Paypal has been in a lot of news buzz in the recent few months and this is because of the Funds Withdrawal Issues, Credit Card Withdrawal option & other similar issues which is the reason many Freelancers & Small/Medium Business owners are affected and are also signing up with different Paypal Alternatives.
As per the Indian Banking Guidelines, whenever you perform a deposit of more than 50000Rs in your Nationalized Bank Account, then RBI is notified about the same and at the end of the Financial Year you need to report all these transactions and pay the Income Taxes for the same.
so,PayPal India start asking for Pan Card details from Indians as a directive from Reserve Bank of India.Before Last Month PayPal stop withdrawal options for Indian users. but this decision leads to lose of potential customers from INDIA .
Finally PayPal resumes Bank Withdrawal for Indian Users.Many blogger including me were waiting for Paypal resumed the bank withdrawal service in India. As expected it started around 3rd March. Now you need to select purpose for bank withdrawal . But one bad news is that PayPal demanding PAN CARD details for making money Transfer 
PAN stands for Permanent Account Number which is issued by Income Tax Department.
If you don’t have a PAN Card number , you will be having issues with PayPal account. Most of the users were able to update the PAN card number without any trouble.
You won’t be able to update any fake pan card numbers because the Name on PayPal should exactly match with the name on PAN Card.
Demanding PAN Card Details for Money Transfe- Paypal India
Few FAQs published on Paypal India site:
Where do you find your PAN number?
You can find the 10-digit number printed at the front of your card.
Why do you need a PAN number?
- PAN number is compulsory for all financial transactions as per Indian laws and regulations.
- PAN number provides you with a unique identification and makes it easier for PayPal to track your financial transactions.
- You need to have a PAN number (made mandatory by the Income Tax Department) in order to file for return of income as well as on all correspondence with any income tax authority in the country.
How do you get a PAN number?
- To apply for a PAN card all you need to do is submit the requisite application form number 49 A to the Indian Revenue authorities.
- To download PAN application forms or to learn more, visit http://india.gov.in/outerwin.php?id=https://tin.tin.nsdl.com/pan/form49A.html
{ 5 comments… read them below or add one }
Paypal not accepting my Pan card, What is the problem?
How till be the tax payed? I mean if paypal is taking our pan no then will it automatically cut the tax from the earnings or we have to do it manually?
I withdrew my PayPal money earned during Financial year 2009-10 in May 2010. So, am i supposed to pay tax on that money right now(i mean before July 31st 2010) or during the assessment of this financial year(2010-11), that is, next year.
Frankly, if i didn't receive any money in the bank, should i be required to pay tax on that ? I withdrew the money this year (may 2010) so logically, i should pay tax on that money during filing return next year. Please clear my doubt.
Is there possiblity of arising problem while taking account from PAYPAL if Name on PAN card and NAME in paypal account differs like below
and if name on bank account and name on PAN card also differs in similar way then is it possible to transfer of money from paypal to bank account
Pune India
rply must
lol all my transactions comes in 6 figures in Indian currencies, am i going to be contacted by IT department?
btw,, i do pay taxes . Pay the taxes and no worries, simple as that.
Thumbs up* for RBI for their initiative to strengthen Indian economy.