Transgenders can now issue PAN cards under 'Independent' gender category

The government has amended Income Tax rules that will now allow transgenders to be recognised as an independent category of applicants for obtaining a Permanent Account Number (PAN) for their tax-related transactions.

As per reports, Form 49A and 49AA will now have an option of transgender along with 'Male'and 'Female'category. Aadhaar and voter ID cards already have the 'third gender'option.

Central Board of Direct Taxes (CBDT), which is responsible for framing a policy for the department, had earlier issued a notification on Monday, April 9, providing a new tick box for transgenders to apply for PAN. 

Add WION as a Preferred Source

The notification, issued under sections 139A and 295 of the Income Tax Act, specifies the new application process for obtaining a PAN number by an individual.

"Individuals from the transgender community were facing hassles in obtaining a PAN card and this problem was further magnified as Aadhaar had the third gender category but not PAN. "Hence, the transgenders were not able to link their PAN with their Aadhaar due to this anomaly," the official said.

Also, transgenders who are eligible to file income tax returns (ITR) were likely to face similar problems of their return not being processed by the tax department as the PAN would not have linked with Aadhaar due to mismatch in gender details.

The government has now made quoting of Aadhaar mandatory for filing income tax returns as well as obtaining a new PAN.

Section 139 AA (2) of the Income Tax Act says that every person having PAN as on July 1, 2017, and eligible to obtain Aadhaar, must intimate his Aadhaar number to the tax authorities.