Cash Deposit New Rule: It will be necessary to give PAN and Aadhaar for depositing cash of 20 lakh rupees or more in a bank or post office in any one financial year.
Cash Deposit New Rule: The government has made new rules regarding cash transaction of money in the bank or post office. According to the new rules, PAN and Aadhaar will be required for depositing cash of Rs 20 lakh or more in a bank or post office in any one financial year.
The Central Board of Direct Taxes (CBDT) has issued new rules under the Income Tax (15th Amendment) Rules, 2022. However, the new rules will be implemented from May 26. But they have been notified.
Read the full notification of the new rules regarding cash transactions here
In which transactions PAN-Aadhaar will be necessary
PAN-Aadhaar will be mandatory for depositing Rs 20 lakh in cash in one or more accounts in a financial year in a banking company or corporative bank or post office.
It will also be necessary for cash withdrawal of 20 lakh rupees from any one or more accounts in a banking company or co-operative bank or post office in a financial year.
PAN-Aadhaar will be mandatory for opening current account or cash credit account in a banking company, co-operative bank or post office.
Pan card mandatory even for opening current account
Now anyone has to show their PAN card to open a current account. At the same time, people whose bank account is already linked with PAN, but they will also have to follow this rule at the time of transaction.
Keeping an eye on cash transactions
The government wants to bring more and more people under the tax net through this step. They do huge cash transactions, but they neither have a PAN card nor do they file income tax returns. While doing such transactions, the Income Tax Department will be able to easily trace such transactions on the PAN number.
