Important Regulatory Changes Taking Effect on October 1, 2023
Here are fresh regulations you should be aware of:
Birth Certificates for Everything:
The new law is all about simplifying life. If you are born after the Registration of Births and Deaths (Amendment) Act, 2023 came into play, your birth certificate is about to become your all-in-one proof for various important things.
Imagine this: just your birth certificate would be sufficient to prove your time and place of birth for getting into school, snag a driver's license, join the voter list, registering your marriage, or even get a job in the government, public sector, or any important government-related paperwork.
So, this little piece of paper can open big doors in your life! It's a game-changer for anyone born after this law started, making things much simpler. No more juggling multiple documents to confirm your birthdate and place! Plus, it simplifies the process of registering adopted, orphaned, surrendered, surrogate, and single-parent children.
New 20% TCS Rule for International Ventures:
If you're planning international escapades, investing in foreign stocks or pursuing higher education abroad, listen up. Starting October 1, a new TCS rule takes effect. If your spending abroad exceeds a specific limit in a financial year, TCS applies.
The good news is that international credit card users won't face this tax, as clarified by the Finance Ministry. Under the Liberalised Remittance Scheme (LRS) of the Reserve Bank of India (RBI), you can remit up to $250,000 in a financial year. Starting from October 1, 2023, all overseas outward remittances, except for medical and educational purposes, over a threshold limit of Rs 7 lakh in a financial year will attract a TCS of 20%.
Online Gaming's Tax Twist:
Gamers, take note! Starting October 1, online gaming will come with a 28% GST tag. Finance Minister Nirmala Sitharaman announced this change in August.
The tax calculation for online gaming and casinos will be based on the amount paid or deposited with the provider, excluding your winnings. So, while you enjoy gaming, be prepared for a bit more taxation fun.
The Finance Minister had a clear message about how taxes will work in the world of gaming.
Picture this: You're in Goa, trying your luck at a casino. You bet Rs 50,000 and win Rs 5,000. Under the new 28% GST rule, you're only taxed on the initial bet of Rs 50,000, which amounts to Rs 14,000. However, no GST is applicable on betting made in multiple rounds, including bets made with winnings from the previous round.
If you bet additional Rs 10,000 , the tax applies to that extra amount.
No More Automatic Tax Refunds for Some Items:
To tackle tax fraud, there's a change coming on October 1. If you're exporting items like pan masala, tobacco, and similar products, you won't automatically get your Integrated GST (IGST) refunds anymore. Instead, you'll need to approach tax officers for approval to get your refund.
These items typically fall under 28% Tax bracket plus cess.
Deadline to Update Mutual Fund Folio Nomination
The SEBI has made it mandatory to add nominees for all existing mutual fund folios, including jointly-held ones. The deadline to update the nomination for your mutual fund investments is September 30, 2023. On failing to do so, your folios will be frozen for debits as per SEBI.
This simply means you won't be able to make any withdrawals from your mutual funds. Yesterday SEBI extended the nomination deadline till 31 December 2023
Deadline to Update Trading, Demat Account Nomination
Same as Mutual Fund Folio Nomination, The SEBI has made it mandatory to add nominees for all Trading and Demat Accounts. The deadline to update the nomination was 30 September 2023. Yesterday the deadline is extended to 31 December, 2023
Deadline to Update Adhaar with various Small Savings Scheme
The Ministry of Finance has made it mandatory to link Aadhaar with the small savings schemes, including the Public Provident Fund (PPF), Sukanya Samriddhi Yojana (SSY), and Post office deposits. The deadline to link Aadhaar to these schemes is September 30, 2023. On failing to do so, your investments in these small savings schemes will be frozen.
Safety Ratings for Cars:
Starting from October 1, 2023, India is rolling out its first-ever car crash testing program called Bharat New Car Assessment Programme (BNCAP)
Here's the deal: car manufacturers can voluntarily test their vehicles based on specific industry standards. After the tests, cars will receive star ratings for how well they protect adult and child occupants during crashes.
These ratings will help you decide which car is safer to buy. So, when you're shopping for a new ride, keep an eye out for those safety stars!
These new rules aim to make life simpler and ensure that the government can provide better services while collecting the necessary taxes for a stronger nation. These changes might affect your pocket and your safety.
Stay informed, stay prepared!
