NEW DELHI: RBI today asked banks to ensure customers submit a copy of PAN card for any cash deposit exceeding Rs 50,000, if it is not already seeded with the account, to ensure tax rule compliance in the wake of the recent decision to abolish Rs 500 and Rs 1,000 notes.
“With a view to ensuring compliance with provisions of 114B of the Income Tax Rules, 1962, the banks are advised that anybody depositing more than Rs 50,000 in cash in their bank account has to submit a copy of the PAN card in case the bank account is not seeded with PAN,” Reserve Bank said in a notification.
Besides, RBI has asked banks to insist on their customers to share permanent account number (PAN) for all applicable transactions mandated under the I-T rule.
The RBI directive follows the Government order last week withdrawing the legal tender status of high-denomination bank notes — Rs 500 and Rs 1,000 — specifically. (AGENCIES)
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