look news india
New Delhi: With the beginning of the new financial year, there has been a major change in many rules related to the common man’s wallet and paper work. From today i.e. from April 1, the government has implemented new rules regarding making and using Permanent Account Number (PAN). If you are thinking of making a new PAN card or are going to do any big transaction from bank to property, then you must know about these new rules. The government has taken these steps to bring transparency in financial transactions and ease compliance.
Now PAN will not be made with Aadhar card alone
The biggest change has happened in the process of making PAN card. Till now you could easily get PAN card made by just giving your Aadhar card, but this will not happen from April 1. According to the new rules, now the applicant will have to submit some additional documents to verify his identity and date of birth (DOB) along with the Aadhar card.
These documents will be valid:
Birth Certificate
Voter ID Card
10th class certificate or mark sheet
Passport
Driving License (DL)
Affidavit issued by magistrate
Note: Your name should be exactly the same on PAN card and Aadhar card, only then your application will be accepted.
4 new forms have arrived for application
Now the system of forms for making PAN card has also been changed according to the category of the applicants.
Form 93: For common citizens (Individuals).
Form 94: For companies.
Form 95: For Foreign Individuals.
Form 96: For foreign entities or companies.
New rules for use of PAN in transactions and purchases
Along with making PAN card, several important changes have been made in the limits of its use from April 1:
Bank Deposits and Withdrawals: Now, if you deposit or withdraw more than Rs 10 lakh from the bank during a financial year, then it will be mandatory for you to provide PAN card.
Car purchase: Earlier, PAN had to be given on purchasing any vehicle, big or small. Now under the new rule, PAN card will be required only if you buy a car worth more than Rs 5 lakh.
Insurance Policy: Earlier, PAN was required for premium of more than Rs 50,000, but now PAN card has been made mandatory for purchasing every type of insurance policy, no matter how low the premium is.
Property Transaction: There is relief for those buying land or houses. Earlier PAN was applicable on property worth Rs 10 lakh, which has now been increased to Rs 20 lakh. That means PAN will be mandatory only on properties worth Rs 20 lakh or more.
Hotel and Restaurant Bill: If you are paying for hotel, restaurant or any event booking in cash, then the limit for giving PAN card has been increased from Rs 50 thousand to Rs 1 lakh.