Allowed to share PAN data with the FIU for suspicious cash transaction

FIU to get PAN from Income Department for suspicious cash transaction

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Created By Admin Last Updated Sat, 15-Aug-2020

Allowed to share PAN data with the FIU for suspicious cash transaction

The Income Tax Department has been allowed to share PAN data of an Individual of an entity with the Financial Intelligence Unit to dig deeper into suspicious and large cash transactions at banks, according to the Central Board of Direct Taxes. The CBDT, which frames policy for the tax department, issued an order on 16 July allowing the two agencies under the Union Finance Ministry to share the data.

The Financial Intelligence Unit (FIU) is the nodal central agency that is authorized to obtain cash transaction reports (CTRs) from public and private sector banks every month and after analyzing these, it forwards the suspicious or intriguing such reports to various law enforcement, investigative and intelligence agencies so that they can launch their individual probes to check possible instances of money laundering, tax evasion and terror financing that could have been perpetrated using the dubious cash.