Simple Guide to Detect Fake PAN Card Number

Permanent Account Number (PAN) is one of the most important financial identities in India. Banks, employees, mutual fund houses, businesses, and the Income Tax Department all rely on it, which also makes it a favourite target for fraudsters. Fake and fabricated PAN numbers are used for loan fraud, tax evasion, and identity theft.

For businesses, the challenge is not just identifying a suspicious card. It is verifying the PAN against official records and identifying inconsistencies before they lead to compliance issues or financial losses. This blog helps you detect a fake PAN card number and also check the validity of a fake PAN.

Methods to Detect a Fake PAN Card

You can check PAN status by two methods that are explained below:

Method-1: Check PAN Card Active Status Through Income Tax e-Filing Website

• Visit the official income Tax e-Filing website.
• On the home page click on verify PAN status.
• Now enter your PAN Number, Name, DOB and mobile number.
• You will receive OTP on your PAN-linked mobile number.
• Enter the OTP and click on the validate button.

Method 2: Verify PAN through the PAN Verification API

Businesses verifying a large number of customer, vendor, or employee PANs can use the API for instant verification. Instead of checking every record manually verification can be done with simple input and output.

How PAN Verification API Works?

• Submit the PAN Information
• Get result (Invalid, Not Found, and mismatched details to identify a fake or deactive or forged PAN Card)

Note: Invalid or record not found does not mean that the PAN is fake, before making and decision go for further review.

Legal Issues can occur due to Fake PAN Card in India

• Income Tax Penalty: A penalty of ₹10,000 may apply for each relevant default involving a false PAN, subject to applicable law.

• Forgery Charges: Creating a fake PAN Card can lead to criminal prosecution under the section 336 of the BNS, 2023.

• Using a Forged Document: If a person knowingly uses a fake PAN as genuine, it may attract criminal charges under Section 340 of the BNS.

• Tax evasion: Additional tax, interest, penalities, and possible prosecution if the fake PAN is used to evade taxes.

• GST Violations: Tax demands, penalties, or interest, penalties, and possible prosecution if the fake PAN is used to evade taxes.

Why a PAN Becomes Inoperative or Invalid?

A PAN can stop working for the following reasons:

PAN is not linked to Aadhaar: Under Section 139AA of the Income Tax Act, a PAN cardholder must link their PAN with Aadhaar. An unlinked PAN becomes inoperative. An inoperative PAN does not mean cancellation.

Duplicate PANs: Each person may hold only one PAN. If you hold more than one, the department can cancel the extras. You should voluntarily surrender the additional PAN through a PAN correction/surrender request; otherwise, you may face penalties.

Conclusion

Verifying the authenticity of the PAN Card is important to safeguard against fraudulent transactions. Check the validity and authenticity of your PAN card by visiting the official website for Income Tax as well as using a PAN verification API. Regularly checking your PAN card status and reporting suspicious activity to the department will provide you with financial security and prevent damage to your credit score. Stay aware and prevent fraud like identity theft, tax evasion, etc.

FAQs

Ques: How can I check whether a PAN is valid and active?

Ans: Businesses and individuals can verify the PAN through the official eFiling Portal.

Ques: Is an inactive or inoperative PAN the same as a fake PAN?

Ans: No, an inoperative PAN is not a cancelled PAN. It usually means the your PAN is not linked with the Aadhaar Card.

Ques: What is the penalty for using a Fake PAN or quoting a wrong PAN?

Ans: Using a fake PAN or quoting a wrong PAN can attract a penalty of ₹10,000 under Section 272B of the Income Tax Act.

Ques: What should I do if I suspect my PAN has been misused?

Ans: Collect the evidence, such as loan alerts, notices, or unfamiliar transactions. Then report it to the Income Tax Department through the e-Filing Portal, and file a complaint at cybercrime.gov.in (or call 1930) or with your local police.

Ques: Is it safe to use third-party sites to verify a PAN?

Ans: Use the official e-Filing Portal, or a provider that is compliant and trusted.