Your bank account may be blocked if you did not link your Aadhaar card number to your account by April 30. According a report in the Economic times, the Tax department has asked the accounts opened between July 2014 and August 2015 to submit the Know Your Customer (KYC) forms and link their Aadhaar numbers to their bank accounts.
The submissions need to be self certified in order to comply to FATCA regulations (Foreign Tax Compliance Act) failing which the bank accounts may be blocked until you furnish your documents after April 30.
“Accounts opened from July 2014 to August, 2015 will have to submit know your customer (KYC) details and their Aadhaar number to banks and financial institutions by April 30 and self-certify them to comply with FATCA regulations (Foreign Tax Compliance Act), the tax department said on Tuesday.” said the report in the Economic Times.
“The account holders may be informed that, in case self-certifications are not provided till April 30, 2017, the accounts would be blocked, which would mean that the financial institution would prohibit the account holder from effecting any transaction with respect to such accounts,” the tax department said in a statement according to the report.
All banks and financial institutions have been told to carry out due diligence to all such individual and entity accounts. In July 2015, India and the US signed a tax information sharing agreement under a new US law, FATCA, aimed at bolstering efforts for automatic exchange of financial information between the two nations about tax evaders said the report.