As December unfolds, a series of financial changes is sweeping in, impacting mutual fund holders, equity investors, and individuals across the board. From crucial deadlines to updates and nominations, let’s dive into the details of these changes that might affect you this month.

1. Nomination for Existing Individual Investors by December 31

For those with mutual fund (MF) investments, especially if your folio was created before January 1, 2024, the clock is ticking. By December 31, nominations or opt-out confirmations are a must. This step is critical, as without it, transactions like redemptions and systematic withdrawal plans won’t be allowed come January 1, 2024.

2. Revised Locker Agreement: Sign Before December 31

The Reserve Bank of India (RBI) extended the deadline for banks to renew locker agreements, and if you submitted yours on or before December 31, 2022, it’s time to act. Sign the revised locker agreement and submit it to your bank branch before the end of December to ensure the smooth continuation of your locker services.

3. Update Your Aadhaar Card by December 14

Your Aadhaar card is a crucial identity document, and if it’s due for an update, do it now. Until December 14, updating is free. After this date, a nominal charge will be applicable. If you haven’t updated your Aadhaar for the past 10 years, it’s high time to do so. The myAadhaar portal offers a free updating service, so ensure your information is current to avoid future complications in accessing government services.

4. December 15 Deadline for the Third Advance Tax Instalment

For salaried individuals, the concept of “Advance Tax” might seem distant, but it’s essential. If your primary income is your salary, but you have additional earnings from sources like interest, rental income, or capital gains, you must assess your advance tax liability. By December 15, you need to pay 75 percent of your estimated advance tax. Missing this deadline incurs penal interest under section 234C, so stay on top of your tax responsibilities.

5. File Revised or Belated Returns by December 31

As the year comes to a close, don’t forget about your income tax returns. December 31, 2023, is the last day to file revised or belated returns if you missed the original deadline of July 31, 2023. While there’s a penalty of Rs 5,000 for late filing, this amount is reduced to Rs 1,000 for incomes below Rs 5 lakh. If genuine reasons prevent you from meeting the deadline, submit an application for condonation of delay to the Income Tax Commissioner.

6. RBI’s Repo Rate Decision: Will There Be a Change?

Keeping an eye on the Reserve Bank of India’s (RBI) monetary policy decisions is crucial, especially if you have loans linked to the repo rate. The RBI’s choice to maintain the status quo or make changes to the policy repo rate can impact interest rates on loans. Stay informed to understand how this may affect your financial commitments.

7. Changes to Lounge Access on HDFC Bank’s Regalia Credit Card

For HDFC Bank’s Regalia credit cardholders, changes to lounge access within India are effective from December 1. The access program now relies on credit card spends, with a spending criterion of Rs 1 lakh or more in a calendar year. If you meet this criterion, you can enjoy the lounge facility. Additionally, credit card users can avail two complimentary lounge access vouchers as part of a quarterly milestone.

In summary, December isn’t just about festivities; it’s a month where financial responsibilities come to the forefront. Stay informed, meet the deadlines, and ensure your financial house is in order as we bid farewell to 2023. For more detailed insights and updates, continue following The Soulful Page website.