PAN and registration in Nepal

A copy of identity proof such as a citizenship certificate or passport, a photograph, a copy of the professional certificate or firm registration certificate if running a profession or business, and proof of premises: ownership evidence if trading from your own building, or a copy of the lease agreement if rented.

At the Inland Revenue Office or Taxpayer Service Office covering where you live, where you trade (for a sole proprietorship, the firm's main address), or where you are employed.

A natural person who intends to earn assessable income, or who is required to withhold tax on payments they make, must obtain a Permanent Account Number (PAN).

A resident natural person holding shares, land or houses as non-business taxable property does not need a PAN or any other registration to buy and sell them. A person trading capital assets as a business, such as a share broker or real estate business, must obtain a PAN.

Paying tax on employment income or on other professions and businesses is the taxpayer's responsibility, and requires a personal Permanent Account Number (PAN). A withholding agent must also obtain a PAN.

The FY 2076/77 budget statement required everyone who earns income in a fiscal year, such as salary, allowances, wages or house rent, to obtain a personal Permanent Account Number. This policy is known as PAN for All.

If you remember the PAN, apply to the office that issued it for a replacement. If you do not, take your citizenship certificate to the relevant office and ask them to look up your PAN, then apply for a replacement card. VAT-registered taxpayers pay a NPR 100 fee with the application.

The same PAN can be used for other purposes as well. One person cannot hold two PANs.

Use something easy for you to remember, for example your name as the username and your mobile number as the password. Using that username, password and the submission number, you can log in again to edit the application until it is submitted, and then print it.

You can visit www.ird.gov.np. Information is also available from Inland Revenue Offices, Taxpayer Service Offices, and bodies such as chambers of commerce and industry authorised by the department to issue PANs.

The authorised organisation gives you a receipt for the PAN certificate and, within three months, obtains the permanent certificate from the Inland Revenue Office or Taxpayer Service Office and hands it to you. You can also take the receipt to the relevant office yourself and collect the certificate.

For not complying with this mandatory requirement of the Income Tax Act, a fee of NPR 5,000 to NPR 25,000 applies under section 119ka. You may also be unable to import or export, carry out banking transactions, or deal with government and public bodies.

You can apply online from home, but you must visit the Inland Revenue Office or Taxpayer Service Office in person to collect the PAN card.

You can apply online or authorise someone else to apply. However, you must appear in person to register the PAN card, because biometrics are taken and the taxpayer (or, for an entity, the authorised person) must sign the certificate.

A PAN card or certificate with your photograph, personal details and PAN.

Individual business PAN (sole proprietorship):

• Copy of the sole proprietorship registration certificate
• Two passport-size photographs of the person signing the application
• Copy of the proprietor's citizenship certificate
• A map showing the main place of business or head office, with two photographs of the proprietor, and a copy of the land ownership certificate if the building is owned, or otherwise a copy of the lease agreement with the landlord

Business PAN (entity):

• Copy of the firm registration certificate
• Two passport-size photographs of the person signing the application
• Copies of the directors' citizenship certificates
• A map showing the main place of business or head office, with two photographs of the director, and a copy of the land ownership certificate if the building is owned, or otherwise a copy of the lease agreement

A PAN is issued immediately.

A person without a PAN who has taxable transactions must still file a return and pay the tax. Not having a PAN does not remove tax liability. After paying, proof of payment (a tax clearance certificate) can be obtained. However, because not having a PAN attracts a penalty, and a PAN benefits the taxpayer, you must also apply for one. It is easy to obtain.

A PAN is compulsory even for holders of the old certificate, and replaces it. The new number continues the existing business.

You do not need to submit a tax clearance certificate, old returns, or tax or withholding payments, least of all if you have not yet started trading. The Inland Revenue Office may, however, ask existing taxpayers for returns and advance tax to recover tax due. A taxpayer in rented premises must provide a map of the place of business and the lease agreement to establish their address.

For a natural person, the photograph is taken at the office and biometrics recorded. For an entity, the photograph of the person designated by the board of directors is taken at the office and biometrics recorded.

From the help desks at Inland Revenue Offices and Taxpayer Service Offices, the department's website www.ird.gov.np, and chambers of commerce and industry.

It makes trading, importing and exporting, borrowing from banks and all revenue-related work easier, and brings transparency to your business. Being identified as a taxpayer through a PAN is a matter of pride for a citizen, and it is each taxpayer's unique identifier.

A person, whether a natural person or an entity, can hold only one PAN in their lifetime. Additional business types are added to that PAN. A natural person starting additional business adds it to the same PAN.

Operating any industry, trade, profession or business without a PAN breaches the Income Tax Act 2058 and can lead to penalties. Apply for and obtain a PAN before starting.

You can apply online from anywhere by downloading the form over the internet. Take the receipt (submission number) from the online application to the relevant Inland Revenue Office or Taxpayer Service Office. Employees can also apply for a personal PAN through their employer.

Download it from www.ird.gov.np, or obtain it from Inland Revenue Offices, Taxpayer Service Offices, or chambers of commerce and industry authorised by the department to issue PANs.

For a personal PAN, a natural person gives their name, surname, permanent address, father's name, date of birth, and citizenship or ID number, and submits a copy of the citizenship certificate (or for foreigners a passport or ID issued by the diplomatic mission), a copy of any professional certificate and two photographs. For a business PAN, the business registration certificate is also required.

Any person who intends to earn assessable income specified by the Inland Revenue Department, or who must withhold tax on payments, must obtain a PAN before earning that income or withholding. Others who are not required to can also obtain one.

1. 1Open ird.gov.np in the Mozilla Firefox browser.
2. 2Click Taxpayer Portal on the home page.
3. 3Select the Registration folder.
4. 4Click Application for Registration.
5. 5To get a submission number, fill in the required boxes, select the Inland Revenue Office or Taxpayer Service Office for your place of business, and click OK.
6. 6With the submission number, choose Personal or Business as appropriate.
7. 7Enter the details requested and click Save.
8. 8Check all details and, if correct, click Submit and confirm it was submitted.
9. 9The Save and Submit buttons are then disabled and only Print is enabled.
10. 10Print the application and take it to the relevant office with the other documents, such as the business registration certificate, two passport-size photographs, a copy of your citizenship certificate, the lease agreement and a hand-drawn map identifying the place of business, to obtain your PAN.

Help is available from the Help menu.

You can apply at the office or electronically. For a business PAN, fill in the online application form at www.ird.gov.np and take the printout or submission number, or fully complete the paper form available at offices under the Inland Revenue Department, and submit it with the required documents to the relevant office. The office checks the application and issues the PAN through the electronic system.

The Inland Revenue Department and its offices, and the Department of Revenue Investigation and its offices, monitor whether businesses have a PAN, are registered for VAT and other taxes, and show their numbers on bills and invoices. Special market monitoring is carried out for this. Anyone found trading without a required PAN faces legal action under the Income Tax and VAT Acts.

The seller must show their own PAN and the PAN of the business buyer. This makes it possible to match the seller's and buyer's transactions. The seller must show the PAN because the business must present a true picture of its transactions, and it also helps customers stay in contact with the business.

On all transactions, bills and invoices, account books, returns, banking documents, and all tax filings including income tax, VAT, customs and excise. It is also needed to claim tax concessions or obtain information. The PAN must be shown on every revenue deposit voucher.

Natural persons and companies each obtain their own PAN, but both receive the same kind of unique number. The number itself does not show whether the holder is a natural person or a company.

Anyone in industry, trade, profession or business (including independent professionals without a firm) or employment must show a PAN on their transactions, banking, bills and invoices, account books, documents, returns and all tax filings. The number also gives the taxpayer a unique identity, which makes doing business and paying the related taxes easier.

A unique, permanent identification number given to each taxpayer. It has nine digits. It is called permanent because, once issued, it stays the same for that taxpayer even if their place of business, type of business or other details change. In English it is the Permanent Account Number, or PAN. It is used for paying tax and for storing a person's tax information, and identifies their business, employment and investment. It is generated by the computer system.

You can print it from your taxpayer login. If you remember the PAN, apply to the issuing office for a replacement. If not, take your citizenship certificate to the relevant office, ask them to find your PAN, and apply for a replacement. VAT-registered taxpayers pay a NPR 100 fee with the application.

Anything easy for you to remember, for example your name as the username and your mobile number as the password. With the username, password and submission number you can log in again to edit the application until it is submitted, and then print it.

Immediately if you apply at the office. If you applied online, you must visit the office with your citizenship certificate.

A woman applying for a PAN must give the name of her father, mother, husband or father-in-law.

For a personal PAN, a natural person gives their name, surname, permanent address, father's name, date of birth, and citizenship or ID number. They submit a copy of the citizenship certificate (or for foreigners a passport or an ID issued by the diplomatic mission), a recommendation from a local employer, a copy of any professional certificate, and two photographs.

Anyone who intends to earn assessable income specified by the Inland Revenue Department, or who must withhold tax on payments, must obtain a PAN before earning the income or withholding. Others not required to can also obtain one.

1. 1Nepali citizens: scan a passport-size photograph and both sides of the citizenship certificate and save the files. Non-Nepali citizens: scan a passport-size photograph, a recommendation from the employing office, and a certified document proving foreign status.
2. 2Open Mozilla Firefox, go to ird.gov.np, and click Taxpayer Portal.
3. 3Under Registration (PAN, VAT, Excise), click Application for Registration.
4. 4To get a submission number, enter a username, password, repeat password, contact number and email.
5. 5Tick Personal PAN under Registration for.
6. 6Choose the verifying office: click IRO and select a convenient Inland Revenue Office, or TSO and select a Taxpayer Service Office. Click OK, then Continue, and note the submission number.
7. 7Enter your name and surname in Nepali and English.
8. 8Choose BS or AD and enter your date of birth.
9. 9Select gender: male, female, or gender and sexual minority.
10. 10Click Browse beside the photograph and upload the scanned photo.
11. 11Click the upload arrow beside Citizenship Card, enter the citizenship number, issuing office, place and date of issue, then browse and upload the scanned certificate. Non-Nepali citizens enter the embassy ID certificate number, issuing office, place and date, and upload the scanned certificate. Click OK.
12. 12Enter the number of any professional licence or certificate.
13. 13If employed, enter the employer's recommendation (letter or certificate number) and choose the type and sub-type of occupation; the office recommendation must also be submitted. If there is no employer recommendation, choose Others.
14. 14Fill in family details, permanent address and temporary address.
15. 15Click Save/Submit. An OTP is sent to your mobile and email; enter it.
16. 16After verification, your PAN is sent to your mobile and email, and you can print it from the login used to apply.

You can also apply for a PAN online through the Government of Nepal's Nagarik App.

In two ways: by applying at the office or electronically. For a personal PAN, fill in the online application form at www.ird.gov.np; once the office verifies it, you can print it yourself. Alternatively, fully complete the paper form available at offices under the Inland Revenue Department and submit it with the required documents. The office checks the application and issues the PAN through the electronic system. You can also apply online through the Government of Nepal's Nagarik App.

since FY 2066/67. With a single employer, the employee needs a personal PAN; the employer withholds and deposits tax on salary, so no return is required. With more than one employer, a PAN is also needed to determine final liability and file a return.

The income tax you pay is recorded in the computer system and you can view your payments whenever you like. It also makes proof of tax payment easy and official when you need it, and gives a sense of pride in being a taxpayer.

For not complying with this mandatory requirement of the Income Tax Act, a fee (fine) of NPR 5,000 to NPR 25,000 may apply under section 119ka. You may also be unable to import or export, carry out banking transactions, or deal with government and public bodies.

IRD's answer states that a natural person submits two photographs, and for an entity, photographs of the person designated by the board of directors are attached.

Note: offices now take the photograph and record biometrics at the time of registration.

Inland Revenue Offices, Taxpayer Service Offices, and bodies such as chambers of commerce and industry authorised by the Inland Revenue Department to issue PANs. You can also apply online at www.ird.gov.np.

For a personal PAN, a natural person gives their name, surname, permanent address, father's name, date of birth and citizenship or ID number, and submits a copy of the citizenship certificate (or for foreigners a passport or ID issued by the diplomatic mission), a copy of any professional certificate, and two photographs. A natural person not required to have a PAN who wants one needs only a copy of the citizenship certificate and a photograph. A business PAN also requires the business registration certificate.

but you must still contact the Inland Revenue Office or Taxpayer Service Office to collect the PAN card.

A PAN is the nine-digit permanent number given to each taxpayer. You can apply by completing the paper form from an Inland Revenue Office or Taxpayer Service Office and submitting it with the required documents, or by completing the online form at www.ird.gov.np and submitting the printout or submission number with the documents. Applying online is what is meant by e-PAN. It is not a separate PAN.

The department has produced a brochure and guide for PAN applications, available at www.ird.gov.np and at your nearest Inland Revenue Office or Taxpayer Service Office. Help is also available from office help desks, the website, and federations of commerce and industry.

To keep using the same number, cancel or suspend the business registration and apply to the relevant Inland Revenue Office or Taxpayer Service Office, with the required documents, to convert it to a personal PAN.

Register the business and apply to the Inland Revenue Office or Taxpayer Service Office to convert it to a business PAN, with the required documents and documents relating to the place of business.

A PAN is a permanent identifier and does not need renewal. However, any change in address, place of business or nature of business must be notified to the relevant Inland Revenue Office or Taxpayer Service Office within 15 days of the change.

After registering the business, apply to the relevant Inland Revenue Office or Taxpayer Service Office with the business registration certificate. The office then converts the personal PAN into a business PAN.

if it is the same natural person. Changing location or type of business does not require a new PAN, but you must notify the Inland Revenue Office where the PAN was issued and update your records. To restart business, apply to the Inland Revenue Office or Taxpayer Service Office for the new location to reactivate the PAN.

A sole proprietorship is owned by one natural person, while a company is a separate legal person, even if owned by a single individual. The company must obtain its own PAN.

Apply to the relevant Inland Revenue Office or Taxpayer Service Office, stating the reason. The number is cancelled on your death; otherwise it remains in your name with inactive status.

On the person's death, if they renounce citizenship and leave Nepal, or for a foreign national, if they stop earning income.

The non-resident themselves, or their permanent establishment or representative in Nepal.

A foreign national must obtain a PAN when carrying on industry, trade, profession, business, employment or investment in Nepal under Nepali law. In addition to other documents, they must submit a passport or an identity card issued by the relevant diplomatic mission.