All about Form 60 and Form 61 under IT Act

A PAN card is one of the essential documents required by all Indian taxpayers. PAN helps to store all the financial transactions of the applicant. It is required to conduct financial transactions, file returns etc. Not having a PAN and carrying out those transactions which require the need of PAN will impose questions on the applicant’s authority to carry out that transaction. 

In cases where PAN is not available, Form 60 and 61 are necessary alternatives to PAN in cases of carrying out financial transactions. Let’s discuss the same in detail below.

What is PAN?

PAN stands for Permanent Account Number. A PAN is issued by the Income Tax Department, Government of India, to identify various country taxpayers. PAN is a unique identification number containing both alphabets and numbers. This 10 digits alphanumeric number is assigned to Indian taxpayers, whether persons or companies, with a motive to store all tax-related information against a single PAN number. 

What is PAN Form 60? 

PAN is an essential document mandatorily required for the purpose of carrying out financial transactions If an individual conducts certain transactions as mentioned in Rule 114B of the Income-tax Rules, 1962, and does not possess a PAN card, then they must fill out the PAN Form 60 as a declaration to authorize their transactions. 

Hence, Form 60 is a declaration form which includes details such as name, address etc and is required to be furnished to carry out some specified transactions if the individual does not hold a PAN card. 

What is PAN Form 61? 

PAN form 61 applies to those individuals who only have agricultural income, and do  not earn any taxable income, but have carried out certain specified transactions which require PAN, without having PAN, so.s. Income holders from the agricultural department willing to participate in the financial transaction must submit Form 61 under rule 114B of Income Tax Rules 1962. 

Hence, Form 61 is a declaration form which includes details such as name, address etc of the applicant who do not possess a PAN card and have only agricultural income and do not have any other taxable income, but is willing to conduct any transaction as mentioned in Rule 114B. 

Rule 114B, Income Tax Rules 1962 for Form 60

As per Rule 114B, PAN is a mandatory requirement to be provided to carry out specified transactions. Form 60 and Form 61 is required to be filled if the individual do not have PAN card and is carrying out the following transactions- 

• Sale and purchase of any immovable property of value exceeding ₹10,00,000 or more. 
• Sale and purchase of any motor vehicle excluding two-wheeler vehicles. 
• Holding Fixed Deposits (FD) with a bank of value more than ₹50,000.
• Holding Fixed Deposits (FD) with a post office of value more than ₹50,000. 
• Opening a Demat account. 
• Applying for debit or credit cards. 
• Opening a Bank account. 
• Paying mutual funds exceeding ₹50,000.
• Paying life insurance premium exceeding ₹50,000. 
• Trading of a non-listed shares of a company, where the transaction amount is above ₹1,00,000.
• Sale and purchase of any securities, where the contract amount exceeds ₹1,00,000. 
• Paying hotel and restaurants bills above ₹25,000. 

Structure of Form 60 and 61

Form 60 and 61 have the same structure. Both have a specified structure which needs to be duly filled by the individual. It contains 24 items to be filled out before submitting the form. The breakdown is a s follows- 

• First Name, middle Name and surname of an individual, applicant or the declarant. 
• Date of Birth in DDMMYYYY format. 
• First Name, middle Name and surname of Father of the individual, applicant or the declarant. 
• Official address consisting Name of premises, Block Name, Flat No, Road, Street, Lane, Area, Locality, Town, City, District, State, Pin code. 
• Mobile Number and Telephone Number. 
• Amount of transaction
• Date of transaction in DDMMYYYY format
• Names of all persons if there are joint transactions. 
• Mode of the transaction. 
• Aadhaar number Acknowledgement and date of PAN application, if applied for it. 
• Details of address proof document.
• Details of identity proof document. 
• Estimated total income for the financial year.  
• Knowing how to submit these documents are also important to prevent the mistakes

Documents needed to fill out Form 60- 

As address and identity proof certain documents are required to fill Form 60 of PAN. 

For Individuals and Hindu Undivided Families

• Aadhaar card
• Voter ID card 
• Driving License 
• Passport 
• Passbook of the bank having applicant’s photograph 
• NREGA Job card 
• Bank Account and Credit Card Statement (maximum 3 months old) 
• Electricity, water, mobile bill (maximum 3 months old)
• Consumer gas card (maximum 3 months old) 
• Caste certificate having an applicant’s photograph 
• Passport of spouse bearing name of that individual.
• Property tax payment receipt (max 1-year-old).
• Kisan passbook containing the applicant’s photo.
• Arm’s license. 
• Pensioner photo card.

For Association of Persons or Trusts 

• Registration certificate issued by the Charity Commissioner confirming identity and address of the individual 

Association of Persons Other Than Trusts or Body of Individuals 

• Registration certificate issued by the Charity Commissioner confirming identity and address of the individual 
• In cases where the transaction is in the Name of the minor, any of the above-mentioned document confirming identity and address of the guardian or parent of minor is required 
• In case of joint transactions, total amount of the transaction and all the names of the person involved is required 
• In the case of Hindu Undivided Family, any document in the Name of Karta of HUF is necessary.

Documents needed to fill out Form 61

• Aadhaar card 
• Driving License 
• Ration card 
• Telephone bill copy (maximum 3 months old) 
• Passport 
• Identity proof of the applicant 
• Address proof of the applicant 
• Voter Id 
• Other required documents.  

Kindly note that the aforesaiddocuments need to be self attested. 

Process of filling Form 60 and 61

Filling out PAN Form 60 or 61 is an easy task. It can be filled either online or offline. 

Online Mode of filling Form 60-  

• Download Form 60 from the official portal of the Income Tax Department. 
• Fill the complete details of the applicant, including the Name, aadhaar card number, address, father’s Name, Date of Birth, mobile number and other information required. 
• Provide the details of the transaction such as mode of transactions and the transaction amount. 
• Provide the address where you have submitted your Income Tax Returns. 
• In case the applicant has applied for a PAN  card but has not received it, they must mention the application date and number. 
• Recheck and reconfirm the filled information. 

 Online Mode of filling Form 61-

• Generate ITDREIN (Income Tax Department Reporting Entity Identification Number) and fill Form 61 on the e-filing portal.
• ITDREIN is a 16 character identification number in format XXXXXXXXXX.YZNNN where: XXXXXXXXXX stands for PAN/TAN of the reporting entity. Y stands for code of Form code, Z-code of reporting entity category for Form code and NNN- code of sequence number. 
• Form 61 must be forwarded to the Director of Income Tax or the Joint Director of Income Tax by uploading electronic data per database for the same.
• You will get an acknowledgement number after completing the process. 

Offline Mode of filling Form 60-  

• Download Form 60 from the UTIITSL (UTI Infrastructure Technology And Services Limited) website or collect it from any district agency. 
• Fill the complete details of the applicant including the Name, aadhaar card number, address, father’s Name, Date of Birth, mobile number and other information required. 
• Recheck and reconfirm the filled information. 
• Attach the required documents. 
• Submit it to the office of UTIITSL. 
• Pay the processing fee.  
• You will receive your PAN card at your address within 15 days.

Offline Mode of filling Form 61-

• Full applicant name as per the documents
• Full address of the applicant
• Date of Birth & Father’s name
• Valid mobile number
• Details and amount of transaction
• Details of the application 
• The applicant has to sign in the verification mentioned in the form and declare that the given information is correct. 

Consequences of the Wrong Declaration in Form 60

Any false or wrong information in Form 60 can have the following consequences- 

• Imprisonment for 3 months to 2 years or penalty if the amount involved is less than ₹ 25 lakhs. 
• Imprisonment from 6 months to 7 years and heavy penalty if the amount is more than ₹ 25 lakhs. 

Consequences of the Wrong Declaration in Form 61

• In case of wrong information or incorrect information in Form 61, the situation must be reported to the official authorities within 10 days so as to avoid any penalty. 
• After this, they give the applicant about 30 days to re correct the information and submit it again. 

Difference between Form 60 and 61

While both the Forms will be required to be filled in the cases if the applicant do not possess a PAN card but is wishing to enter into transactions which requires PAN as mentioned in Rule 114B of the Income Tax Rules 1962 , The basic difference between Form 60 and 61 is on the basis of the applicant’s source of income. 

Form 60 will be a valid alternative to PAN if the applicant has income that comes under the taxable income category. 

Form 61 will be a valid alternative to PAN if the applicant has only agricultural income and does not have any other sources of income which is taxable. 

Final Words

PAN card is a must-have document for all citizens who earn income which comes under the category of ‘taxable income’ as per the Income Tax Rules, 1962. This document keeps track of the holder’s financial transactions. Form 60 or Form 61 is an essential document in case the applicant does not possess a PAN card but is willing to conduct transactions requiring PAN as mentioned in Rule 114B of the Income Tax Rules,1962. The form contains a specific format including the Name and address of the applicant, identity proof, address proof, father’s Name, etc. Form 60 and 61 both need to be duly filled and cross checked before submitting as wrong submission of information may lead to facing critical consequences for the applicant. 

Frequently Asked Questions (FAQs)