Internet of Things (IoT) would touch upon almost all aspects of everyday life, as a consequence of which, everything (i.e. living and non-living things) will have a counterpart virtual identities on the internet which would be readable, addressable and locatable. Although it would empower its users with 24×7 connectivity around the global world, unknowingly they would also provide it permission to peep into user’s personal world, which can generate a huge risk on the usability of IoT by users. Thus analyzing the framework of IOT from the perspective of user data protection is a very crucial self-test which is required for IoT implementation. Often the term security and privacy are used interchangeably, but in the IoT environment, both these concept would play a crucial but differentiating role. In this paper, we have scanned the IoT environment with the perspective of privacy requirements, possible threats and the mitigating solutions which are currently in use.