Aadhaar to be mandatory to file IT Returns or New PAN Card.

Aadhaar must to file I-T returns and apply for PAN card; cap on cash transaction lowered to Rs 2 lakh

The government decided on Tuesday to lower the legal limit on cash transaction from Rs 3 lakh to Rs 2 lakh, and make Aadhaar number mandatory for filing income tax returns and applying for a PAN card.

The decisions were part of amendments moved to the finance bill, which puts into effect the Budget proposals.

The Budget 2017 had proposed cash transactions of more than Rs 3 lakh value be banned but the finance bill tabled on Tuesday lowers the ceiling, said revenue secretary, Hasmukh Adhia.

“The difference between demonetisation and this is that the former is used to destroy the stock of black money while the ban will prevent the future flow of black money. This limit will also reduce the quantum of cash transactions in the economy” Adhia had told HT.

To ensure a deterrent, the penalty for violation is equivalent to the amount transacted.

The amendments also make Aadhaar must for tax returns and PAN applications beginning July 1. Aadhaar enrolment number while filing ITR could also be accepted. Failing to declare Aadhaar may lead to PAN being deemed invalid.

The move is likely to roil activists who say the Aadhaar programme – the enrolment to a national database with biometric information such as fingerprints and iris scans – is meant to be voluntary, as declared by the SC in September last year.

“Aadhaar has been optional for ITR for a few years. The challenge will be for foreign nationals who pay taxes in India. We will have to see the amendment to understand its implications,” said Kuldip Kumar, leader, personal tax at PwC India. The amendment, however, says the government will specify exemptions for mandatory Aadhaar rule.

The finance bill carries an unprecedented 40 amendments, according to PTI, and will also impact other laws such as RBI act and representation of people act. Political parties hit out at the tweaks, saying they were being done as ‘backdoor entry’.

The finance bill is classified as a money bill, which does not require bicameral approval and can be approved by the Lok Sabha alone where Prime Minister Narendra Modi’s BJP has a majority.

The limit on cash transactions is in keeping with recommendations of the Special Investigation Team (SIT) on black money.

In addition to this limit, the Income Tax Act prohibits making or accepting payment of an advance of Rs 20,000 or more in cash for purchase of immovable property. PAN is also mandatory for any purchase of above Rs 1 lakh.

Source: Hindustan Times

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Procedure for Registration and Submission of Form V

DGIT(S)-ADG(S)-2/e-filing notification/106/2016

Government of India

Ministry of Fiance

Central Board of Direct Taxes

Directorate of Income Tax (Systems)

Notification No. 14 of 2016

New Delhi, 30th December, 2016

Procedure for Registration and Submission of Form V for Reporting under Pradhan Mantri Garib Kalyan Deposit Scheme (PMGK), 2016

In exercise of the powers conferred by Subsection (c) of Section 199B of the Finance Act, 2016 (28 of 2016), the Central Government in consultation with the Reserve Bank of India notified the Pradhan Mantri Garib Kalyan Deposit Scheme (PMGK), 2016.

As per para 7(2) of the PMGK deposit Scheme, 2016, the Authorised banks are required to furnish electronically the details of deposits made under PMKG in Form V not later than next working days to enable the Department to verify the information of the Deposit before accepting the declaration.

The following procedure shall be followed by the Authorised banks for furnishing the PMGK deposit details.

a)  Registration and generation of Income Tax Department Registered Entity Identification Number (ITDREIN) :  The Authorised bank is required to get registered with the Income Tax Department by logging in to the e-filing website (http://incometaxindiaefiling.gov.in) with the log in ID (PAN).  A link to register Authorised bank has been provided under "My Account>Manage ITDREIN".  Once ITDREIN is generated, the Authorised bank will receive a confirmation e-mail on the registered e-mail ID and SMS at registered mobile number.  There will be no option to de-activate ITDREIN, once ITDREIN is created.

b)  Registration of designated director and principal officer:  After generating ITDREIN, the Authorised bank will be required to submit the details of designated director and principal officer.  The designated director and principal officer will receive and confirmation e-mail with an activation link.  An SMS along with OPT (One time Password) will also be sent to the registered Mobile Number.  For completion of registration, the designated director and principal officer should click on the Activation Link, enter the Mobile PIN (OPT), Password and Confirm Password and click on Activate Button.  On success, the registration will be complete.

c)  Preparation of Form V (PMKG Deposit Scheme) data file:  Every Authorised bank is required to submit the PMKG deposit details in Form V.  The prescribed schema for Form V and a utility to prepare XML file can be downloaded from the e-filing portal home page under Forms (other than ITR) tab.  The filer can also refer to the User Manual for ITDREIN Registration and Upload of Form V.

d)  Submission of Form V (PMGK Deposit Scheme):  The designated director is required to login to the e-filing portal with the ITDREIN, PAN (of the designated director) and password.  The form is required to be submitted using a Digital Signature Certificate of the Designated Director.

Sd/-

(S.S.Rathore)

Pr.DGIT(Systems),CBDT

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Free Download New PAN Application and Correction in PAN Card.

The procedure for PAN card application will be changed w.e.f. 03.02.2014 as per circular of Income Tax Department. As per the new procedure, PAN applicant has to submit self-attested copies of Proof of Identity (POI), Proof of Address (POA) and Date of Birth (DOB) documents and also produce original documents of such POI/POA/DOB documents, for verification at the counter of PAN Facilitation Centres. Original documents shall not be retained by the PAN Facilitation Centres and will be returned back to the applicant after verification.

Application Form for New PAN allotment should be used when the applicant has never applied for a PAN or does not have PAN allotted to him. Applicant may visit ITD’s website www.incometaxindia.gov.in to find whether a PAN has been allotted to him or not.

Income Tax Department has been notified for New PAN Application w.e.f. 01.11.2011 which is as under:

FORM 49A : To be filled by Indian citizens including those who are located outside India.

FORM 49AA: To be filled by foreign citizens.

Application Form for new PAN Card or/and Changes or Corrections in PAN Data for those who have already obtained the PAN and wish to obtain the new PAN card or want to make some changes / corrections in their PAN data, are required to submit their applications in the following form prescribed by Income Tax Department.

Download New PAN Application

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Free Download New PAN Application (Form-49A) w.e.f. 03.02.2014

The procedure for PAN card application will be changed w.e.f. 03.02.2014. From this date, every PAN applicant has to submit self-attested copies of Proof of Identity (POI), Proof of Address (POA) and Date of Birth (DOB) documents and also produce original documents of such POI/POA/DOB documents, for verification at the counter of PAN Facilitation Centres. The copies of Proof of Identity (POI), Proof of Address (POA) and Date of Birth (DOB) documents attached with PAN application form, will be verified vis a vis their original documents at the time of submission of PAN application at PAN Facilitation Centre. Original documents shall not be retained by the PAN Facilitation Centres and will be returned back to the applicant after verification.

As per the new PAN allotment process which will effect from 03.02.2014 applicant of PAN application must file original documents at the time of PAN verification by PAN application counters.

DOWNLOAD NEW PAN APPLICATION (EXCEL FORMATE)

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Furnishing of authorisation and maintenance of documents etc. for the purposes of section 94A

S.O. 1856(E)   In exercise of the powers conferred by sub-section (3) of section 94A read with section 295 of the Income-tax Act, 1961 (43 of 1961), the Central Board of Direct Taxes hereby makes the following rules further to amend the Income-tax Rules, 1962, namely:-

1.  (1)   These rules may be called the Income-tax (8th  Amendment) Rules, 2013.
    (2)   They shall come into force on the date of their publication in the Official Gazette.

2.  In the Income-tax Rules, 1962 (hereafter referred to as the principal rules), -
  
(a) after rule 21AB, the following rule shall be inserted, namely:-

“Furnishing of authorisation and maintenance of documents etc. for the purposes of section 94A.
21AC (1) For the purposes of clause (a) of sub-section (3) of section 94A, the authorisation to be submitted by the assessee, shall be in Form No. 10 FC. (2) The assessee shall cause the first  copy of the duly filled Form No.10FC to be eposited with  or transmitted to the financial institution referred to in clause (a) of sub-section (3) of section 94A.

(3)  The second copy of the Form No. 10FC  along with the  evidence of the first copy of said Form having been deposited or transmitted to the financial institution shall be  submitted  by the  assessee to the Assessing Officer having jurisdiction over him.

(4)   For the purpose of ensuring that the authorisation in Form No.10FC is legally enforceable, the assessee shall take all necessary steps as are required under any law for the time being in force in India or outside India.

(5) For the purposes of clause (b) of sub-section (3) of section 94A, the assessee who has entered into a transaction  with a person located in a notified jurisdictional area (hereinafter referred to as the specified person) shall, in addition to information and documents referred to in sub-rule (1) of rule 10D, keep and maintain the following information and documents, namely:—
    (a) a description of the ownership structure of the specified person, including name and address of individuals or other entities, whether located in the notified jurisdictional area or outside, having directly or indirectly more than ten per cent. shareholding or ownership interests;
    (b) a profile of the multinational group of which the specified person is a part along with the name, address, legal status and country of tax residence of each of the enterprises comprised in the group with whom the assessee has entered into a transaction, and ownership linkage among them;
    (c) a broad description of the business of the specified person and the industry it operates in;
    (d) any other information, data or document, which may be relevant for the transaction with the specified person.

(6) The information and documents specified in sub-rule (5) shall be for the period upto the due date of filing of return of income under sub-section (1) of section 139.

(7) The information and documents specified in sub-rule (5) shall be kept and maintained for a period of eight years from the end of the relevant assessment year.”;

Read more about Furnishing of authorisation and maintenance of documents etc. for the purposes of section 94A.

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How to claim Exemption from Income Tax by Form 15G and how to avoid its Penalty?

Form No. 15G is a declaration form which can be filed by non senior citizens if the final tax on his estimated total income computed as per the provisions of the Income Tax Act should be NIL, and the aggregate of the interest etc. received during the financial year should not exceed the basic exemption limit.

If both these conditions are satisfied, Form 15G may be furnished and in such case, the entire interest income can be paid without deduction of tax at source.

False statement causing Penalty.
Before signing the verification, the declarant should satisfy himself that the information furnished in the declaration is true, correct & complete in all respect. Any person making a false statement in the declaration shall be liable to prosecution u/s 277 of the Income Tax Act-1961 and in case where tax sought to be evaded exceeds Rs. 1 Lacs (Rs. 2.50 Lacs w.e.f. 01.07.2012), with a rigorous imprisonment which shall not be less than 6 months but which may be extend to 7 years & fine as well as in any other case, with rigorous imprisonment which shall not be less than 3 months but which may extend to 3 years (2 years w.e.f. 01.07.2012) & fine.

It appears that you have submitted Form No. 15G under the wrong impression that tax on your estimated income for the relevant year is Nil. You may pay the balance amount of your tax liability now at the time of filing the return of income. As far as prosecution is concerned, it may be noted that the Commissioner of Income Tax is empowered to grant immunity from prosecution u/s 278AB of the Income Tax Act-1961.

Exemption Claim from Income Tax.
The exempt income is required to be reported in the Sahaj in Part D (D19).

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Revised Form 49A for Indian citizens & new Form 49AA for foreign citizens (including Qualified Foreign Investors) Revised PAN Change Request Form by NSDL

Apply Online
With effect from April 8, 2012, PAN applications are required to be furnished in the new forms prescribed by ITD. Indian citizens will have to submit their ‘Application for allotment of new PAN’ in revised Form 49A only. Foreign citizens will have to submit their ‘Application for allotment of new PAN’ in newly notified Form 49AA only.

With effect from April 1, 2012, fees for PAN application has changed to 96. (For dispatch outside India 962).

For New PAN applications, in case of Individual and HUF applicants if Address for Communication is selected as Office, then Proof of Office Address along with Proof of residential address is to be submitted to NSDL w.e.f. applications made on and after 1st November 2009.

As per RBI guidelines, the entities making e-commerce transactions are required to provide PIN (Personal Identification Number) while executing an online transaction. Accordingly, before making payment for online PAN/TAN applications using credit/debit card, please ensure that the PIN is obtained from your respective Banks.

Application for allotment of New PAN (Form 49A) – applicable for Citizens of India

This form should be used when the applicant has never applied for a PAN or does not have PAN allotted to him. An applicant can visit Income Tax Department (ITD) website to find whether a PAN has been allotted to him or not.

• Read Guidelines
• Read Instructions
• Documents to be Submitted
• Do’s and Don’ts
• Apply

Application for allotment of New PAN (Form 49AA) – applicable for foreign citizens

This form should be used when the applicant has never applied for a PAN or does not have PAN allotted to him. An applicant can visit Income Tax Department (ITD) website to find whether a PAN has been allotted to him or not.

• Read Guidelines
• Read Instructions
• Documents to be Submitted
• Do’s and Don’ts
• Apply

Reprint of PAN Card

This application should be used when PAN has already been allotted to the applicant but applicant requires a PAN card. A new PAN card bearing the same PAN is issued to applicant.

While filling this form, applicant should not select any of the check boxes on the left margin of the form. However, the check box for Item no. 7. Address for communication will be selected by default as this address will be updated in the records of ITD.

• Read Guidelines
• Read Instructions
• Documents to be Submitted
• Do’s and Don’ts
• Apply

Change/Correction in PAN Data

This application should be used when PAN has already been allotted to the applicant but applicant wants to make change/correction in PAN data. A new PAN card bearing the same PAN with updated details will be issued to applicant.

Appropriate check boxes in front of the relevant core details (i.e. name, father’s name, date of birth) should be selected, in order to update the details.

• Read Guidelines
• Read Instructions
• Documents to be Submitted
• Do’s and Don’ts
• Apply

For More Details Click Here

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