Many major changes will take place on April 1, 2022, which might also influence your online transactions and spending. These changes will affect all bank customers, including senior citizens. Here are four major changes to be aware of.
Tax on PF(Provident Fund)
The Central Board of Direct Taxes (CBDT) has decided to begin implementing Income-tax (25th Amendment) Rule 2021 on April 1, 2021. It signifies that a limit of Rs 2.5 lakh in tax-free contributions is being imposed on the Employee Provident Fund (EPF) account. If the contribution exceeds this amount, the interest income will be taxed.
Savings Accounts For Monthly Income Scheme Interests
The regulations for investing in the Monthly Income Scheme (MIS), Senior Citizen Savings Scheme (SCSS), and Post Office Term Deposit (TD) at the Post Office have also changed. From April 1, the interest amount in these plans will not be accessible in cash.
You'll need to start a savings account for this. Many customers have not connected their post office savings account or bank account with their MIS, SCSS, or TD, as per the Department of Posts, and as a result, interest is not paid.
GST Rules
The CBIC (Central Board of Indirect Taxes and Customs) has cut the turnover limit for e-challans (electronic challans) underneath the Goods and Services Tax (GST) from Rs 50 crore to Rs 20 crore.
Pan-Aadhar Card Linking
Your PAN will become inactive and you will be fined a penalty if you do not link it to your Aadhaar number by March 31. The penalty will be imposed under Section 234H of the Income Tax Act.
The highest price for integrating PAN with Aadhaar after the prescribed period will not exceed Rs 1,000, while the government has not yet set the penalty amount.
