Govt mulling unique ID for business: Jaitley
Govt mulling unique ID for business: Jaitley
National

Govt mulling unique ID for business: Jaitley

Pennews

The government is now mulling a scheme or providing unique identity for every business, Finance Ministry Arun Jaitley announced on Thursday while presenting the Union Budget for 2018-19 fiscal.

"The move is aimed at increasing the coverage of Aadhaar in the country," he said.

Recently, the government had tossed the idea to make Permanent Account Number (PAN) the Aadhaar for businesses as well as non-government organisations to close possible gaps for generation of black money.

While most businesses and NGOs have PAN, its use is mandatory for any cash transaction of over Rs 50,000 and for complying with know-your-customer (KYC) norms in banks.

But the proposal for a unique identity for business is just not for increasing the coverage of Aadhaar, rather "it will ensure that individuals who are directors or promoters of the firms are easily tracked and floating so-called benami companies become tougher", industry insiders say.

Ministry of Corporate Affairs (MCA) has already moved to a system where a PAN is generated for companies at the time of incorporation.

But partnership firms and trusts are not part of the process as they are handled by other agencies, including state governments. Through the proposed plan, all the entities would be brought on to the same platform and it will be easier to track them, said an official.

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