Demat and trading account holders are required to update KYC details. For this circular has also been issued by the depository. If this process is not completed within the stipulated time, the account may become inactive.
KYC is necessary for demat account
Demat and trading account holders were asked by the depositories to update KYC by July 31. Only two days are left for the last date of updation to end. In such a situation, the account holders should update it soon, otherwise their account may be deactivated. Circulars have also been issued in this regard by National Securities Depository Limited (NSDL) and Central Depository Services (India) Limited (CDSL).
If the same mobile number or email ID has been entered in more than one demat account and the family details have not been updated, then such demat account holder will have 15 days to submit his mobile number/email ID correction form or request letter. Notice has to be given.
If the rules are not followed, such accounts will be divided into different categories as non-compliant accounts. In which people with an income of one lakh to 25 lakh will be included. The account holders will have to inform the depository about their income limit, which will be classified for different categories of individuals and non-individuals.
According to the circular, for transactions in the stock market, the Income Tax Department has asked the customers to verify the PAN card online through its website. If PAN is not linked with Aadhaar before the date fixed by the government, it will be treated as invalid.
Separate mobile numbers and email addresses will have to be provided for all the beneficiary ie (BO). However, after submitting a written declaration, the BO can update the mobile number and email address of his/her family members. This will include details of spouse, dependent parents and children.
Also read: Important news regarding TDS claim! If the bank does not have this document of yours, then there may be a problem in getting the return.
RBI canceled the license of this bank, know what will be the effect on the customers