Page 49 - Union Budget_2019

Union Budget 2019

"Co-operative bank" means a state co-operative bank, a central co-operative bank and a primary co-

operative bank

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Further, it is proposed to amend 6 proviso to Section 139 to provide that a person who is claiming rollover
benefits of capital gains exemption upon investment in a house or a bond or other assets, under Sections 54,

54B, 54D, 54EC, 54F, 54G, 54GA and 54GB, shall be mandatorily required to furnish a return, if before
claiming such exemption, his/her total income is more than the basic exemption limit.

These amendments will take effect from 1st April, 2020 and will, accordingly apply in relation to assessment
year 2020-2021 and subsequent assessment years.
The Government intends to widen their tax base with the proposed amendment.

10.11 Inter-changeability of PAN & Aadhaar and mandatory quoting in prescribed transactions.

It is proposed to amend the provisions relating to PAN and Aadhaar as follows: -
• CBDT shall now prescribe transactions which require the assessee, who has not been allotted a PAN, to

apply for PAN viz. high value transactions such as purchase of foreign company or huge withdrawals
from the bank

• Aadhaar number can be quoted in lieu of PAN, where quoting of PAN is necessary. Additionally, a person
who has linked his PAN with Aadhaar, can quote his/her Aadhaar in lieu of PAN

• A person receiving any document relating to a specified transaction which requires quoting of PAN, shall
ensure PAN or Aadhaar number is duly quoted

• A person entering into a prescribed transaction shall quote PAN or Aadhar number and authenticate
the transaction. Additionally, it shall be the responsibility of the person receiving document to such
transactions to ensure PAN or Aadhaar is quoted and authentication is done thereof

• Thus, provisions of Section 272B are proposed to be amended to include that default in relation to above
provisions shall attract penalty of Rs. 10,000 for each such default; however, opportunity of being heard
shall be provided

These amendments will take effect from 1st September, 2019.
These proposed amendments smoothen the process of transition from PAN to Aadhaar and are even

more necessary in the light of the proposed amendments requiring mandatory filing of return of
income

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