A lot of changes are going to happen from July 1, such as token system will be applicable for online payment, AC and two wheeler prices may increase, penalty for Aadhaar-PAN linking will be doubled, etc.
From 01 July 2022, many rules related to financial transactions and online payments are changing in the country. Many products will become expensive. After the implementation of these rules, some burden may also fall on your pocket. Let’s know about these changes…
1. Token system will be applicable for online payment
From July 1, i.e. today, you will not be able to keep the data of online shopping companies, merchants and payment gateways credit and debit cards on your platform. Keeping in view the safety of the bank customers, the Reserve Bank of India is going to start the card tokenization system on July 1. Under this, the card details will be converted into tokens. This will be a secure method of online transaction.
2. Double penalty for linking Aadhaar-PAN
The Central Government has fixed 31 March 2023 as the last date for linking PAN and Aadhar card with fine. There is a provision of fine of Rs 500 for linking it by 30 June 2022. But from July 1, this fine will increase to one thousand rupees. If you have not linked it yet, then from July 1, i.e. today, you will have to pay a fine of Rs 1000.
3. 10% TDS to be paid on gifts
10 percent TDS will have to be paid from 01 July 2022 on gifts received from business and miscellaneous businesses. This tax will also apply to social media influencers and doctors. Social Media Influencers will be required to pay TDS only when a company provides a product to them for marketing purposes. On the other hand, TDS will not be applicable if the given product is returned to the company.
4. TDS to be paid on cryptocurrencies
Under the new section 194S of the IT Act, from July 01, 2022, if the transaction for cryptocurrency exceeds Rs 10,000 in a year, then it will be charged at one percent. Income Tax Department has released the notification for Virtual Digital Assets. All NFTs or digital currencies will come under its ambit.
5. Will not be able to update KYC of Demat account
If you have not completed KYC for Demat and Trading Account, then after today you will not be able to update KYC. After that you may face trouble. Earlier, KYC for demat accounts was to be completed by March 31, 2022, but SEBI extended the deadline to June 30.
6. Prices of two wheelers to increase
From July 1, i.e. today, the prices of two wheelers in the country will increase. Hero MotoCorp has decided to increase the prices of its vehicles by up to Rs. The company has taken this decision in view of rising inflation and rising raw material prices. Like Hero MotoCorp, other companies can also increase the prices of their vehicles.
7. AC prices will also increase
Along with two wheelers, ACs will also become expensive in the country from July 1. The Bureau of Energy Efficiency has changed the energy rating rules for air conditioners (ACs). These changes will come into effect from July 1. After this the rating of 5 star AC will be reduced to 4 stars directly. After the implementation of the new energy efficiency, AC prices may increase by up to 10 percent.
8. Income Tax Rules for YouTubers and Doctors
Doctors, YouTubers and influencers who receive free items from companies will have to pay tax for those items from July 1. Social media influencers need to pay 10% TDS on receipt of product like car, mobile, outfit etc. However, if the product is returned to the company after using the services, it will not be covered under section 194R.
