TIN - Tax Identification Number

A TIN or Tax Identification Number is allotted to a business/company by the Commercial Tax Department. It consists of an 11-digit number for business identification. The firm in question is also registered under Value Added Tax (VAT) or Central Sales Tax (CST) for trading services and goods. The Taxpayer Identification Number is also the Value Added Tax Number if the transactions happen at the intra-state level. GST replaced VAT in many sectors from July 2017.

The TIN contains the unique code of the state that issues the number. And this code is the last 2 digits. The other 9 digits differ based on the state government that registers the Tax Identification Number. In this post, we will discuss TIN features, the application process, required documents, differences between TIN and TAN, and frequently asked questions.

Features of TIN – Tax Identification Number

Here are the features of TIN:

• Business enterprises that specialize in the manufacture, trade, export, and deal with goods and services will need a Tax Identification Number to purchase and sell goods and services
• TIN helps to identify assets under the Income Tax Act
• TIN is also referred to as a Value Added Tax number. It is important to have a TIN if you are going for VAT registration
• It allows integration of tax-related details on a single place
• With the assistance of a business’s TIN, the authority in question can access the company’s presence and tax-based activities throughout different states
• Thus, TIN streamlines inter and intra-state transactions on a unified platform
• If you do not mention TIN in the sales documents, then you have to pay the required fine. The penalty amount thereby is decided by the state which assigns the Tax Identification Number

How to Apply for TIN (Tax Identification Number)?

Here is the process to apply for TIN. The procedure may vary from one state to another. But here are the steps on how the application usually takes place:

• As per the state government, sign on to the respective VAT portal with your unique login ID
• Fill up the application form and provide the required details
• Now, upload the documents the portal asks for a TIN application
• After submission of the application, the Commercial Tax Department of the respective state will perform verification
• Following this process, you will receive a provisional certification along with a Tax Identification Number allotted
• Then a VAT inspector from the concerned state government will physically visit the business address for final verification
• Once the verification is confirmed, you will receive the final certification

Documents Required for TIN

The papers you need for the Tax Identification number can differ from one state to another. But usually, you will need the following government-recognized documents:

• 4 to 6 recent passport size photographs of the proprietor
• Address and identity proof
• PAN Card of the proprietor
• Reference
• Address proof of the business that wants a TIN

What Are the Differences between TAN and TIN?

Below are the major differences between TIN and TAN (Tax Deduction and Collection Account Number) -

Frequently Asked Questions about TIN

Here are the FAQs on Tax Identification Number: