To keep a check on tax defaulters, black moneymakers, and illegal transactions, the Income Tax Department of India has made PAN card a compulsory document, for carrying our specific transactions. In absence of PAN card, an individual has to submit Form 60 declaration.
The following are the transactions that require PAN card number:
- For opening a bank account.
- Depositing cash above Rs. 50000 with a bank in a day.
- For buying or selling motor vehicles.
- When applying for credit or debit card.
- For opening a Demat account.
- For any payment made in cash of an amount exceeding Rs. 50000 against a bill of one time.
- For purchasing debentures, mutual funds, and bonds worth Rs. 50000.
- For any transaction made with a bank like a bank draft, pay orders or banker’s cheque, in one day for the amount exceeding Rs. 50000.
- For Fixed Deposits of above Rs. 50000 or aggregating to Rs 5 lakh or above in a financial year.
- For paying an insurance premium of more than Rs. 50000 in a financial year.
- For buying or selling securities (other than shares) exceeding Rs. 1 lakhs
- Buying or selling shares of any company (not listed in any recognised stock exchange) for above 1 lakh.
- Buying or selling of any immovable property for an amount of above 10 lakh
- Buying or selling of products or services for an amount exceeding 2 lakhs in one transaction.
However, as per the latest amendments effective from September 1, mentioning your Aadhaar card number in lieu of PAN card. However, it is also important to link your Aadhaar card with PAN card.
Also, Check Pan card status for daily updates and Govt. news regarding PAN card.