TIA /
The government Tuesday proposed to lower cap for cash transactions to Rs 2 lakh from April 1, make biometric identifier Aadhaar mandatory for filing tax returns and allow cheque-only contributions to electoral trusts as part of the tirade against black money.
Finance Minister Arun Jaitley moved an “unprecedented” 40 amendments to his seven-week old Finance Bill 2017. He said that the amendments were all “incidental provisions” to the Finance Bill and relate to Budget announcements like combining some tribunals and creating uniform service conditions.
Among the most important amendments was one relating to his February 1 proposal to limit cash transaction to Rs 3 lakh. This cap is now proposed to be lowered to Rs 2 lakh, at par with the current requirement of quoting permanent account number (PAN) for cash spendings.
“The penalty for violating this is a fine equivalent to the amount of transaction,” Revenue Secretary Hasmukh Adhia tweeted.
The fine will be payable by person or establishment receiving cash.
Another amendment made proposes to make Aadhaar number a must while applying for PAN as well as filing of income tax returns from July 1. The amendment provides that a person holding PAN as on July 1, 2017, has to intimate his Aadhaar number to authority in a manner which will be notified by the government.