New Financial Rules from July 1: Aadhaar Mandatory for PAN, Changes in Credit Card, ATM Charges

SRINAGAR: A slew of new financial regulations will come into effect from July 1, 2025, directly impacting Indian consumers. The changes span across taxation, banking, and credit card policies, with revised rules from key institutions including the Central Board of Direct Taxes (CBDT), SBI Card, HDFC Bank, and Axis Bank.

Aadhaar Now Mandatory for New PAN Cards

As per the Central Board of Direct Taxes (CBDT), Aadhaar verification will become compulsory for all new Permanent Account Number (PAN) card applications beginning July 1. Previously, individuals could apply for a PAN using other valid forms of identification such as a birth certificate. The change, according to the CBDT, is intended to streamline tax compliance and bolster digital identity integration.

ITR Deadline Extended to September 15

In a relief to taxpayers, the CBDT has also announced an extension for the Income Tax Return (ITR) filing deadline for the assessment year 2025–26. The previous deadline of July 31 has now been pushed to September 15, 2025, allowing taxpayers more time to ensure error-free filing.

Credit Card Changes by SBI, HDFC and ICICI

From July 15, SBI Card will modify its Minimum Amount Due (MAD) calculation. The new structure will include GST, EMIs, fees, finance charges, over-limit dues, and 2 per cent of the remaining balance. Payments will follow a fixed sequence, prioritising tax and charges before retail and cash transactions.

SBI Card is also set to discontinue its complimentary air accident insurance. The Rs 1 crore insurance on ELITE, PULSE, and MILES ELITE cards, and the Rs 50 lakh cover on PRIME and MILES PRIME cards will no longer be available to both existing and new users.

HDFC Bank will impose a 1 per cent surcharge on online transactions for skill-based gaming and wallet top-ups exceeding Rs 10,000 per month, capped at Rs 4,999, starting July 1. No reward points will be granted for these transactions. Utility bill payments over Rs 50,000 for consumer cards and Rs 75,000 for business cards will attract a similar 1 per cent fee, also capped at Rs 4,999.

Reward points for insurance transactions will now be capped: 10,000 points for Infinia/Infinia Metal cards, 5,000 for Diners Black/Biz Black Metal, and 2,000 for most other cards. Marriott Bonvoy cards will remain uncapped. All service fees will attract GST.

Axis Bank to Raise ATM Withdrawal Charges

Axis Bank has announced that ATM withdrawals beyond the free limit will now cost Rs 23 per transaction, up from Rs 21. The change, effective July 1, applies to both Axis and non-Axis ATM users, including premium segments like Priority and Burgundy customers.

The hike is attributed to rising operational expenses and efforts to enhance ATM services. Several banks had previously increased their ATM charges from May 1 this year.