From April 1, 2025, many rules of Mutual Funds, Credit Cards, Income Tax, UPI and GST will change. New tax slabs, DigiLocker facility, Unified Pension Scheme and TDS exemption will be implemented.
The new financial year 2025-26 will start tomorrow i.e. from April 1. With the start of the new year, many rules related to mutual funds, credit cards, UPI transactions, income tax and GST will change. These will affect investors, taxpayers and the common people. Therefore, if you are involved in mutual funds, credit cards, UPI transactions or income tax, then it is very important for you to know about these changes in the rules.
The Securities and Exchange Board of India (SEBI) has made changes to certain rules related to investment in mutual funds, which will come into effect from April 1, 2025. Funds raised under new fund offers (NFOs) will now have to be invested within 30 business days. If an asset management company (AMC) is unable to invest within this period, it can get a further extension of 30 days with the approval of the investment committee. If the investment is not made within 60 days, the AMC will be barred from taking fresh investments and investors will be allowed to exit without any penalty.
SEBI has introduced a new category called Specialized Investment Funds (SIFs), which will be a cross between mutual funds and portfolio management services (PMS). A minimum investment of ₹ 10 lakh will be required to invest in it. Only those AMCs whose average assets under management (AUM) has been more than ₹ 10,000 crore in the last three years can launch it.
DigiLocker Facility
From April 1, investors will be able to store and access their demat and mutual fund holding statements digitally in DigiLocker. This will reduce the problem of unclaimed assets and make it easier for the nominee to access the assets.
New tax slabs
The new tax slabs will be applicable from April 1. Under the new tax structure, the government has increased the tax-free income limit from ₹ 7 lakh to ₹ 12 lakh, which will be a big benefit to middle-class taxpayers. The new tax slabs in the new tax system will be as follows:
- Income up to ₹4 lakh – No tax
- ₹4 lakh to ₹8 lakh – 5% tax
- ₹8 lakh to ₹12 lakh – 10% tax
- ₹12 lakh to ₹16 lakh – 15% tax
- ₹16 lakh to ₹20 lakh – 20% tax
- ₹20 lakh to ₹24 lakh – 25% tax
- Income above ₹24 lakh – 30% tax
New GST and e-invoicing rules
From April 1, 2025, businesses with an annual turnover of ₹10 crore or more will be required to upload e-invoices on the invoice registration portal within 30 days. Earlier, this rule was applicable only to businesses with a turnover of more than ₹100 crore.
Unified Pension Scheme to be implemented
Unified Pension Scheme (UPS) will be implemented under the National Pension System (NPS) from April 1, 2025. This scheme will guarantee a fixed pension to central employees. Employees whose service is at least 25 years will get 50% of the average basic pay of the last 12 months as pension.
Changes related to UPI transactions
The National Payments Corporation of India (NPCI) has directed banks and payment service providers (PSPs) to update their databases by March 31, 2025. Instructions have been given to delete recycled or deactivated mobile numbers. If your mobile number is blocked under the Department of Telecommunications (DoT) regulations, your bank and the UPI app may remove it from their records, which may affect UPI services. Therefore, make sure that your bank account is linked to an active mobile number.
TDS exemption
From April 1, 2025, no TDS will be levied on remittances up to Rs 10 lakh for fees or other expenses of children studying abroad under the Liberalized Remittance Scheme (LRS). Earlier, 5% TDS was payable on amounts above Rs 7 lakh.
Credit card rules to change
Many banks are also making changes to the rules related to credit cards from April 1. With the SBI SimplyCLICK credit card, reward points on Swiggy will now be 5X instead of 10X, but you will continue to get 10X reward points on Myntra, BookMyShow, and Apollo 24|7. The reward points available on Air India ticket bookings using the Air India SBI Platinum Credit Card will be reduced from 15 to 5 per Rs 100 spent. There will be no new milestone benefit for IDBI First Bank’s Club Vistara Credit Card.
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