PAN 2.0 update: New PAN card will have dynamic QR code; contract for the project yet to be awarded

The PAN 2.0 project will introduce PAN cards with a dynamic QR code, which will display the latest data present in the PAN database, the government informed Parliament on Tuesday, July 29, 2025.

While PAN cards have carried QR codes on them since 2017, the PAN cards that will be issued under the updated version of PAN (PAN 2.0) will have further enhancements, Minister of State (Finance) Pankaj Chaudhary said in a written reply in Lok Sabha.

“The PAN cards issued since 2017, as well as the PAN cards that will be issued under the PAN 2.0 project, have a QR code. However, under the PAN 2.0 project, the QR code will have further enhancements (a dynamic QR code that will display the latest data present in the PAN database). The existing PAN cards will continue to be valid under PAN 2.0, and there is no requirement for existing PAN holders to obtain a new PAN card,” the minister stated.

However, the contract for the PAN 2.0 project hasn’t been awarded yet, he added in the reply.

PAN 2.0 project

In November 2024, the Cabinet Committee on Economic Affairs (CCEA) approved the PAN 2.0 project, introducing QR-enabled cards and making the Permanent Account Number (PAN) a 'common business identifier' for all digital systems of government agencies.

The project, with an outlay of ₹1,435 crore, is an initiative by the Income Tax Department to modernise the PAN system. It is aimed at making the 10-digit alphanumeric PAN a common identifier across all digital systems of specified government agencies. The new system will offer a unified digital portal, paperless services and improved grievance redressal mechanisms.

"They used to say they don’t want different (identification) numbers; a single number would be beneficial. The project will make efforts to make PAN the common business identifier. All PAN/TAN/TIN will be clubbed under this system,” Union information and broadcasting minister Ashwini Vaishnaw said in a Cabinet briefing last year.

For businesses, the new PAN will serve as a common identifier across government platforms, reducing paperwork and improving coordination.

The new system will have these benefits:

• Unified Portal: A single portal for all PAN-related services.
• Security: Enhanced QR codes with mandatory PAN Data Vaults for improved cybersecurity.
• Efficiency: Faster and cost-effective services with an improved grievance redressal mechanism.
• Consistency: A “single source of truth” system for enhanced data consistency.

Under PAN 2.0, existing PAN holders will not be required to apply for a new PAN. However, PAN cardholders with old PAN cards without QR codes can request a new one to avail of the enhanced features if they wish.

Remember that no one shall hold multiple PAN cards, and holders of multiple PANs should report and deactivate extras as required by the Income-tax Act, 1961.