Significant Financial Changes Effective from June 1: What You Need to Know
Overview of New Financial Regulations
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New Delhi, June 1: A series of financial updates impacting both consumers and businesses have been implemented as of June 1. These changes encompass enhanced security protocols for Unified Payments Interface (UPI) transactions, modifications to ATM withdrawal policies, tax deadlines, and increased commercial LPG prices.
One significant update pertains to UPI transactions, where new security measures are set to be enforced for high-value payments. The revised guidelines may necessitate additional authentication steps beyond the standard PIN verification for larger transactions on payment platforms.
ATM withdrawal regulations have also been revised. Cardless cash withdrawals via UPI will now count towards the monthly free withdrawal limits established by banks. Customers who exceed these limits may incur extra fees.
For taxpayers, June 15 is a crucial date as it marks the deadline for the first installment of advance tax for the fiscal year 2026-27. Individuals with an estimated tax liability exceeding Rs 10,000 must remit 15% of their estimated tax by this date to avoid interest penalties.
Additionally, the Employees’ Provident Fund Organisation (EPFO) is reportedly piloting a system that would enable employees to withdraw their provident fund through UPI, potentially streamlining the withdrawal process.
Changes have also been made to tax regulations concerning PAN usage. Under the new guidelines, PAN may not be required for certain cash deposits over Rs 50,000, although reporting obligations for high-value transactions remain in effect if annual cash deposits or withdrawals exceed specified limits.
In property transactions, the threshold for mandatory PAN disclosure during property sales and purchases has been raised, along with new reporting requirements for high-value transactions, gift deeds, and joint development agreements.
On the commercial front, LPG prices have seen an increase, with the cost of a 19-kg commercial LPG cylinder in Delhi rising by Rs 42, and similar hikes occurring in other cities.
State-owned oil marketing companies (OMCs) have also increased the prices of 5-kg free trade LPG cylinders, although domestic LPG cylinder prices remain stable, providing some relief to households.
Furthermore, the Reserve Bank of India’s Monetary Policy Committee (MPC) is set to convene from June 3 to June 5.
Consumers are advised to keep an eye on petrol, diesel, and CNG prices as global crude oil trends and geopolitical factors continue to impact domestic fuel costs.