Government has made Aadhaar card mandatory for opening of bank account and financial transactions of 50 thousand rupees and above. According to a notification issued by Revenue Department, all existing bank account holders have also been asked to submit Aadhaar to banks by 31st of December this year. The accounts which are not be seeded with Aadhaar number by due date will become invalid.
The notification issued amending the Prevention of Money-laundering (Maintenance of Records) Rules, 2005, mandated quoting of Aadhaar along with PAN by individuals, companies and partnership firms for all financial transactions of 50,000 or above.
So far, as per the PMLA Rules it is mandatory to provide PAN number or Form 60 to banks while opening of accounts or for high value transactions.
The government in Budget 2017 has already mandated seeding of Aadhaar number with Permanent Account Number to avoid individuals using multiple PANs to evade taxes.