for all purchases exceeding Rs1 Lac, you are required to quote your PAN. There is also a penalty of Rs.10,000 for not furnishing PAN or giving the incorrect number. And this is not a one-time penalty; you can be penalized for each default. So, if you furnish an incorrect number to, say, your employer and the bank, you may have to pay Rs.20,000.
In cases where the amount of tax that would have been evaded if the statement or account filed by the person had been accepted as true, exceeds Rs.25 lakh, along with a fine, there may be rigorous imprisonment for six months to seven years.
If the amount is lower than Rs.25 lakh, the rigorous imprisonment can be for three months to two years,