India income tax deadline extended, PAN rules changed

Starting in July, several important financial changes will take effect in India, directly impacting individual taxpayers and bank customers. These include a new Aadhaar verification requirement for PAN card applications, an extended deadline for income tax return filing, and revised fees on credit cards and banking services by major banks such as SBI, HDFC Bank, and ICICI Bank.

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

This rule, introduced by the Central Board of Direct Taxes (CBDT), aims to enhance tax compliance and promote digitisation. Until now, a valid ID and birth certificate were sufficient for obtaining a PAN card.

In a major relief to taxpayers, the CBDT has extended the deadline for filing income tax returns for the assessment year 2025–26.

The new deadline is September 15, giving salaried individuals an additional 46 days beyond the original July 31 cut-off.

However, tax experts advise taxpayers to begin the process early to avoid last-minute technical issues on the income tax portal.

SBI Card has announced the withdrawal of complimentary air accident insurance on select premium credit cards, effective July 15.

Cards such as SBI Card ELITE, Miles ELITE, and Miles PRIME will no longer offer the Rs 1 crore insurance cover. The Rs 50 lakh cover on SBI Card PRIME and PULSE will also be discontinued.

Additionally, SBI Card is revising how it calculates the Minimum Amount Due (MAD) on credit cards.

From July 15, the MAD will include total GST, EMI amounts, all fees and finance charges, 2% of the outstanding balance, and any over-limit amounts.

This replaces the earlier method, which calculated MAD as either 5% of certain charges or 100% of finance charges — whichever was higher — along with applicable fees.

HDFC Bank will introduce new charges on certain credit card transactions starting July 1.

A 1% fee will apply to:

Each of these charges will be capped at ₹4,999 per transaction.

Also, customers will now earn reward points on insurance payments, up to a limit of 10,000 points per month.

ICICI Bank has announced a wide range of changes to its service charges, effective July 1.

ICICI ATMs: First five transactions per month are free; Rs 23 per transaction thereafter.

Non-ICICI ATMs: Three free transactions per month in metro cities; five in non-metros. Charges beyond this: Rs 23 per financial transaction and ₹8.50 per non-financial transaction.

International ATMs: Rs 125 per withdrawal, a 3.5% currency conversion fee, and Rs25 per non-financial transaction.

Fees will now range from Rs2.50 to Rs15, depending on the transaction amount.

Only three free cash transactions will be allowed per month at branches or cash recycler machines (CRMs).

After that, a fee of Rs150 per transaction will apply.

Deposits exceeding Rs100,000 in a month will attract a fee of Rs150 or Rs3.50 per Rs1,000 — whichever is higher.

For third-party cash deposits or withdrawals, the transaction limit remains Rs25,000.

- with inputs from ANI