Form 60: A Comprehensive Guide
What is Form 60?
Form 60 is a declaration required by individuals who do not have a Permanent Account Number (PAN) but need to engage in transactions that mandate PAN as per Rule 114B of the Income-tax Rules, 1962. It serves as a substitute for PAN for specific transactions under the Income Tax Act.
When is Form 60 Required?
Form 60 must be submitted when engaging in the following transactions without a PAN:
- Purchase or Sale of Motor Vehicles: Includes cars and detachable sidecars (excluding two-wheelers).
- Opening a Demat Account: Required for all values.
- Purchase or Sale of Immovable Property: If the transaction exceeds ₹10 lakh.
- Fixed Deposits with Banks: If the deposit is above ₹50,000.
- Post Office Deposits: If the deposit exceeds ₹50,000.
- Securities Transactions: If the contract value exceeds ₹1 lakh per transaction.
- Opening a Bank Account: Required for all values.
- Applying for Credit or Debit Cards: Required for all values.
- Payments for Foreign Currency or Foreign Travel: For amounts above ₹50,000 in one transaction.
- Mutual Fund Investments: If the investment exceeds ₹50,000.
- Life Insurance Premiums: If the total premium exceeds ₹50,000 in a year.
- Shares of Non-Listed Companies: If the transaction exceeds ₹1 lakh.
- Purchase or Sale of Services/Goods: If the amount exceeds ₹2 lakh per transaction.
How to Download Form 60
- Visit the Income Tax Department's Official Website:
- Go to the official Income Tax Department website.
- Access Forms/Download Section:
- Click on "Forms/Download" from the top navigation menu.
- Select Income Tax Forms:
- Choose "Income Tax Forms" from the drop-down menu.
- Find and Download Form No. 60:
- Locate "Form No. 60" and download the PDF file.
How to Submit Form 60
Form 60 can be submitted online or offline to the entity involved in the transaction, such as banks or mutual fund companies. If you receive a PAN after submitting Form 60, inform the relevant organization of your PAN.
Filling Out Form 60
Form 60 requires the following information:
- Personal Details:
- Full name, date of birth, and father's name.
- Address:
- Complete residential address including flat/house number, floor, block, street, locality, city, district, state, and PIN code.
- Contact Information:
- Telephone and mobile numbers.
- Transaction Details:
- Amount, date, mode of transaction, and names of all individuals involved.
- Aadhaar Number:
- If available.
- PAN Application Details:
- Acknowledgment number and date if PAN application is pending.
- Income Details:
- Estimated total income for the financial year if PAN is not applied.
- Proof of Identity and Address:
- Details of documents provided as proof.
Supporting Documents
To support Form 60, provide documents for address and identity verification:
- Address Proof:
- Voter ID, Aadhaar card, Passport, Driving License, or utility bills.
- Identity Proof:
- Same as address proof.
Who is Exempt from Submitting Form 60?
Non-residents are generally exempt from submitting Form 60 for certain transactions, such as applying for credit/debit cards or making payments at restaurants or hotels.
Consequences of Incorrect Declaration
Filing a false Form 60 can result in severe penalties, including imprisonment ranging from 3 months to 7 years and fines, depending on the transaction amount and nature of the error.
Additional Information
For any queries or further information, always refer to the official Income Tax Department website or consult with a tax professional.
This guide should help you understand how to use Form 60 effectively for various financial transactions.
