Financial Transaction Statement (FTS)

Financial Transaction Statement (FTS) – A Financial Transaction Statement is a report that records certain specified high-value financial transactions conducted by an individual or entity. These statements are maintained and submitted by financial institutions to regulatory authorities to ensure transparency, track significant money flows, and help in detecting tax evasion or suspicious financial activity. FTS typically includes details such as the name of the account holder, amount of the transaction, date, and type of transaction. Only transactions exceeding a threshold amount or those specified under law are reported. In India, these statements are often submitted under the Specified Financial Transactions (SFT) framework.

Example: Banks reporting cash deposits above ₹10 lakh in a financial year. Mutual funds reporting purchases or redemptions of units exceeding specified limits. Insurance companies reporting high-value premium payments.