No more PAN card hassle..! Important announcement..!

While Aadhaar and PAN cards are mandatory for many services in india which is a huge inconvenience to people, some relaxation in these norms is going to be announced during the budget statement on 1st February. Aadhaar cards are being asked for many services. In this situation, some relaxations in PAN card restrictions are being planned, and there is a high chance that the announcement for this will be made in the last budget statement of the 2nd term of the government led by prime minister Narendra Modi. Expectations are high that many important announcements will be made in the budget statement for the 24th financial year.
In this situation, it is said that the announcements about PAN number relaxations will be widely welcomed among the people. While the central government is obliged to submit a PAN card as evidence for some important money transfers, it seems that permission has been given to do this by showing an Aadhaar card. It is expected that all the financial institutions that process money transfers will implement this change immediately after bringing the notification. Through this, it is expected that even those who do not have a PAN card will be able to make necessary financial transactions with an Aadhaar card.As most bank accounts are linked with an Aadhaar number, banks have explained to the government that the PAN number is not required for financial transactions and have sought relaxation. Currently, if the PAN number is not provided, the transaction is subject to 20 percent TDS under Section 206AA of the Income Tax Act, which is 20 percent tax even if one's income tax threshold is below 20 percent. bank officials pointed out that for individuals, almost all bank accounts are already linked with Aadhaar numbers and Section 139A(5E) of the Income Tax Act allows quoting of Aadhaar instead of PAN for certain transactions. Section 206AA of the Income Tax Act is to ensure that TDS is applied at the correct rate and also aims to prevent tax evasion by various categories of individuals or companies who do not have PAN or do not mention their PAN number in certain transactions.In this case, individual taxpayers will be benefited from clarifications and announcements announced in the budget regarding the central government's PAN-Aadhaar compulsion and relaxation.
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no more PAN cards hussle

Sowmiya Sriram

23/12/2022 03:47 PM