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PAN CLASSIFIED AS FRAUD IN ITBA

Srinivasa Ganesh (Article Assistant) (456 Points)

21 October 2018

Hi what is meant by PAN CLASSIFIED AS FRAUD IN ITBA SYSTEM

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rahul (a) (1620 Points)
Replied 21 October 2018

An ambitious electronic smart platform called the Income Tax Business Application-Permanent Account Number (ITBA-PAN) has been operationalised by the department which will help the taxman and PAN issuing intermediaries identify such duplicate numbers every time a new application for generation of the fresh IT department-issued unique identity reaches their portals.

"The department earlier used to check against duplicity of PAN in a manual fashion which was not foolproof but the new electronic system is very accurate," a senior official said.
In cases of old PAN cards, he said, however, the manual system has to go on.

"There are not many such cases in the old system. Those are being weeded out as and when information is obtained," he said.
The department, in order to ensure that no entity is able to evade tax by way of holding two PAN cards, has been trying for a number of years to find a smart tool to check the menace. There have been numerous instances in the past when while probing tax evasion and black money cases, investigators found duplicate PAN cards were used to perpetrate the economic fraud.

"The new process will help identification and surrender of duplicate PAN allotted to a person so that further use of the same duplicate PAN allotted to a PAN holder could be stopped," a recent communication, accessed by PTI, from the systems wing of the department said informing field offices of the department about the new technology upgrade.

The new system, upon finding on the ITBA-PAN platform that a duplicate PAN exists, will direct the taxman to inform applicants to approach their respective assessing officer and surrender the duplicate identity and, in case the applicant does not do so, the system will check the bonafides and automatically 'kill' the duplicate identity.

As per latest data, while there are over 24.37 crore PANs registered in the country, there are no accurate figures on the number of duplicate ones.

PAN is a ten-digit alphanumeric number issued in the form of a laminated card by the IT department to any person, firm or entity.

A clean and error free PAN database is the need of the hour for the department which is trying to bring more taxpayers in the tax net and also curb generation of black money.

Government had late last year made quoting PAN mandatory for several transactions, including purchase of jewellery above Rs 2 lakh, since the beginning of this year.

The effort to popularise the use of PAN in financial transactions, the CBDT had said, is "expected to be useful in widening the tax net by non-intrusive methods.

"They (new PAN rules) are also expected to help in curbing black money and move towards a cashless economy," the Central Board of Direct Taxes had said.

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RAJKUMAR TG (397 Points)
Replied 21 October 2018

on one side u talk about cashless system.on the other side u say if u use ur credit card for purchases and make payments in excess of 10 lacs it is high value transaction

people will b forced more to resort to cash transactions than earlier due to top many restrictions except bank deposits by cash as it will go unnoticed in all cases where u dont show up ur pan card.

rahul (a) (1620 Points)
Replied 21 October 2018

rajkumar ji

dont worry for genuine tax payer no need to worry.

if anythings happen then no need to worry.

only fear is for tax eva...

10 lacs is enough i think.

who spend 10L + via credit card for personal use whose income less than 10L??

RAJKUMAR TG (397 Points)
Replied 21 October 2018

pls note it is 10 lac per year or 85000 per month.
most of the salaried class in middle class almost make 100000 per month as inflation eats ur money.
jf u say cashless they will b forced to do next or cards.
either u must allow them freely or not allow them.
days r not far off u can purchase cars or houses using cards
an ideal cashless system is in one European country.. name I forgot.
due to high inflationary economy with slide in rupee rates dollar worries and fuel cost increase 10 lac I'd peanuts for higher middle class who only file returns meticulously..
poor and super rich r not worried about income tax or scrutiny or anything...

rahul (a) (1620 Points)
Replied 21 October 2018

dont worry you are salaried and pay taxes.

they just issue notice if income and exp not match.

and in case of notice they demand source of income and you file proper return then show that.

and no worry dear

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RAJKUMAR TG (397 Points)
Replied 21 October 2018

eoth due respect to u sir I am not worried. just started my practice ..
what I see for others and their worries make me to think objectively.
in our prime minister govt worst affected right from demonetisation to fuel increases and npa of banks is middle class who occupy 90 percent of tax returns.
ofcourse this is the culmination of previous govts actions... but only middle class suffers in long queues in front of banks or shops.

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