Big relief to the common man! PAN card limit increased on car, home and hotel bills; Know what will change from April 1:

Business Desk, New Delhi. The Central Government has presented the draft of New Income Tax Rules 2026 to simplify the tax system and provide relief to the common man from paperwork. Under these rules, which will come into effect from April 1, 2026, major changes have been made in the mandatory limits of PAN Card. Now you will not need to show PAN card again and again for small transactions, while the government’s monitoring of large financial transactions will become more digital and strict.

This draft issued by CBDT is currently open for the opinion of the general public and experts, which can be finalized by the end of March.

Relief in banking: Now the hassle of daily limit of ₹ 50,000 is over

Till now it was mandatory to give PAN card for depositing more than ₹ 50,000 in cash in the bank, but now the rule will be on ‘annual’ basis:

New rule: Now the total from all the accounts of the bank in a year ₹10 lakh PAN card will be required only if you deposit or withdraw cash more than Rs.

Benefit: This will provide relief to those people who deposit cash at short intervals, but the turnover throughout the year is low.

Buying a car and property became easier

In view of inflation and rising prices, the government has doubled the limits of PAN card:

Two-Wheeler and Car: Now PAN card will not be required for purchasing a bike or car worth less than ₹ 5 lakh. Earlier this rule was applicable on every vehicle.

Property Deals: PAN card limit for purchase and sale of house or plot now increased from ₹ 10 lakh ₹20 lakh It is proposed to do. This is a big relief for middle class home buyers.

Hotel bill and insurance: Discount available here too

Hotels & Events: Now to the hotel, banquet hall or event manager ₹1 lakh Payment up to Rs. 10,000 can be made without PAN card. Earlier this limit was only ₹ 50,000.

Insurance Policy: Now it will be mandatory to provide PAN card while opening an account with any insurance company, irrespective of the premium amount. This has been done to increase transparency.

Keep an eye on Crypto and Digital Rupee (CBDC)

The draft rules also cover the future digital economy:

Crypto Exchange: Now the exchange will have to share information about every transaction in crypto directly with the Income Tax Department.

Digital Rupee: CBDC (Central Bank Digital Currency) has now been officially given the status of ‘Electronic Payment’, which will further strengthen digital transactions.

When will the rules change?

All these rules related to the new Income Tax Act 2025 will be effective from April 1, 2026. CBDT will consider suggestions from stakeholders during February and March and a final notification may be issued in early March.