Cash Transaction Rules: If you do financial transactions of large amount without PAN Aadhaar, then your trouble may increase. Without PAN Aadhaar (PAN-AADHAR) it will not be possible to do financial transactions. The government has made the rule of doing cash transactions without PAN and Aadhaar very strict. The new rule made by the Income Tax Department will have an effect on those doing financial transactions without PAN and Aadhaar. According to the new rules, PAN and Aadhaar will be required to deposit or withdraw cash of Rs 20 lakh or more in a bank or post office in a financial year.
New rule of tax department on cash deposit withdrawal
The Central Board of Direct Taxes (CBDT) has made a new rule under the Income Tax Act. According to the new rule, it will be necessary to provide PAN Aadhaar for such transactions. in which
1. It will be necessary to provide PAN Aadhaar for cash deposits of Rs 20 lakh or more in the account of one or more people in a banking company, cooperative bank or post office in a financial year.
2. Apart from this, PAN and Aadhaar will be required to withdraw cash of Rs 20 lakh or more from one or more bank accounts or cooperative banks or post offices in a financial year.
3. And if a person opens a current account or cash credit account with any bank or cooperative bank or post office, then he will have to give PAN and Aadhaar number.
Will help in preventing tax evasion
In fact, through this step, the government wants to bring more and more people under the tax net, who do huge cash transactions, but they neither have a PAN card nor do they file income tax returns. This information is available with the tax department that there are many people who deposit and withdraw more than 20 lakhs in the bank account within a year but do not file income tax returns. Now if PAN is made mandatory for transactions of 20 lakhs or more, whenever anyone is found doing a transaction of more than this, then income tax will be able to trace such transactions easily and this will also help in preventing tax evasion.