Draft I-T rules raise limit for quoting PAN

THE INCOME TAX department has proposed to significantly raise the threshold for mandatory Permanent Account Number (PAN) quoting for gifts and immovable property, cash deposits/withdrawals and purchase of vehicles under the draft Income Tax Rules, 2026.

- FE BUREAU

THE INCOME TAX department has proposed to significantly raise the threshold for mandatory Permanent Account Number (PAN) quoting for gifts and immovable property, cash deposits/withdrawals and purchase of vehicles under the draft Income Tax Rules, 2026.

The Central Board of Direct Taxes (CBDT) is likely to notify the draft Income Tax (IT) rules by the first week of March, official sources said on Monday. However, taxpayers filing income tax returns for assessment year (AY) 2026-27 will continue to use the current forms and rules prescribed under the Income Tax Act, 1961, sources said.

“The advance taxes in FY27 are to be filed under the new rules and forms,” a CBDT source said.

The CBDT on Saturday released the draft IT rules 2026, aligned with the new Income-Tax Act, 2025, which is set to take effect from April 1.