As the end of March approaches, taxpayers, investors, and digital payment users in India must prepare for a flurry of financial deadlines and new regulations. March 31, 2025, marks the conclusion of the 2024-25 financial year, and individuals are urged to take action on various financial tasks to avoid penalties and ensure compliance.
One of the most pressing deadlines is for the Mahila Samman Savings Certificate, which allows women and girls (or their guardians on their behalf) to invest until March 31, 2025. The minimum investment required is ₹1,000, while the maximum allowed per individual is ₹2 lakh, with an attractive 7.5% annual interest rate. This scheme has been highlighted as a secure and beneficial savings option for women.
Additionally, students interested in the PM Internship Scheme must register by March 31, 2025. This initiative, which aims to provide experience in both government and private sectors, had its deadline extended from March 12, 2025. Interested candidates are encouraged to apply promptly to secure their place in the program.
Taxpayers are also reminded to complete their tax-saving declarations and investments by the end of March to take full advantage of the old tax regime. This is particularly relevant for those who have not yet made their investments for the financial year. Under Section 80C of the Income Tax Act, individuals can claim a tax exemption of up to ₹1.5 lakh by investing in options such as Public Provident Fund, National Savings Certificates, and more.
Moreover, the deadline for filing updated income tax returns (ITR) for the financial year 2021-22 is also March 31, 2025. Taxpayers who missed the initial filing or need to make corrections can file an updated ITR (ITR-U) by this date. It is crucial to note that filing before the deadline incurs an additional tax of only 25%, while failing to do so increases the penalty to 50%.
As the new financial year looms, individuals should also reassess their tax liability for FY25. This reassessment allows taxpayers to identify mistakes or loopholes in their tax-saving investments. For salaried taxpayers, there is the option to switch between the old and new tax regimes before filing their ITR, which is due by July 31, 2025.
Changes to UPI (Unified Payments Interface) regulations will take effect on April 1, 2025. UPI apps will now require explicit user permission before modifying or assigning a numeric UPI ID. Users must opt-in for this feature manually, ensuring greater security and control over their payment methods. This change is designed to prevent any confusion during transactions, as permission cannot be requested during the process.
In addition to these deadlines, several special fixed deposit plans offered by major banks, including SBI and IDBI, will no longer be available after March 31, 2025. These plans have provided higher returns compared to standard term deposits, making them an attractive option for savers looking to maximize their investments before the financial year ends.
Taxpayers are also encouraged to consider health insurance as a means of tax saving. Under Section 80D, individuals can claim deductions for health insurance premiums paid for themselves, their spouses, dependent children, and parents. The deduction limits vary based on age, allowing for up to ₹25,000 per financial year for individuals below 60 years, and up to ₹50,000 for those aged 60 and above.
Furthermore, individuals can claim deductions for donations made under Section 80G, which can also contribute to reducing overall tax liability. As the financial year draws to a close, taxpayers should ensure they have completed all necessary financial tasks to avoid late fees and unnecessary deductions.
In light of these various deadlines and changes, it is crucial for individuals to take proactive measures. As the government reviews interest rates for small savings schemes quarterly, the rates for April to June 2025 will be announced by March 31. This announcement may influence investment decisions, and those considering new investments should act quickly.
Finally, there are significant changes coming to the reward structures for SBI credit cards, including popular options like Club Vistara, SimplyCLICK, and Air India cards, effective April 1, 2025. Cardholders need to familiarize themselves with these new rules to understand how they may impact their rewards and redemption options.
In summary, March 31, 2025, is a pivotal date for taxpayers and investors alike, marking the end of the financial year and the initiation of new regulations. By staying informed and acting promptly, individuals can navigate these changes effectively and optimize their financial strategies.
