The government has made it mandatory to quote either PAN or Aadhaar for depositing or withdrawing over ₹20 lakh in a financial year or opening of a current account.
The Central Board of Direct Taxes (CBDT), in a notification, said furnishing the Permanent Account Number (PAN) or biometric Aadhaar will be mandatory for such high-value deposits or withdrawals from banks in a financial year, or opening of a current account or cash credit account with a bank or post office.
Commenting on the move, AKM Global Tax Partner Sandeep Sehgal said this shall bring in more transparency to financial transactions where banks, post offices and co-operative societies would be required to report the transactions of deposits and withdrawals aggregating to ₹20 lakh or more in a financial year.
