Market regulator SEBI announced norms to map clients Unique Client Code (UCC) with their demat account. The move is expected to help in tracking stock market transactions and tighten the surveillance on tax evasion by stock market operators.
The deadline for this mapping by stock exchanges and depositories is December 31, 2019. The information will be shared with the depositories on a one-time basis by November 30 and subsequently incremental data in respect of new UCCs created shall be shared on a daily basis, SEBI said in a circular.
A mechanism for mapping of UCC with demat accounts of the clients was discussed with the stock exchanges and depositories. Pursuant to the discussion with the stock exchanges and depositories, it was decided to map UCC with the demat accounts of the clients. UCC allotted by the trading member (TM) to the client will be mapped with the demat account of the client.
A client may trade through multiple TMs, in which case each such UCC will be mapped with one or more demat accounts. Stock exchanges shall share the UCC data with the depositories which shall include PAN, segment, TM/CM code and UCC allotted.