Kochi: Extending a slew of services to depositors, including NRIs, South Indian Bank (SIB) has tied up UTI Technology Services to provide permanent account number (PAN) to depositors who will be charged 20 percent tax deduction at source on interest in the absence of a PAN. As per the stipulations of the Federal Government, an outright deduction of 20 percent tax would be levied on interest in respect of deposits starting April 1. However, depositors will be levied only 10 percent tax deduction at source if their transactions bear PAN.
SIB managing director V A Joseph said the bank was recently permitted to enter into a PAN service facility with the UTI Technology Services Ltd, which would operationalize the PAN allotment to applicants from Wednesday.
The SIB, Keralas fastest growing private sector bank, will launch the PAN Service Agency (PSA) at 25 selected branches. The NRI division of the bank would be the nodal office for PSA services to all NRI clients.