Four Key Changes That Will Impact You in New Year 2019

The arrival of new year 2019 will bring renewed hope and optimism for the Indian economy, but there are certain things that will fade away or will attract penalty. Let’s check out

Penalty on Delayed IT Returns

If you are one among those taxpayers who have still not filed the income tax returns (deadline was 31, August, 2018), then you should file it before December 31,2018 ends. This is because the filing of returns between January 1, 2019 and March 31, 2019 will invite penal charges.

As per the section 234F of the Income Tax, the assesse will be charged a fee of Rs 5000 if income tax is filed after the expiry date but before December 31, 2018 and if filed between January 1, 2019- March 31, 2019 the assesse will have to double penalty. Hopefully, this will reduce the menace of late income tax filing in 2019.

Replacement of Non-chip Based Cards

Recently, RBI announced that banks are required to replace magnetic stripe debit and credit cards with EMV chip cards. The last date to comply this order is December 31, 2018 and after that the non-chip cards will be blocked. The reason is the megastripe cards are easy prey to banking frauds like skimming, which EMV card can keep at bay. Such cards will enable dynamic authentication and it will be difficult for the fraudsters to copy the information. So, in 2019 we can expect a decline of financial frauds and rise of the economy to a new level.

Processing of CTS Cheque Only

As per the RBI norms; the banks are required to offer CTS-2010 compliant cheque books to the customers. However, if non CTS cheque book is issued by the bank for transfer of funds, then the customers are required to replace the cheque book as it will be accepted by the banks for clearance in 2019. This will ultimately overhaul the process of cheque processing and offer several benefits to the banks like streamlining of their cost, improving overall efficiency, cost-effectiveness and enhanced customer service.

Lowering of GST: Goods Getting Cheaper

On 22nd December, 2018 GST council meeting was held that lowered GST rate on monitors, Tv, power banks, digital camera, video game console, insurance marble, vegetables and solar empowered projects, etc. This reduction in GST rate will be applicable from Jan 01, 2019 and would bring down your shopping budget.

In the end, we would like to conclude that year 2019, we promise overwhelming reforms at a strikingly rapid rate.