To open and maintain a Trading and Demat account, having a Permanent Account Number (PAN) is essential. Typically, when you apply for a PAN as a Resident of India, it is issued under the Resident category. However, if your residential status changes from Resident Indian to Non-Resident Indian (NRI), it's crucial to update your PAN status accordingly. This update is particularly important for NRIs who wish to open a trading and demat account, as these accounts cannot be opened if the PAN status is not updated to reflect the NRI category.

Keeping your PAN status updated ensures compliance with regulations and allows you to enjoy the benefits available to NRIs.

How to Update PAN Status

1. Visit the Income Tax E-Portal: Go to the official Income Tax E-Portal website.
2. Log in:
   • Log in using your User ID, which is your PAN number.
   • Enter your password. If you have forgotten it, reset it online. Watch Video to learn how to retrieve your password.
   • If you haven't created a login account yet, create one under NRI status. Watch Video to learn how to create an account.
3. Update Your Profile: Select "My Profile" from the menu.
4. Edit Residential Status: Click on the Edit button and update your Residential Status to "Non Resident."
5. Update Jurisdiction Details: Scroll down to the Jurisdiction details section and find your Assessing Officer's (AO) email ID.
6. Request PAN Update: Write an email to your AO requesting the update of your PAN status to NRI. Attach supporting documents such as your OCI (Overseas Citizen of India) Copy, PIO (Person of Indian Origin) Copy, or Foreign Passport Copy along with your PAN.

It may take a few days for your PAN status to be updated. If you do not see the update, you can raise a grievance by following these steps:

Raising a Grievance

1. Log in to the IT E-Portal: Visit the Income Tax E-Portal website and log in.

2. Select Grievance: Choose the "Grievance" option.

3. Choose Relevant Department: Select "AO" under the relevant department.

4. Select Grievance Category: Choose "PAN related Application."

5. Select Sub-Category: Choose "Change of Citizenship Flag."

6. Attach Supporting Documents: For attachments, select "Other documents" and upload your OCI/PIO/Foreign Passport Copy.