Answered on December 29,2017
Taxpayer Identification Number or TIN is the registration number assigned to business enterprises and organizations. It is a eleven digit number to be quoted in all tax and business related transactions and for its further correspondence. Just like how PAN or Permanent Account Number is a number assigned to taxpaying individuals, Tax Identification Number is a number allotted to business enterprises in order to track their transactions. Tax Identification Number is necessary for all organizations and business entities who have registered under Value Added Tax for conducting business, that is the sale of goods and services. Basically, if they are liable to pay tax and have exceeded the specified threshold limits, they have to apply for a VAT registration, and then they will be given a Tax Identification Number. It is mandatory for manufacturers, dealers, exporters, traders to have a Tax Identification Number.