Restrictions on Operating Bank account if No PAN or Form No 60 Not given
Q : What will happen if PAN or Form No 60 not given into Bank account ?
As per the RBI Circular DBR.AML.BC.48/14.01.01/2016-17 Dated December 15, 2016
” In respect of KYC compliant accounts where the required CDD procedure has been complied with, REs (Regulated Entities) shall ensure compliance regarding quoting of PAN/obtaining of Form 60 for all transactions in terms of I.T.Rule 114 B (Income tax Rules ) which includes opening of accounts with banks, NBFCs, etc. No debit transaction, transfer or otherwise shall be allowed in accounts which do not comply with the above mentioned requirements. To begin with, this rule shall be strictly applied in accounts where both the thresholds listed below are reached:
- balance of rupees five lakh or more; and
- the total deposits (including credits by electronic or other means) made after November 9, 2016, exceed rupees two lakh.
Comment : Thus you will not able to make transfers or payments if you have not given PAN or Form No 60 to your bank and if above threshold limits are reached.