From the new financial year that starts on April 1, 2019, there are a host of changes that will come into effect. Here is a complete list to prepare yourself for such changes in advance:
1. In respect of PAN, linking of PAN and aadhaar has to be completed by March 31, 2019. So, individuals and entities who fail to get the norm done may see invalidation of their PAN. Last year in September the Supreme Court said Aadhaar is still mandatory for issuance of PAN card and filing of income tax return.
2. In mutual funds also TER or total expense ratio charged from investors is set to change from the FY'20. For schemes other than equity schemes, TER will be 1% and for close ended schemes it will be 2.25%. Further for other schemes, total expense ratio is kept at 2.25.
3. Also, shares in physical form needs to be dematerialized as from April 1, 2019, shares held only in demat will be deemed valid
4. All banks will have to link lending rates to external benchmark rates. This has already been effected by SBI. The move is likely to lower borrowing cost for various consumers.
5. From April 1, GST rates on affordable housing sector will come down to 1% whereas for categories it will be 5%. Currently, for the two categories GST of 8% and 12% is levied.
6. Also, in respect of EPF, a separate application will not have to be given for transfer of EPF account when changing jobs. Further, automatic system of EPF transfer would also come into place from April 1, 2019.