Now no PAN card required for jewellery purchase of over Rs 50,000
ECONOMICTIMES.COM|
Updated: Oct 06, 2017, 07.01 PM IST
NEW DELHI: Now PAN card is not needed for jewellery purchase of over Rs 50,000 and government need not be informed on jewellery purchase of over Rs 50,000. The government has rescinded notification that extended provisions of the Prevention of Money Laundering Act, 2002, (PMLA) to jewellery purchases. Now jewellers will not have to report data on buyers to Financial Intelligence Unit.
Jewellers had an apprehension that extension of provisions of the Prevention of Money Laundering Act, 2002, (PMLA) to jewellery purchases could potentially crimp legitimate sales because of stringent KYC provisions.
The government had on August 23 extended the stringent provisions of PMLA to the gems and jewellery sector on suspicions of elements in the trade facilitating money laundering, especially post demonetisation last year.
While the income tax act allows cash sales of up to Rs 2 lakh without KYC, the norms of PMLA restrict sales in any format to Rs 50,000 without proof of PAN, Aadhaar, driving licence or passport copy.
Jewellers had an apprehension that extension of provisions of the Prevention of Money Laundering Act, 2002, (PMLA) to jewellery purchases could potentially crimp legitimate sales because of stringent KYC provisions.
The government had on August 23 extended the stringent provisions of PMLA to the gems and jewellery sector on suspicions of elements in the trade facilitating money laundering, especially post demonetisation last year.
While the income tax act allows cash sales of up to Rs 2 lakh without KYC, the norms of PMLA restrict sales in any format to Rs 50,000 without proof of PAN, Aadhaar, driving licence or passport copy.
