What is Form 60?

Understand how and when to use Form 60.
Form 60
3 min
9-March-2024

Form 60 is used when an individual (not a company or firm) needs to conduct a transaction listed in Rule 114B but do not have a Permanent Account Number (PAN). Income tax regulations make it mandatory to have a PAN for certain individuals, such as those earning taxable income or running a business exceeding a specified turnover. It is also necessary to provide your PAN on various documents, including income tax returns, correspondence with the tax department, and documents related to specific transactions (like property sales).

It is possible that a person might not have a PAN or might be waiting for their PAN to be issued after applying. Ideally, this should not prevent them from conducting necessary transactions. Form 60, along with supporting documents, provides a solution in these situations, allowing the transaction to proceed.

When should Form 60 be furnished?

Form 60 should be furnished in the following situations:

Form 60 is for individuals (not companies or firms) who need to conduct transactions listed in Rule 114B but do not have a PAN. This could happen because:

  • You have not yet applied for a PAN.
  • You applied for a PAN, but not received yet.

Note:

  • You cannot use Form 60 if your income (excluding agriculture) exceeds the basic tax exemption limit.
  • If you have applied for a PAN, you must include the application date on Form 60.

Documents to be submitted with Form 60

  • Aadhar card
  • Driving license
  • Passport
  • Ration card
  • ID proof from a recognised institution
  • Electricity or telephone bill
  • Any official document from the Central Government, State Government, or local authorities
  • Proof of the address listed on your Form 60

Documentation for specific entities

Trusts: Submit a copy of your trust deed or the registration certificate issued by the Charity Commissioner.

Association of persons (other than Trusts)/ Body of individuals/ Local authority/ Artificial Juridical Person:

  • A copy of your agreement
  • Registration certificate (from charity commissioner, registrar of cooperative society, or similar authority)
  • Any official document from a Central or State Government department that confirms identity and address.

Transactions involving minors

  • If a transaction is in a minor's name, use the parent's or guardian's documents as identity & address proof
  • Any of the documents listed earlier (Aadhar, passport, etc.) are acceptable
  • The parent/guardian must sign Form 60

Transactions for a Hindu Undivided Family (HUF)

  • Provide any official document in the name of the Karta of the HUF

Transactions with multiple parties

If a transaction involves two or more people, clearly specify on Form 60:

  • The total number of people involved
  • The total transaction amount

Information required to be filled in the Form

Form 60 requires the following information:

  • Full name and address.
  • Describe the transaction that requires Form 60 (e.g., opening a saving account). Include the bank name and transaction amount.
  • If you file income tax returns, provide the range, circle, or ward where you filed your last return.
  • Clearly state the reason for not having a PAN card. If you have applied but did not receive it, provide details.

Consequences of wrong declaration

Making an incorrect declaration in Form 60 can lead to:

  • Transactions under Rs. 25 lakh: Potential imprisonment of 3 months to 2 years, plus a fine.
  • Transactions over Rs. 25 lakh: Potential imprisonment of 6 months to 7 years, plus a fine.

Conclusion

Form 60 is important if you need to do things like open a bank account or buy property but do not have a PAN yet. Make sure you understand when to use it and what documents are requires.

Disclaimer

As regards deposit taking activity of Bajaj Finance Ltd (BFL), the viewers may refer to the advertisement in the Indian Express (Mumbai Edition) and Loksatta (Pune Edition) furnished in the application form for soliciting public deposits or refer https://www.bajajfinserv.in/fixed-deposit-archives
The company is having a valid Certificate of Registration dated March 5, 1998 issued by the Reserve Bank of India under section 45 IA of the Reserve Bank of India Act, 1934. However, the RBI does not accept any responsibility or guarantee about the present position as to the financial soundness of the company or for the correctness of any of the statements or representations made or opinions expressed by the company and for repayment of deposits/discharge of the liabilities by the company.

For the FD calculator the actual returns may vary slightly if the Fixed Deposit tenure includes a leap year.