With 2024 drawing to a close, significant financial changes are set to take effect at the dawn of 2025, impacting millions across Canada and India. These updates aim to provide much-needed relief to low-income households, improve tax compliance, streamline international travel, and modernize telecommunications services.
One of the most pivotal changes for Canadians is the re-introduction of the Goods and Services Tax/Harmonized Sales Tax (GST/HST) credit, intended to help offset the taxes paid by lower-income households. The Canada Revenue Agency (CRA) has announced the maximum payout amount will be $680 for eligible couples, with payments starting on January 3, 2025. This credit acts as financial assistance for those facing mounting expenses amid rising inflation. "The GST/HST Credit can add up to hundreds of dollars and provide a solid financial boost right when you need it," reported Narcity.
For those vying for the GST/HST credit, the eligibility criteria remain the same: individuals must be Canadian residents for tax purposes, 19 years old, and not exempt from taxes. Single individuals must not exceed $51,533 of net income, with varying thresholds based on family size. Eligible individuals will automatically receive payments upon filing their taxes.
On the Indian side, business operations will undergo significant changes starting January 1, 2025, particularly concerning GST compliance. The implementation of Multi-Factor Authentication (MFA) will be mandatory for all taxpayers accessing the GST portal. This move aims to bolster security measures and combat fraud within the system. Along with this, new restrictions around E-Way Bills will come to play, limiting their generation to documents no older than 180 days. Companies are encouraged to prepare early by updating IT systems and automizing reminders. "Starting January 1, businesses must adopt Multi-Factor Authentication (MFA) for GST portal access, enhancing security through additional verification steps..." stated the Times of India.
Another important change relates to the price revision of LPG cylinders. With the recent fluctuations, consumers can likely expect prices to increase, factoring oil prices currently averaging near $73.58 per barrel. Enhanced costs not only affect domestic cylinders but may also impact commercial rates, contributing to overall household expenses.
Farmers will benefit from the Reserve Bank of India’s new financial rules, aimed at providing loans without guarantees amounting up to Rs 2 lakh. This development would ease access to credit for agricultural activities, encouraging sustainability and productivity within the sector. "From January 1, 2025, farmers will be eligible for loans up to Rs 2 lakh without any guarantee..." emphasized Business Today.
For pensioners, the recent changes will simplify withdrawal processes. Starting January 1, pensioners will be able to withdraw funds from any bank without additional verification. This new approach aims to make accessing pensions easier for nearly 78 lakh employees' provident fund organization wrist holders. "The new rule allows pensioners to withdraw their pension from any bank across India without the need for additional verification..." as reported by The Economic Times.
International travelers will also see changes aimed at streamlining visa application processes. From January 1, 2025, the US Embassy will allow non-immigrant visa applicants to reschedule appointments once without incurring additional fees, easing some of the burden posed by lengthy wait times averaging over 400 days. This change marks progress as the US Department of Homeland Security attempts to modernize the H-1B visa process, enhancing flexibility for employers and maintaining efficient transitions for student visa holders come January 17, 2025. "This change is expected to make international travel to Thailand more accessible and efficient..." stated the BBC.
On the tech front, individuals using WhatsApp on older Android versions will need to upgrade their devices by January 1, 2025, with several popular models affected, including older Samsung and HTC smartphones. Users are advised to backup important data before the update deadline to avoid losing any important information.
2025 brings with it myriad ways for individuals and families to adapt and align with new financial realities. With updated systems set to impact financial assistance programs, telecommunications standards, and industry regulations, staying informed about these changes is key. The relief offered through updated allowance programs, their respective eligibility, and streamline processes is set to provide substantial support to those who need it most.
