The Central Board of Direct Taxes (CBDT) issued a notification, amending the Income Tax Rules to make it mandatory to provide a Permanent Account Number (PAN) or Aadhaar for a specific set of transactions. As per the notification, a person must obtain and quote a PAN when making any Cash deposit that sums up to Rs 20 Lakh during a year, or such transactions are done in one or more bank accounts of a person
Below are the transitions which was specified in the Notification:
(a) cash deposit or deposits aggregating to twenty lakh rupees or more in a financial year, in one or more account of a person with a banking company or a co-operative bank to which the Banking Regulation Act, 1949 (10 of 1949) applies (including any bank or banking institution referred to in section 51 of that Act) or a Post Office;
(b) cash withdrawal or withdrawals aggregating to twenty lakh rupees or more in a financial year, in one or more account of a person with a banking company or a co-operative bank to which the Banking Regulation Act, 1949 (10 of 1949) applies (including any bank or banking institution referred to in section 51 of that Act) or a Post Office;
(c) opening of a current account or cash credit account by a person with a banking company or a co-operative bank to which the Banking Regulation Act, 1949 (10 of 1949) applies (including any bank or banking institution referred to in section 51 of that Act) or a Post Office.”;
[Notification No. 53/2022/F.No. 370142/49/2020-TPL]
The notification said, “The permanent account number or Aadhaar number alongwith demographic information or biometric information of an individual shall be submitted to the Principal Director General of Income-tax (Systems) or Director General of Income-tax (Systems) or the person authorised by the Principal Director General of Income-tax (Systems) or Director General of Income-tax (Systems) with the approval of the Board.”