7 Financial Changes To Come Into Effect From January 1, 2022

It's that time of the year when you may be all set to welcome the new year and may also be revisiting your personal finances as to how you need to rework them for a better financial situation. Amid it as the new year sets in, here are the changes that will follow you in 2022:

Debit card/Credit card to be made safer:

The RBI mandate in order to safe card payments safer has sought merchants to remove all card related data from their platforms. Now, each time customers need to engage in online card payment you need to either full card details or can for tokenisation which shall be similar to masked aadhaar i.e. the exact card details will not be be understood then.

GST Rules to be made stringent:

The indirect tax regime which was overhauled in 2017 with the introduction of GST will be made more stringent. As per a Mint report, a number of changes will be brought into effect into CGST beginning the new year. Some of the changes include what will make a taxable supply, eligibility for tax credits as well as norms in relation to filing appeals in respect of some of the cases.

Cash withdrawal to be made expensive:

ATM transactions will be costlier beyond free limits and this is even true for non-cash related transactions. So, now after the free transactions are done with, banks are allowed to charge Rs. 21 per transaction. Thus the non-cash and cash transactions from one's own bank ATM have been fixed at 5, while it is 3 using non-bank ATM.

Post office small savings scheme interest rate changes:

The interest rate on savings schemes are decided factoring in the bond yield. And there can be a chance that after a continuous pause on the rate, there can be a revision. Of all the post office schemes, Sukanya Samriddhi fetches the highest rate of 7.6%.

India Post Payments Bank to now levy a charge on deposits:

For cash deposits beyond some specified limit, there will be a charge attached. So, with it cash deposits will no longer be free in 2022 in case of some of the banks. For Payments bank, RBI mandates that they cannot have a sum over Rs. 1 lakh in their savings account.

LPG rates may be revised from January 1, 2021:

Last month, domestic LPG rates were not changed, while the price of commercial cylinder had gone higher. LPG rates in the country are determined considering import parity price, i.e. computed based on LPG rates in the overseas market.

EPF related benefits to be available only to subscribers who have completed the nominee addition process:

There has been a new ruling as per which you need to complete the EPF nomination by December 31, 2021. This the provident fund body has asked for smooth process such that in case of the EPF subscribers' demise, his or her nominee can easily file the claim online.

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