Income Tax Department to send SMS for 18 types of high-value transactions
The Income Tax Department of India will be enforcing the task of sending out SMSs when a citizen provides his or her PAN card for various high-value transactions.
The Chairman of the Central Board of Direct Taxes, PC Mody, mentioned that the department will urge the citizens to declare their income tax returns for a calendar year and will have to be entered in a technological platform which is being developed.
In the light of the Union Budget 2019, and its interchangeability between the Aadhaar and PAN card, there are 18 such high-value transactions where Aadhaar card can be used if the citizen does not hold a PAN card.
For all these transactions, an SMS alert will be sent to the citizen. In this way, if the individual is quoting the Aadhaar card where a PAN card was previously mandatory, the IT department will immediately allocate the PAN card in the backend.
Under the Income Tax Rules, 114B mentions that there are 18 types of transactions where quoting of PAN is necessary. Depositing more than Rs.50,000 to your bank account in one day, payment for mutual funds and during travelling to a different country requires a PAN card authorisation.
22 July 2019
GJC seeks an increase in PAN card limit to buy gold
The All India Gem and Jewellery Domestic Council (GJC) has recommended that having to furnish PAN card details for purchase of gold jewellery be changed a little.
The council recommends that the limit to be able to buy gold jewellery without having to furnish a PAN card be increased to Rs.5 lakh from the current Rs.2 lakh. They stated that not more than 50% of the population own PAN cards and making it mandatory for gold purchase above Rs.2 lakh makes it difficult for people in rural areas to make gold purchases.
They also stated that in many cases, people are unwilling to share their PAN card details.
The council put forward this recommendation after stating that 4 bangles, a mangalsutra, a small nose pin, and rings for the bride and the groom alone will cost around 3 to 4 lakh. Agricultural households that do not have PAN cards, hence find it difficult to get the required jewellery for weddings.
Additionally, the council also hopes for the centre to cut import duty on gold.
10 July 2019
Wirecard joins hand with India to issue PAN
A German company, wirecard, dedicated to payments said that they would help India simplify the process of issuing PAN cards across the nation. These cards imperative documents required to be possessed by any individual who is eligible to pay tax. You also require your PAN to open bank accounts, transfer money, etc.
The plan is to widen the infrastructure to help distribute the card to over 1 billion individuals, most of whom work in the informal economy.
Wirecard has the infrastructure in place to help provide these cards and the technology required to scan documents that people need to apply for a PAN.
17 June 2019
High value transactions made by non-individual entities require PAN
Any transaction above Rs.2.5 lakh in the last fiscal year made by non-individual entities will attract a penalty if they haven’t applied for a PAN before May 31. Furthermore, entities involved in managing these transactions will have to obtain a PAN prior to the deadline.
This notification was issued by the CBDT (Central Board of Direct Taxes) on November 19, 2018. The institution had also mentioned that this law applies to a partner, director, trustee, founder, author, chief executive officer, principal officer, office bearer, any entity authorized to act on behalf of a non-individual is also required to obtain a PAN.
If these non-individual entities refrain from applying for a PAN before the deadline, they may attract a penalty of Rs.10,000 for not complying to the law.
31 May 2019
ips to update PAN details through the Umang App
Individuals who need to correct the details on their PAN Card can do it easily through the UMANG application. It’s is a unified platform for a few other government services along with the upgradation of PAN card details. To make any change through the app, users have to download it on their mobiles and then log in with their mobile number and click on the 'My PAN' tab.
On the page that they are redirected to, they have to select the ‘Correction or Change in PAN card CSF’ option. On the next page, they have to enter the PAN number and then click the next button. They should submit the duly filled form and click on the submit button.
Finally, they have to make the payment to get their PAN card details updated. After the payment has been made, they can submit the form along with the supporting documents at any PAN/ National Securities Depository Limited (NSDL) TIN-facilitation centre
20 May 2019
Not linking PAN to Aadhaar may land you in hot water
Although the last date for linking your PAN to Aadhaar has been extended several times, you could land in trouble if you fail to do so this time. CBDT (Central Board of Direct Taxes) has mandated this linking by September 30, 2019.
It is imperative to mention that if your Aadhaar is not linked to your PAN, your PAN is very likely to be inactive. In turn, a taxpayer would be unable to file ITR (Income Tax Returns) until you do so. It is aldo possible that your PAN may be cancelled.
In case you do not have an Aadhaar card, your PAN can be linked to Enrollment ID of the Aadhaar application.
12 April 2019
ECI makes submission of PAN mandatory for contesting Lok Sabha Elections
The Election Commission of India (ECI) on Sunday made the submission of PAN in the nomination papers mandatory for all candidates, who will contest in the upcoming Lok Sabha Elections. It needs to be mentioned here that the autonomous constitutional authority had last month directed candidates to provide their PAN details and also of their spouse and dependents in Form 26.
It is noteworthy to mention here that the Election Commission had introduced changes on filing norms in the month of February. Given the latest development, all candidates who want to contest in the general elections would need to mention their I-T returns for the last five years. Earlier, candidates had the option to skip providing PAN details and had to reveal the I-T returns filed for just the last year.
As per the new norms, candidates would be required to reveal information about their foreign investments. The new norms are also applicable on the spouse and members of Hindu Undivided Families (HUFs).
Meanwhile, the Election Commission announced the dates for the 2019 Lok Sabha elections on Sunday. Polling would be held in seven phases from April 11 to May 19 while the counting of votes will be held on May 23. Voting will take place on both Electronic Voting Machines (EVMs) and VVPAT machines.
12 March 2019
Income Tax Department To Issue Only E-refunds From March 1 The Income Tax Department starting March 1 will only issue e-refunds in the bank accounts of individuals who have linked their respective bank account number with the Permanent Account Number (PAN). Tax refunds are issued to individuals and corporates entities who pay higher income taxes as compared to their actual liability. It needs to be mentioned here that till now the income tax refunds are being sent via two modes namely bank RTGS/NECS and bank paper cheque. In order to get the income tax refunds via these modes, taxpayers are required to submit the bank account number and MICR code of the bank branch where the account is located. To receive the income tax refunds in the bank accounts which are linked to PAN, individuals will be required to validate the bank account with the e-filing portal of the Income Tax department. The bank account could either be a savings account, current account, cash account or an overdraft account. It is noteworthy to mention here that taxpayers who have not linked their bank account with the PAN can validate it through electronic verification code and net banking channels provided the bank is integrated with the income tax e-filing portal.
4 March 2019
CBDT Urge Taxpayers To Complete PAN-Aadhaar Linking by March 31 The Central Board of Direct Taxes (CBDT) in an advisory which was released recently has stressed that the PAN-Aadhaar linking was mandatory for filing an Income Tax Return (ITR). Given this fact, the authority has urged taxpayers to complete the procedure by March 31. In the advisory, the authority highlighted the fact that the linking was needed to be carried out in terms of Section 139AA of the Income Tax Act, 1961 and its order dated 30 June 2018. It needs to be mentioned here that the Supreme Court of India on February 6 has confirmed that linkage of PAN with Aadhaar was mandatory if an individual wanted to file an ITR. This reiteration by the apex court was needed after the Centre filed an appeal against a Delhi High Court order that allowed two people to file their ITRs for 2018-19 without linking their PAN and Aadhaar number. On September 26 last year, the apex court had declared the centre’s flagship Aadhaar scheme as being constitutionally valid even though it had struck down certain provisions.
4 March 2019
Pan Card Details Of A 27-year Old Delhi Man Misused
At a time when the government is trying to put in place certain mechanisms that help them in checking tax frauds, fraudulent companies are coming up with ways to cheat the systems. Recently, a bizarre case of data theft emerged when the PAN card details of a 27-year-old Delhi man named Anuj Kumar Srivastav was misused. Srivastav who works as a sales representative in a pharma company earning Rs.25,000 in a month was listed as a director of 13 different companies. He came to know that his card details were stolen only when the Income Tax department issued a notice in the month of January 2018. It needs to be mentioned that Srivastav had lodged a complaint with the Delhi police and the Enforcement Directorate in February stating that his PAN details were being used by certain bogus companies to carry out large-scale dealings with companies that are based abroad. He hopes that the Income Tax Department will take the matter seriously and rectify the mistake at the earliest as he has not been able to avail a personal loan of Rs.5 lakh due to the misuse of his PAN details.
29 August 2018