Every taxpayer who intends to enter into any economic or financial transactions or is required to file a return of income mandatorily needs to have a PAN Card. Being an active taxpayer one has to file income tax returns and to do so, they need to have a Permanent Account Number (PAN Card). PAN card consists of a PAN number allotted by the Income Tax Department of India. Talking about the PAN number, it is a ten-digit alphanumeric code, and every Indian whether resident or Non-Resident necessarily needs to have a PAN Card, if they are earning a taxable income in India. In simple words, if you are an NRI earning taxable income in India and want to file returns or make any financial transactions you mandatorily need to have a PAN Card.
However, the application process, procedure, and fees for PAN cards differ for the NRIs in Nairobi, Kenya and resident Indians. The article will extensively discuss the need, benefits, procedures, documents required, and important clauses related to PAN Card. If you are an NRI and wandering about how to get NRI PAN Card? then this article will do value addition to your knowledge by discussing the procedure and application process.
Why an NRI in Nairobi, Kenya needs to have a PAN Card?
NRIs in Nairobi, Kenya needs to have a PAN Card if they require to file a return of income or planning to make any financial transactions where PAN is necessary. The financial transactions in which one mandatorily needs to have a PAN are as follows: –
- One needs to have the PAN Card for sale and purchase of a motor vehicle other than the two-wheeled vehicles.
- If you need to pay an amount exceeding Rs. 50,000 to an institution or a company for acquiring debentures or bonds issued by it.
- To sell or purchase shares of a company that is not listed in a recognized stock exchange for an amount exceeding Rs. 1 Lakh per transaction.
- For opening a bank account (other than a basic savings bank deposit account or a time deposit referred at point no. 10) with a banking company or a cooperative bank.
- For the deposits of cash exceeding Rs. 50,000 during one day with a banking company or a co-operative bank.
- If you need to sell or purchase any immovable property exceeding Rs. 10 Lakh or valued by stamp valuation authority referred to in section 50C of the act at an amount exceeding ten lakh rupees.
- To make a contract for the sale and purchase of securities (other than shares) for an amount exceeding Rs. One lakh per transaction.
- Payment exceeding Rs. 50,000 to a mutual fund for purchasing its units.
- To Sale or Purchase of shares of any company which is not listed in any recognized Stock Exchange be any person for amount not exceeding Rs. 1 Lakh per transaction.
- Time Deposit Exceeding of Rs. 50,000 at one time or aggregating to more than Rs. 5 lakh during any financial year with –
a. A Co-operative Bank or a Banking Company
b. A Post Office
c. A Nidhi Company referred to section 406 of the Companies Act, 2013 or
d. A NBFC which holds a certificate of registration under section 45-IA of the RBI Act, 1934 to hold or accept deposit from public. - Opening a DEMAT Account with a custodian, Participant, Depositary or any other person with SEBI.
NRIs in Nairobi, Kenya
Located in Eastern Africa, the Republic of Kenya (Kenya) is spread across 580,367 square kilometers, housing 55 million people (based on the 2021 census). It is the 29th most populous country and the world’s 48th largest country (by area). Kenya is more than twice the U.S state of Nevada and larger than Metropolitan France.
Capital – Nairobi
Largest City – Nairobi
National Language – Swahili
Spoken Language – Swahili, English, Luhya, & Kikuyu
Currency – Kenyan shilling (KES)
Neighboring Countries –, Tanzania, South Sudan, Somalia, Ethiopia
Kenya’s oldest and second-largest city is Mombasa whereas the third-largest city in Kisumu is also an inland port on Lake Victoria. Kenya shares the border with Ethiopia to the north, the Indian Ocean to the southeast, South Sudan to the northeast, Tanzania to the south, Uganda to the west, and Somala to the east.
Kenya is a democratic country where people elect the President of the country who heads the government and the state. The country is a member of the Commonwealth of Nations, United Nations, International Criminal Courts, COMESA, International Monetary Fund, and others.
On the economic level, Kenya has a total GDP of $333.268 billion (2022 estimation) with $2.252 per capita. Central and Eastern Africa are the largest economic source for Kenya, making it a lower-middle-income economy. The country offers several sectors for working, the largest sector is Agriculture where fresh flowers are the fast-growing exports and coffee/tea are traditional cash crops.
Kenya is one of the countries that has rich historic evidence showcasing the inhabitation for more than 20 million years. Homo erectus and Homo habilis (ancestors of Homo sapiens) may have lived in the Pleistocene epoch’s Kenya based on Lake Turkana’s findings. At Olorgesailie, the site of Kenya, Evidence was found showing the emergence of modern behavior dating to 320,000 years ago.
On the scale of largest countries, Kenya has occupied the 47th rank and lies between longitudes 34° and 42°E and latitudes 5°N and 5°S. Kenya’s highlands are the highest point whereas the second highest peak is Mount Kenya (5,199 m in height) on the continent.
Climate
Climatically, Kenya is a tropical country along the coast with an arid northeast and north region. The area has cool nights and receives a great amount of sunshine. Kenya has short and long rainy seasons from October to November/December and March/April to May/June respectively. The hottest time of the year in Kenya in February and March whereas the cold time is July (can go till August).
Wildlife
The wildlife in Kenya included the blue wildebeest and bovids in annual migration including Masai Mara. There are over 200,000 zebras, and one million wildebeests migrate every year across the Mara River. The major five animals found in Kenya are buffalo, leopard, lion, elephant, and rhinoceros with a significant population of reptiles, birds, and other wild animals. In 2019, it was ranked 133 out of 172 countries on the Forest Landscape Integrity Index.
Benefits of having an NRI PAN Card for NRIs in Nairobi, Kenya
The NRIs in Nairobi, Kenya can receive the following benefits after applying for an NRI PAN Card: –
- The NRI PAN Card makes you eligible to invest in mutual funds as without a PAN Card one cannot invest in mutual funds.
- After getting the NRI PAN Card, the KYC process in the majority of banks becomes hassle-free.
- The NRI PAN Card will help you in purchasing a property in India as it is mandatory to have a PAN Card for purchasing property in India.
- The PAN Card enables an NRI to deposit funds over a certain limit in their accounts.
- If NRI has Taxable income in India, in that case PAN Card is mandatory.
Eligibility criteria for an NRI to get PAN Card in Nairobi, Kenya
For getting an NRI PAN Card in Nairobi, Kenya you need to meet the below-given criteria: –
- First and foremost, you need to be an NRI earning taxable income in India.
- You are eligible for NRI PAN Card if you are trading in shares through a depository or a broker.
- If you want to invest in mutual funds then you are eligible for getting an NRI PAN Card.
- You can get an NRI PAN Card if you want to buy property in India.
Application procedure for NRI PAN Card – How to get NRI PAN Card in Nairobi, Kenya?
One can apply for NRI PAN Card through online mode as well as offline mode. Both the methods are comprehensively described below, you can choose any of them depending on what best suits you.
Offline process for getting NRI PAN Card in Nairobi, Kenya
Let’s discuss the offline process for getting NRI PAN Card for NRIs in Nairobi, Kenya first. To apply for NRI PAN Card all you have to do is meticulously follow the instructions given below: –
- You need to visit your nearest TIN (Tax Information Network) facilitation centers like UTI (Unit Trust of India) and NSDL (National Securities Depository Limited) or you can visit the IT PAN service center to get the application form.
- Next, you have to fill out the form, attach copies of all the required documents and attest your signature to it.
- Lastly, you need to submit the form to the concerned authority.
- Remember that you can pay the NRI PAN Card fees via demand draft.
- Once you submit the NRI PAN Card application form you will receive an acknowledgment slip.
Online process for getting NRI PAN Card in Nairobi, Kenya
If you want to apply for NRI PAN Card through the online method then you need to follow the below-given instructions: –
- First of all, you need to visit the online TIN (Taxpayer Identification Number) Portal and tap on the option of “Apply Online”.
- Now, select form 49A which is for NRIs with Indian citizenship under the “Application Type”. If you have foreign citizenship then select form 49AA.
- Next, you have to fill in the other necessary details asked in the form.
- Enter the “Captcha” and tap on the “Submit” icon.
- A new page will open on your screen that will redirect you to the NRI PAN Card application form.
- Ensure that you fill out the form correctly and upload all the required documents along with your signature.
- At the end, tap on the “Submit” option.
- For completing the process, you need to make the payment.
After successfully completing the above-given steps the applicant will receive an acknowledgment slip that will contain a 15-digit number. You can use this 15-digit number for tracking your application status.
NSDL Link to Apply Online PAN Card
UTIITSL Link to Apply Online PAN Card
Important documents required for the NRI PAN Card in Nairobi, Kenya
You need to know that both the NRIs with or without the Indian Citizenship are eligible for NRI PAN Card. But the documents you need to submit might differ depending on the fact whether you have Indian citizenship or not.
Below given are the important documents that an NRI with Indian citizenship needs to submit along with their PAN application form 49A: –
- You need to attest identification proof such as an Aadhar card, Voter ID, or Driving License with your form.
- Along with the identification form you need to give address proof like a passport copy, bank account statement in your residential country, or statement copy of your NRE (Non-Residential External) bank account. The statement copy you are attesting with the form needs to show a minimum of two transactions in the past six months.
- Besides this, you need to attach a copy of the PIO (Person of Indian Origin) or OCI (Overseas Citizen of India) card with your form.
- Lastly, you need to attach two recent passport-size photographs.
If you are a foreign citizen who has an Indian office address and wish to apply for a PAN Card you need to attach the above-given documents with the form. But along with the above-given documents you need to attest some additional documents as well; they are as follows: –
- You need to attest to a copy of the appointment letter issued to you by the Indian office.
- Attach the PAN Card details of the employer for the online verification.
- Lastly, you need to attach a copy of the original address certificate issued by the Indian employer.
Method of payment for NRI PAN Card in Nairobi, Kenya
The amount of fees and payment process also differs according to the category of the taxpayer. The amount and process will vary for the NRIs providing an Indian address for communication and the NRIs providing a foreign address for communication.
Method of payment for NRIs in Nairobi, Kenya who has provided a foreign address for communication
- If you have provided a foreign address for communication you need to pay an amount of Rs. 994, including the fees, tax, and postage of the NRI PAN Card application.
- You can pay through credit card, debit card, or by drawing a demand draft.
- If you are paying through demand drafts then you need to draw it in favor of NSDL-PAN (National Securities Depository Limited – Permanent Account Number) payable in Mumbai. And remember that the foreign credits are not eligible for NRI PAN Card payment.
- However Noted that, This service is available to only 105 countries, list is available on the official website of NSDL.
Method of payment for NRIs in Nairobi, Kenya who has provided an Indian address for communication
- The NRIs who have Indian citizenship need to pay Rs. 107 for NRI PAN Card. The fees also include GST.
- They are allowed to pay through debit cards, credit cards, demand draft, and net banking. Here they need to remember that they cannot pay through cash.
Important NRI PAN Registration Guidelines for NRIs in Nairobi, Kenya
These are the following important guidelines that one must follow while applying for a PAN Card: –
- Use only black ink while filling the PAN Card form through offline mode.
- If you are an NRI, ensure that the Accessing Officer code you provide is correct.
- The name written in the form should be the same provided in the submitted documents.
- Overwriting or correction in the form can lead to rejection, so carefully fill the form and avoid any overwriting.
- Being an NRI you should avoid placing a date or place beneath your signature while signing the form.
- If you already have one PAN Card then by any chance you are not supposed to possess another one. So, you should always surrender the duplicate PAN, by filling the form of PAN Change or Correction request.
- Ensure that the information provided in the form is correct because any kind of misinformation will lead to the rejection of the form.
- Stappling or pinning the photographs in the form is not acceptable. You need to attach the photographs to the form while filling it out.
- If the person applying for PAN Card is a minor, the guardian or representative might submit the address and identity proofs.
- Identity proofs and address should be carefully and securely attached to the forms and any false or incorrect information can lead to rejection of the form.
- The applicant must ensure to bold the details in the form.
Frequently asked questions about NRI PAN Card for NRIs in Nairobi, Kenya
Is it mandatory for me to be physically present in India while applying for an NRI PAN Card?
Ans. Being an NRI there is no need to be physically present in India while applying for an NRI PAN Card. Besides this, you can apply for NRI PAN Card even if you don’t possess an address in India.
Is there any restriction on having more than one NRI PAN Card for NRIs in Nairobi, Kenya?
Ans. Yes, there is a provision for the penalty of Rs. 10,000 imposed under section 272B of the income tax act, 1961 for having more than one PAN. In case more than one PAN Card is allotted to you then you should immediately surrender the other PAN Card.
What is the possible penalty for non-compliance with provisions relating to PAN?
Ans. If there is any default by the taxpayer in complying with the provisions relating to PAN then under section 272B the penalty of Rs. 10,000 can be levied on that person.
How much time will it take to receive the NRI PAN Card for NRIs in Nairobi, Kenya?
Ans. It will take only 15 days after applying for the NRI PAN Card for NRIs in Nairobi, Kenya. The applicant will receive the NRI PAN Card at their provided address within 15 days of application.
Final verdict
That was all about How to get NRI PAN Card for NRIs in Nairobi, Kenya ? In the article, we comprehensively discussed the benefits, application process, procedure, documents required, and important clauses related to NRI PAN Card. In case you are still left with any questions regarding how to get NRI PAN Card? then please feel free to write your concerns and queries in the comment section. We will try to resolve all your NRI PAN Card-related queries as soon as possible. Please subscribe to the website for more articles like this. For further improvement kindly drop your suggestions in the comments.