PAN card misuse scam unfolds across India | Fusion - WeRIndia

The cases of PAN card misuse are rising across India. Recently a major scam involving the misuse of PAN cards is emerging in the country.

Recent media reports say that Cases of PAN card misuse have surfaced in various regions, targeting vulnerable groups such as senior citizens, farmers, and students. They even misused the cards of deceased people.

Recently, a Mumbai-based senior citizen had to appeal to the Income Tax Appellate Tribunal due to the alleged misuse of her PAN card.

She claimed that her PAN was misused in a property registration, that was used for a property sale worth ₹1.3 crore in 2010-11. Since her PAN card was used, the Income Tax department treated this as her income.

The Central Board of Direct Taxes advised individuals to avoid sharing their PAN information unnecessarily.

They emphasized that sharing PAN details should be done only when mandated by government guidelines. It also stated that individuals who suspected the misuse of their PAN card should file a police complaint.

There have been multiple reports of fraudsters misusing PAN cards to secure personal loans through fintech apps.

To protect against such misuse, PAN card holders are advised to take several precautionary steps:

• PAN card holders should regularly review their AIS, which provides comprehensive data from reporting entities such as banks and property registrars.
• The AIS includes details on bank interest, dividends, and transactions related to the purchase and sale of assets.
• PAN card holders can check if their PAN has been misused by generating credit scores through agencies like CIBIL, Equifax, Experian, or CRIF High Mark. This helps in identifying unauthorized loans taken under their name.
• Financial reports should be monitored through fintech platforms such as Paytm. These platforms provide insights into any unusual financial activities linked to the PAN card.

By following these steps, PAN card holders can safeguard against potential misuse and ensure the accuracy of their financial records.

Image Credit: User:Pne, CC BY 2.0, via Wikimedia Commons

Image Reference: https://commons.wikimedia.org/wiki/File:Credit-score-chart.svg