New Financial Year, New Rules: PAN-Aadhaar Linking Deadline And FASTag KYC Mandate Updates

A new financial ye?ar brings significant regulatory shifts that will impact individuals and companies alike. From modifications in FASTag requirements to revisions for SBI Credit Card holders, these adjustments are poised to reshape the financial landscape.

Mandatory KYC Updates for FASTag Users

Deadline: March 31, 2024

FASTag users are urged to comply with mandatory KYC (Know Your Customer) updates, effective April 1, 2024. Failure to do so by the end of March 2024 may lead to account deactivation, potentially complicating toll transactions. Spearheaded by the National Highways Authority of India (NHAI), this initiative aims to bolster security measures and enhance the efficiency of FASTag utilisation.

FASTag | Photo: BCCL

Automatic PF Transfer System Introduced by EPFO

Effective April 1, 2024

The Employees Provident Fund Organization (EPFO) introduces a new automatic PF transfer system effective April 1. Simplifying the process, this automated feature eliminates manual requests during job transitions, ensuring seamless access to retirement funds and enhancing job flexibility.

Deadline for PAN-Aadhaar Linking Stands Firm

Deadline: March 31, 2024

The deadline for linking a PAN (Permanent Account Number) with Aadhaar Card remains firm on March 31, 2024. Non-compliance risks PAN cancellation, with late connections incurring a Rs 1,000 fine from April 1 onwards. The emphasis lies on fostering financial transparency and combating fraudulent activities.

Changes for SBI Credit Card Users

Effective April 1, 2024

For SBI credit card users, changes are underway. Effective April 1, reward points for rent payments will no longer be extended. Initially impacting select cards, this adjustment will be universally applied by April 15, 2024. The move aligns with evolving consumer preferences and serves as a regular update to credit card terms, albeit potentially disappointing to some.

Income Tax Slab

Effective April 1, 2024

The inte?rim Budget showed no change in income? tax brackets for the approaching fiscal year (FY2024-25), mirroring the? previous year (FY2023-24). From zero to thre?e lakhs in earnings, you won't pay any tax. Income from thre?e lakh one rupee?s to six lakhs will carry a 5 per cent tax. Ten percent is the? rate for six lakh one rupee?s to nine lakhs. If you earn betwe?en nine lakh one rupe?es and twelve lakhs, your tax goe?s up to 15 per cent. Income from twelve lakh one? rupees to fiftee?n lakhs will be taxed at 20 per cent. Lastly, if you're lucky e?nough to make over fiftee?n lakhs, your tax rate will be 30 per cent.

File Photo

Advantages of the new tax regime

• No need to maintain a record of travel and rent receipts.
• The basic exemption limit has been elevated from Rs 2.5 lakh to Rs 3 lakh.
• Increased the taxable limit to Rs 7 lakh from Rs 5 lakh.
• Surcharge rates have been reduced from 37 per cent to 25 per cent.
• These reduced rates are applicable for taxpayers with income exceeding Rs 5 crore.

E-insurance to become mandatory

Effective April 1, 2024

The Insurance Regulatory and Development Authority of India (IRDAI) has announced that the digitisation of insurance policies will be mandatory starting from April 1, 2024. This mandate will apply to all insurance categories, including life, health, and general insurance, requiring policies to be issued electronically.

NPS: Two-factor authentication

Effective April 1, 2024

The Pension Fund Regulatory and Development Authority (PFRDA) has introduced a two-factor authentication measure to enhance security. A two-factor Aadhaar-based authentication will be mandatory for all password-based logins into the CRA system.

Debit cards

Effective April 1, 2024

SBI has increased annual maintenance charges by Rs 75 for specific debit cards, effective from April 1, 2024, as stated on their website.

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