Govt. tightens transactions above Rs.50,000; PAN No. made compulsory

The government has taken stringent measures to check evasion of Income-tax and black money. The measures that come into force today include the mention of IT PAN number in case of every transaction above Rs.50,000. If PAN number is not there, Form 60 should be attached. Form 60 should have the name, address and declaration of the nature of transaction. Dodgy declarations will invite minimum 3 months and maximum 2 years imprisonment. PAN number is compulsory for many transactions. Any transaction above Rs.50,000, or purchase of tickets for going abroad, for purchase of stocks above the amount, for issuing banker's cheques or DDs worth above the amount in a single day, paying insurance premia exceeding the amount in a year, all attract PAN number. The purchase of gold above Rs.2 lakh, buying property worth Rs.10 lakh and above also need a mention of PAN number. Apart from these provisions, even opening a bank account will necessitate the mention of PAN number.