Multiple choice

Banks are required to make deduction of tax at source but before that, they should have/obtain

  1. permanent account number (PAN)

  2. tax deduction account number (TAN)

  3. tax identification number (TIN)

  4. All of the above
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Tax Deduction Account Number or Tax Collection Account Number is a 10-digit alphanumeric number issued by the Income Tax Department (we will refer to it as TAN). TAN is to be obtained by all persons who are responsible for deducting tax at source (TDS) or who are required to collect tax at source.

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