As per Section 203A of the Income Tax Act 1961, it is mandatory for all asseesee’s liable to deduct TDS to quote this TAN Number in all communications regarding TDS with the Income Tax Department Failure to do so attracts a penalty of Rs. 10,000 . TDS Returns and Payments would not be received by the Banks if TAN No. is not quoted. What Is TAN? TAN Number is a 10 Digit Alphanumeric Number and is used as an abbreviation for Tax Deduction and Collection Account Number . ü Difference between TDS and TCS? Every Assessee who is liable to deduct TDS required to apply for a TAN No first and shall quote this number in all TDS Returns, TDS Payments and any other communication regarding TDS with the Income Tax Department. ü An assessee is any individual who is liable to pay taxes to the government against any kind of income earned or any losses incurred by him for a particular assessment year. How to apply for TAN Number? TAN Numb...