- Date : 15/10/2017
- Read: 2 mins
The Government has now made it compulsory for investors to link their Aadhaar details with several investments. Read on to know more.
In a recent Aadhaar card update, the government has now made it mandatory for individuals to link their 12-digit Aadhaar number with the following investments - post office deposits, PPF, National Saving Certificate (NSC) and Kisan Vikas Patra (KVP) by 31 December 2017.
The notification which was issued on 29 September 2017, says, "Provided that where Aadhaar number has not been assigned, the depositor shall submit proof of application for enrollment for Aadhaar.”
What do investors need to do?
Depositors or investors are required to provide their 12-digit unique identification number to the bank or post office, to update their investment details.
In addition to Aadhaar card, various other documents have also become mandatory recently, including bank account, mobile number, PAN, Voter ID Card, LPG Connection Card and Ration card.
Who does the new rule apply to?
Existing depositors, who have not submitted their Aadhaar details while opening such accounts are required to submit the same, on or before 31 December, 2017. However, this mandate does not apply to investors who have already provided their Aadhaar number at the time of application.
Additionally, the Ministry of finance issued four separate Gazette notifications for the four different investment tools to validate this move.
What are the benefits?
Providing Aadhaar details has been made mandatory to ensure all governments subsidies and welfare programmes reach the people. Around 135 schemes will be covered including:
- Free cooking gas to poor women
- Kerosene and fertilizer subsidy
- Public distribution system
- Mahatma Gandhi National Rural Employment Guarantee Act
It would also apply to Employee Pension Scheme of 1995, scholarships, housing subsidy benefit, a stipend to SC/ST trainees for coaching guidance and vocational training, a stipend to handicapped and Aam Aadmi Bima Yojana.
The extension will also apply to national apprenticeship and skill development schemes, crop insurance schemes, interest subvention scheme, education programmes such as mid-day meal for children and Atal Pension Yojna.