Here are ten significant financial and administrative changes that will come into effect in May 23.
1. PNB to levy charges on failed ATM cash withdrawal due to insufficient funds from May 1, 2023
Starting from May 1, 2023, Punjab National Bank (PNB) will charge Rs 10+ GST on failed domestic ATM cash withdrawal transactions due to insufficient funds. The bank is also revising fees for the issuance of debit and prepaid cards, annual maintenance fees, and will start charging for denied debit card PoS and eComm transactions due to insufficient funds.
2. Changes to SBI Card AURUM rewards and benefits
From May 1, 2023, SBI Card AURUM Cardholders will receive a voucher from Tata CLiQ Luxury instead of RBL Luxe on hitting the annual spend milestone of Rs. 5 Lakh. EazyDiner Prime and Lenskart Gold Membership perks will no longer be available with the AURUM Card. Additionally, the reward points for online rent payment transactions using SimplyCLICK SBI Card and SimplyCLICK Advantage will reduce from 5X to 1X.
3. Kotak Mahindra Bank to hike annual charges on debit cards
Starting from May 22, 2023, Kotak Mahindra Bank will increase the annual charges on its debit card from Rs. 199 + GST to Rs. 259 + GST, as informed by the bank through a mail to select customers.
4. Mutual Fund e-wallet KYC
SEBI has mandated that e-wallets used for mutual fund investments must comply with RBI's KYC requirements. The new rule will be effective from May 1, 2023. In 2017, SEBI had allowed the use of e-wallets for mutual fund investments up to an annual cap of Rs. 50,000 per investor using both e-wallets and/or cash for each mutual fund. The latest circular does not change any other provisions of the previous circular.
5. Students aspiring to study in the US will have to pay higher visa fees
The increase in the student visa fees from $160 to $185 will be effective from May 30, 2023, for all international students who wish to study in the United States. This change was announced by the US Department of State, and it is important for all international students to take note of this development as it may affect their financial planning. The increase in visa fees may also have an impact on the overall cost of studying in the United States. Therefore, it is important for students to factor in this increase in their budget and make necessary adjustments to their financial plans accordingly.
6. New regulations for use of brand name/trade name by IA/RA
SEBI has issued new guidelines for Investment Advisers (IA) and Research Analysts (RA) in India regarding the use of brand name or trade name. The guidelines mandate that certain information must be prominently displayed on various platforms and communications with clients. The name of the IA/RA as registered with SEBI, its logo, registration number, complete address with telephone numbers, and the name of the grievance redressal cell shall be displayed prominently in statements or reports of any other form of correspondence with the client. A disclaimer shall be mentioned, stating that "Registration granted by SEBI, membership of BASL (in case of IAs) and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors." These regulations aim to ensure that investors are aware of the IA/RA credentials, their contact details, and the grievance redressal mechanism available to them, and caution investors against relying solely on registration and certification for investment decisions.
7.The deadline to apply for higher pension extended to 26th June 2023
The Employees' Provident Fund Organisation (EPFO) has extended the deadline for eligible employees to apply for higher pension from the Employees' Pension Scheme (EPS) to June 26, 2023, from May 3, 2023. The online facility to allow eligible employees to apply for higher pension came out just a few days prior to the four-month SC deadline of March 3, 2023. However, unresolved issues still remain. The latest extension is to facilitate and provide ample opportunity to the pensioners/members.
8. New GST Rules For Businesses With Over ₹100 Crore Turnover
Will have to upload their electronic invoices on the Invoice Registration Portal within 7 days of the invoice issue, replacing the current system.
9. Tata Motors cars to get expensive
Tata Motors will increase the prices of its passenger vehicles by an average of 0.6% starting May 1st, 2023, due to regulatory changes and rising input costs. The actual increase will vary by model and variant. Other automakers such as Maruti Suzuki, Mercedes Benz, and MG have already increased car prices this year. Tata Motors had been absorbing some of the increased costs but is now passing on some of it to customers.
10. Commercial LPG Prices Revised
State-run oil marketing companies in India have reduced the price of commercial LPG cylinder by Rs 171.50 per unit, following a reduction of Rs 91.50 last month. Domestic cylinder prices remain unchanged.
The author is a Chartered Accountant with 2 decades of experience into Accounting, Taxation, Auditing, Risk & Compliance, Credit Controls, Due diligence. Currently, the author is the founder and managing partner at RRL Global services.
CAclubindia
