Rule 159 - Transactions in which PAN is to be quoted or applied for

Transactions in relation to which Permanent Account Number is to be quoted or applied for purposes of section 262(1)(f) and 262(10)(c) and (e). 159. (1) Every person shall quote his Permanent Account Number in documents pertaining to specified transactions, including, among others: applying to a bank, co-operative bank, or other company/institution for a credit card (all such transactions); opening an account with a depository, participant, custodian of securities, or other SEBI-registered intermediary (all such transactions); payment to the Reserve Bank of India for acquiring RBI bonds, or to a Mutual Fund for its units, exceeding Rs 50,000; a contract for sale or purchase of securities (other than shares) exceeding Rs 1,00,000 per transaction; cash deposits or withdrawals with a bank, co-operative bank, or Post Office aggregating Rs 10,00,000 or more in a financial year; sale or purchase of a motor vehicle or motorcycle (other than a tractor) exceeding Rs 5,00,000; sale or purchase of unlisted company shares exceeding Rs 1,00,000 per transaction; payment for acquiring debentures or bonds exceeding Rs 50,000; purchase, sale, gift, or joint-development agreement of immovable property exceeding Rs 20,00,000 (by consideration or stamp valuation); opening a bank/co-operative-bank account other than a time deposit or Basic Savings Bank Deposit Account (all such transactions); a time deposit with a bank, co-operative bank, post office, Nidhi, or registered NBFC exceeding Rs 50,000 or aggregating more than Rs 5,00,000 in a financial year; commencing an account-based relationship with an insurer where the premium exceeds Rs 50,000 in a financial year; cash payment exceeding Rs 1,00,000 to a hotel, restaurant, convention centre, banquet hall, or event manager; and sale or purchase of any other goods or services exceeding Rs 2,00,000 per transaction - each with its own specified recipient responsible for verification (bank/institution officer, depository participant, RBI or agency-bank officer, mutual fund trustee, stock intermediary, postmaster, vehicle seller, company's principal officer, Registrar/Sub-Registrar, or the document/bill-issuing person, as appropriate to the transaction type). (2) In respect of these transactions: a minor without taxable income shall quote his father's, mother's or guardian's Permanent Account Number instead of his own; a person (other than a company or firm) without a Permanent Account Number entering a transaction listed among the immovable-property/goods-and-services categories shall instead furnish a declaration in Form No. 97 with the transaction particulars; and a foreign company without a Permanent Account Number or India-taxable income entering the specified bank-account-opening or time-deposit transactions through an IFSC banking unit shall similarly furnish a declaration in Form No. 97. (3) For the purposes of section 262(1)(f), a person (other than a company or firm) without a Permanent Account Number entering any of the credit-card, securities-account, bond, mutual-fund, securities-contract, cash-deposit/withdrawal, vehicle, unlisted-share, or debenture/bond transactions, or an immovable-property transaction exceeding Rs 45,00,000 (by consideration or stamp valuation), shall apply for a Permanent Account Number. (4) Sub-rule (3) does not apply where the person is a non-resident (not being a company) or a foreign company, the transaction is with an IFSC banking unit, and that person has no income chargeable to tax in India. (5) The recipient of any such document shall ensure the Permanent Account Number (or, where applicable, Form No. 97) is correctly recorded and quoted in transaction records and any information furnished to an income-tax or other authority. (6) Sub-rule (1) does not apply to the Central Government, State Governments and consular offices, or to certain non-residents in respect of specific listed transaction categories (credit-card applications, RBI-bond payments, hotel/event payments, and general goods/services purchases). (7) For the purposes of this rule, "IFSC banking unit" means a financial institution licensed under the International Financial Services Centres Authority (Banking) Regulations, 2020, and "time deposit" means a deposit repayable on expiry of a fixed period. (8) The Principal Director General or Director General of Income-tax (Systems) shall lay down the formats and standards and procedure for authentication of the Permanent Account Number.