Government Makes Aadhaar, PAN Mandatory To Invest In PPF, SCSS, & Other Small Savings Schemes

New Delhi: Finance Ministry has announced to make Aadhaar and Pan card mandatory for investments in small savings schemes like Public Provident Fund (PPF), Sukanya Samriddhi Yojana (SSY), Post Office Savings Scheme, Senior Citizens saving scheme (SCSS), etc. The Finance Ministry issued notification on March 31, 2023. Hereafter, customers can’t invest in these savings schemes without Aadhaar or PAN number.

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Earlier, it was possible to invest in these schemes without providing Aadhaar and PAN details.

What if a depositor has already opened the account and not submitted his Aadhaar?

If a depositor has already opened an account and has not submitted his Aadhaar number to the Accounts office, it is necessary to do within a period of six months starting from April 1, 2023.

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What if the individual hasn’t been assigned the aadhaar number during the opening of account?

As per the notification, in case of absence of aadhaar number during the opening of the savings scheme, the person has to provide the proof of application of enrollment for Aadaar at the time of opening an account and the account holder will have to provide the aadhaar number to the Accounts office within a period of six month from the date of opening of account for linking the account with Aadhaar number.

 When do you need to submit PAN or Form 60?

In case you don’t have submitted your PAN card during the opening of the account, then you have to provide it within 6 months span immediately in the following three conditions:

1. balance of any point of time in the account goes above fifty thousands; or
2. aggregate of all credits in the account in any financial year is above one lakh rupee; or
3. aggregate of all withdrawals and transfers in a month from the account is above ten thousands.

What happens if you fail to submit PAN on time?

The notification clearly mentioned that “in the event of the failure of the depositor to submit the PAN within the specified period of two months”, the account of the respective person will be freezed till the time he submits the PAN to the Accounts Office.