As December arrives, it marks the final month of the year, but it’s also significant for several important economic and financial activities.
The Reserve Bank of India (RBI) will hold its crucial meeting on monetary policy, and several key deadlines related to Aadhaar updates, tax payments, and credit card changes are coming up.
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RBI’s Monetary Policy Meeting – 6th December
One of the most awaited events in December is the RBI’s monetary policy meeting on the 6th. People are curious whether the RBI will reduce interest rates or keep them steady at 6.5%.
If the RBI decides not to change the rates for the 10th time, there won’t be much impact on your finances, especially home loans.
The RBI has already shifted its policy stance from neutral to “withdrawal of accommodation” since May 2022.
Economists believe that if inflation remains controlled, the RBI might reduce rates, which could lead to lower interest rates and EMIs for loans.
Last Date for Free Aadhaar Update – 14th December
If you need to update your Aadhaar card, make sure to do it by December 14. The Unique Identification Authority of India (UIDAI) is offering free updates to your Aadhaar details (name, address, and date of birth) if done online.
After December 14, there will be a fee of Rs 50 per update. UIDAI recommends updating Aadhaar every 10 years to keep your details current.
Advance Tax Payment Deadline – 15th December
For those earning income beyond their salary, such as from interest, rentals, or investments, remember that the third installment of advance tax is due on December 15.
If your tax liability is over Rs 10,000 for the year, you must pay advance tax in four installments. By December 15, you need to pay 75% of your total tax.
If you miss the deadline, you may face a penalty of 1% interest per month under Section 234C.
Axis Bank Credit Card Charges Revision – 20th December
Axis Bank will be changing the charges on its credit cards starting December 20. This includes new fees for redemption of rewards points and changes to credit card interest rates.
For example, cash redemption and mileage conversions will now cost Rs 199 plus GST.
These changes will apply to specific Axis Bank credit cards, including the Atlas, Samsung Axis Bank, Magnus, and Reserve cards. Cards like Axis Bank Olympus and Horizon will not be affected.
Last Date for Filing Late Tax Returns – 31st December
If you haven’t filed your tax return for the financial year 2023-24, you still have time to file it by December 31, 2024. However, there is a penalty for filing late.
The penalty is Rs 5,000 for late filings, but if your income is under Rs 5 lakh, the penalty is reduced to Rs 1,000. Any outstanding taxes from the financial year must also be paid, along with interest.
If you miss this deadline, you will need to apply to the Income Tax Commissioner with a valid reason for the delay.