New Delhi: Starting July 2024, several financial changes will impact various aspects of personal finance in India. In July, the first Union Budget of the third-time Modi government will be presented by Finance Minister Nirmala Sitharaman, which is likely to benefit several salaried people. Apart from this, the month will also witness the deadline to file the income tax return among other several financial changes: Here are six major changes to be aware of:PAN-Aadhaar Linking: The deadline for linking PAN with Aadhaar has passed, and now there is a fine of Rs 1,000 for non-compliance, which was Rs 500 earlier.Credit Card Regulations: New rules from the Reserve Bank of India (RBI) regarding the issuance, closure, and billing cycles of credit cards are now in effect. Additionally, changes include higher interest rates and late payment fees for some cards.TDS on Virtual Digital Assets: A new section in the Income-tax Act mandates a 1% TDS on payments made for the transfer of virtual digital assets (VDAs). This aims to ensure proper tax collection on transactions involving cryptocurrencies.Income Tax Rules: Influencers and doctors receiving free items from companies will now have to pay taxes on those items. A 10% TDS will be levied on the value of the free items received.Advance Tax Payments: If your estimated tax liability for the year exceeds Rs 10,000, you must pay advance tax in instalments throughout the year. This helps manage cash flow by spreading out tax payments rather than making a large payment at the end of the year.Credit Card Reward Points: Some credit cards have updated their reward points policies. For example, the Amazon Pay ICICI Credit Card will no longer provide reward points for rent payments. Additionally, certain SBI cards will no longer award points for transactions categorised as “Government Related”.However, ICICI Bank has announced changes to its credit card services beginning July 1. The first change is that now the card replacement charge has been increased from Rs 100 to Rs 200 for all cards (excluding the Emerald Private Metal Credit Card).It is important to note that changes reflect ongoing adjustments in financial regulations aimed at enhancing compliance and efficiency in financial transactions.
