Upi New Rules 2024:
some new rules come into effect as it’s the first day of the month. several changes will come into effect. Since these changes will have a direct impact on you.
Here’s a look at changes coming from January 1, 2024
1) Inactive UPI IDs
The National Payments Corporation of India (NPCI) in a circular dated 7 November, has asked payment apps and banks to deactivate the UPI IDs and numbers that have not been active for more than one year. Every bank and third-party app has to follow these till 31st December.
2) Belated ITR filing deadline
The last date to file Income Tax Returns with penalty fees for the fiscal year 2022-23 is also approaching on December 31, 2023. Under Section 234F of the Income Tax Act, individuals who fail to file their returns before the due date will be subject to a late filing fee. For those who missed the deadline, the penalty is 5,000. However, taxpayers whose total income remains below 5 lakh will only have to pay a reduced penalty of 1,000.
3) NPCI’s instructions
The NPCI circular instructs TPAPs and PSP banks to identify UPI IDs, associated UPI numbers, and phone numbers of customers who have not conducted any financial or non-financial transactions for a year through UPI apps. The UPI IDs and UPI numbers of such customers will be disabled for inward credit transactions, and the same phone numbers will be deregistered from the UPI mapper. Customers with blocked UPI IDs and phone numbers for inward credit transactions must re-register in their UPI apps to re-link their UPI. They can continue making payments and non-financial transactions using their UPI PIN as required.
4) No paper-based KYC for SIM cards
Mobile phone users will be able to get new SIM cards without filling out the paper forms on the first day of 2024. According to a notification by Department of Telecommunications (DoT), the paper-based know-your-customer (KYC) process will be done away with from January 1. “Considering various amendments/changes made in the existing KYC framework from time to time, it has been decided by the competent authority that the use of Paper-based KYC process, as envisaged in instructions dated 09.08.2012, shall be discontinued effect from 01.01.2024,” the notification read.
5) Increased vehicle prices
Several automakers in India, including Maruti Suzuki, Mahindra & Mahindra, and Audi India, have announced plans to increase the prices of their passenger vehicles in January 2024.