What Key Financial Changes Are Coming in July?

New Delhi, June 27 (NationPress) Starting in July, a series of significant financial updates will be implemented, affecting individual taxpayers and bank clients alike.

These updates include a new Aadhaar verification requirement for PAN applications, an extended deadline for filing income tax returns, and revised fees for credit cards and banking services from major banks such as SBI, HDFC Bank, and ICICI Bank.

Beginning July 1, individuals applying for a new PAN card will be required to complete mandatory Aadhaar verification.

This regulation, initiated by the Central Board of Direct Taxes (CBDT), aims to enhance tax compliance and promote digitization. Previously, a valid ID and birth certificate sufficed for obtaining a PAN card.

Additionally, in a significant relief for taxpayers, the CBDT has prolonged the deadline for filing income tax returns for the assessment year 2025-26.

The new deadline is now set for September 15, granting salaried individuals an additional 46 days beyond the original July 31 cutoff.

However, tax professionals recommend starting the process early to prevent any last-minute technical difficulties on the income tax portal.

Meanwhile, SBI Card has revealed that it will terminate its complimentary air accident insurance for select premium credit cards beginning July 15.

Cards such as SBI Card ELITE, Miles ELITE, and Miles PRIME will no longer provide the Rs 1 crore coverage.

The Rs 50 lakh insurance benefit on SBI Card PRIME and PULSE will also be discontinued.

SBI Card is also modifying how it calculates the Minimum Amount Due (MAD) on credit cards.

As of July 15, the MAD will now encompass total GST, EMI amounts, all fees and finance charges, 2 percent of the outstanding balance, and any over-limit amount.

This marks a transition from the previous method, which considered either 5 percent of certain charges or 100 percent of finance charges—whichever was higher—along with other fees.

HDFC Bank will also introduce new transaction fees starting July 1.

A 1 percent fee will apply to rental payments, gaming expenditures exceeding Rs 10,000 per month, and utility bill payments over Rs 50,000.

Moreover, wallet reloads above Rs 10,000 will incur a 1 percent fee as well. Each of these charges will be limited to Rs 4,999 per transaction.

On a brighter note, customers can now earn reward points for insurance payments, capped at 10,000 points per month.

ICICI Bank has announced a comprehensive update to its service charges, effective July 1.

ATM usage fees have been modified: customers will continue to enjoy five free transactions per month at ICICI Bank ATMs, after which a charge of Rs 23 per transaction will be applied.

At non-ICICI Bank ATMs, users in metro areas will receive three free transactions monthly, while those in non-metro regions will receive five.

Beyond this, a Rs 23 fee per financial transaction and Rs 8.50 for non-financial transactions will apply.

International ATM usage will incur higher costs, with ICICI Bank charging Rs 125 per withdrawal, a 3.5 percent currency conversion fee, and Rs 25 for non-financial transactions.

IMPS (Immediate Payment Service) transfer fees will now range from Rs 2.5 to Rs 15, depending on the transfer amount.

The bank has also updated its cash transaction policies. Only three free cash transactions will be permitted at branches or cash recycler machines (CRMs) each month.

After that, a fee of Rs 150 per transaction will apply. Depositing over Rs 1 lakh in a month will incur a fee of Rs 150 or Rs 3.50 per Rs 1,000—whichever is higher.

For third-party cash deposits or withdrawals, the limit remains Rs 25,000 per transaction.