New Delhi, Dec 16 (IANS) The government on Wednesday announced mandatory quoting of income tax permanent account number (PAN) for payment of hotel bills and buying of foreign travel tickets costing Rs.50,000 and above.
PAN would also be mandatory for cash payments of more than Rs.50,000 for cash cards or prepaid instruments, as well as for acquiring shares in unlisted companies for Rs.1 lakh and above.
The new norms aimed to curb domestic black money generation will be effective from January 1, 2016, Revenue Secretary Hasmukh Adhia told reporters here.
Furnishing of PAN for post office deposits of over Rs.50,000 has been dispensed with to facilitate small investors.
Adhia said PAN has been mandatory for opening all bank accounts, except Pradhan Mantri Jan Dhan Yojana accounts.
He said on the purchase of jewellery or bullion, major sources of generation of black money, PAN would be required if the sum involved is Rs.2 lakh per transaction. Currently, it is mandatory for a transaction of Rs.5 lakh and above.
PAN will also be mandatory on the purchase of immovable property of Rs.10 lakh and above.
Non-luxury cash transactions of Rs.2 lakh will also require submission of PAN details.
Finance Minister Arun Jaitley told parliament on Tuesday that the government had made PAN mandatory for cash transactions of Rs.2,00,000 and above.
An official notification in this regard would be issued shortly, he told the Lok Sabha while presenting his ministry's supplementary demand for grants.
