73.28 lakh TANs, the project addresses the requirements of taxpayers, focusing on consolidation of multiple platforms/portals and efficient services to PAN/ TAN holders," read a statement issued by the Ministry of Finance.

Currently, PAN-related services are spread across three different platforms: the e-Filing Portal, UTIITSL Portal, and Protean e-Gov Portal.

With the implementation of PAN 2.0, all these services will be integrated into a single, unified portal, the government said.

The one-stop platform will handle comprehensive issues/matters related to PAN and TAN, including application, updates, corrections, Aadhaar-PAN linking, re-issuance requests, and even online PAN validation.

"By doing so, the Income Tax Department endeavours to simplify processes, eliminate delays, and improve grievance redressal mechanisms," the statement said.

Whether existing PAN CARD Holders be required to apply for new PAN under the upgraded system?

The existing PAN card holders are not required to apply for new PAN under the upgraded system (PAN 2.0).

Industry experts believe the implementation of the PAN 2.0 is expected to lower costs for fintech companies.

Sanjeev Mehta, former Managing Director at Standard Chartered Bank, told ANI: "This is a transformative move that will help fintech and other companies reduce costs while streamlining operations."

Dr. Vimal Joshi, a corporate lawyer and Supreme Court advocate, told the news agency that the PAN 2.0 project is expected to address the issue of PAN card duplication effectively.