​What is the difference between PAN and TAN?

Answer 1

• P​AN stands for Permanent Account Number and TAN stands for Tax Deduction Account Number.
• TAN is to be obtained by the person responsible to deduct tax, i.e., the deductor.
• In all the documents relating to TDS and all the correspondence with the Income-tax Department relating to TDS one has to quote his TAN.
• PAN cannot be used for TAN, hence, the deductor has to obtain TAN, even if he holds PAN.
• However, in case of TDS on purchase of land and building (as per section 194-​IA) as discussed in previous FAQ, the deductor is not required to obtain TAN and can use PAN for remitting the TDS.​