New Delhi- In just a day, the month of May will end and with the beginning of the new month, many changes will also take place. Many rules related to financial matters are going to change in June. This includes rules from income tax to credit cards and mutual funds. These changes are going to have a direct impact on the pocket of the common man. One case is directly related to the Reserve Bank.
SEBI Changes Mutual Fund Rules
Market regulator SEBI has introduced new cut-off times for overnight mutual fund schemes, with the aim of improving operational efficiency and fund management. This new schedule is part of SEBI’s continuous efforts to bring mutual fund processes in line with global standards. The new mutual fund rules will come into effect from June 1. Under the new rule, if an application is received till 3 pm, the previous day’s net asset value (NAV) will be applicable. For applications received after 3 pm, the NAV of the next working day will be applicable. In addition, for applications submitted online, such as for overnight fund schemes, a cut-off time of 7 pm will be applicable.
Axis Bank has changed the card rules
Axis Bank has announced changes in the benefits, terms and conditions of most of its credit cards, which will be effective from June 20. Some of the popular credit cards of Axis Bank like Magnus for Burgundy and Magnus for Flipkart are expected to see a significant drop in rates. The bank has changed the reward structure for Magnus/Magnus for Burgundy.
Now you will earn 12 EDGE REWARD points for every Rs 200 spent, which will be applicable on spending up to Rs 1.5 lakh per month. Spending above Rs 1.5 lakh will earn 35 points for every Rs 200. After that, the rate will again be 12 points for every Rs 200 until their spending reaches Rs 1.5 lakh in addition to the credit limit. Also, the cashback has now increased from 1 percent to 7.5 percent when shopping on Myntra with Flipkart Axis Bank credit card, but it is now limited to Rs 4,000 per quarter. The cashback on Flipkart and Cleartrip will remain at 5%.
Kotak Mahindra Bank increases credit card charges
From June 1, Kotak Mahindra Bank is going to make changes to its credit cards, including a reduction in rewards and a reduction in cashback redemption value. The bank will reduce reward points on transactions in categories like education, utilities and online gaming. Kotak Royal, League and Urban cards will get 7 paise per point, which was earlier 10 paise. Kotak 811 credit card holders will get 10 paise per point, which was earlier 25 paise and Kotak Infinity card holders will get 70 paise per point, which was earlier Rs 1. The bank has also increased charges. The interest rate on most cards has been increased from 3.50 per cent to 3.75 per cent.
Advance tax due date
If you have sources of income other than salary, such as interest on deposits, rent or capital gains, you may have to pay advance tax. As per section 208 of the Income Tax Act, 1961, individuals whose estimated tax liability is Rs 10,000 or more in a financial year and this amount remains after tax deduction at source (TDS and TCS), are required to pay advance tax. Taxpayers have to pay advance tax in four installments, with the first installment due on June 15 and 15 percent of the total advance tax has to be paid. If missed, then interest of 1 percent will have to be paid every month on the total outstanding.
