Banks and MFs should obtain identification nos for filing SFT

The Income Tax department on Friday said banks, mutual funds and financial institutions should obtain an identification number and file the statement of financial transaction (SFT) by May 31.

The entities which are required to furnish SFT under 114E of Income Tax Rules can register with the I-T department and generate Income Tax Reporting Entity Identification Number (ITDREIN), a finance ministry statement said.

The number can also be generated by logging into the e-filing website of the department.

Banking company, cooperative banks, trustee of a mutual fund and post offices need to file SFT for payments and receipts beyond a certain threshold.

Section 285BA of the Income-tax Act, 1961 requires furnishing of a Statement of Financial Transaction (SFT) for transactions prescribed under Rule 114E of the Income-tax Rules, 1962.