Banks and other institutions will soon make upgrades to allow people to quote India’s national biometric ID (Aadhaar) for high-value transactions in place of the permanent account number (PAN). However, there is a downside to that as,apparently, each time you happen to misquote your Aadhaar number, you may have to pay Rs. 10,000 as fine.
Penal provision to come into effect from September 1 :-
According to Hindustan Times, from September 1, 2019, failing to quote your unique identification number accurately while using Aadhaar to make high-value transactions (more than Rs. 50,000) will attract a Rs. 10,000 fine for each violation, government officials said.
The proposed penalty will come into effect once relevant laws are amended and a notification of the same is issued, the HT report added.
Before passing penalty, person shall be heard: Official
Requesting anonymity, a government official said, “It is also proposed that before passing a penalty order, a person shall be heard.” The official added that a similar fine will be imposed on the person supposed to authenticate the identification number.
Existing penalty for PAN ‘vague’ and ‘discretionary’
To note, under Section 272B of the Income Tax Act, an individual can be fined Rs. 10,000 for having more than one PAN, prohibited under Section 139A of Income Tax Act, 1961.
“No person who has already been allotted a PAN under the new series shall apply, obtain or possess another permanent account number.”…Read more>>