Your Bank A/Cs won’t operate without your Aadhaar and PAN Card Details.

Your Bank A/Cs won’t operate without your Aadhaar and PAN Card Details.

As it was announced earlier this year, banks have made it mandatory as per the laws of Indian Legislature, for bank holders to link their PAN and Unique ID (Aadhaar Card) details with their respected banks. 

Now another announcement has been made, which demands all citizens with a bank account or while making any transaction above Rs 50,000 to share their Aadhaar as well as PAN card details with the bank.

                                                 

Existing bank account holders are also requested to provide their Aadhaar details to the bank by 31st December 2017; else their accounts will become inoperable. Anything above the transaction threshold of Rs 50,000, be it investments in fixed deposits, mutual funds or any other insurance policies will require the applicants or bank holders to submit their PAN and Aadhaar details. This is also applicable for users who make multiple transactions which add on to or above Rs 50,000. This will allow the government to fight against corruption and help them in curbing unaccounted income by connecting user’s details with PAN information.

These amendments have been passed by the government as a preventive measure to keep an eye on holder’s transactions. These money laundering rules will be made mandatory from 1st June, so better share your PAN and Aadhaar Card with your bank. These rules tighten provisions for people with small accounts like holders under the Pradhan Mantri Jan Dhan Yojana, who have less stringent KYC (Know Your Customer) rules.

 Rules for Corporate Sector

Corporates will have to follow a series of continuation measures that are set by the government, which yearns to fight the corruption following Prime Minister's tactics like demonetization and Benami Law to unveil the black money in the country. The new law has already been implemented by the government that discourages or rather prevents individuals from using multiple tax IDs or PAN cards.

Government requests every citizen in the country with a bank account to share their PAN and Aadhaar details with the bank before 31st December.