Key changes in July: Aadhaar mandate for PAN, ITR deadline extended, revision in bank charges

A slew of financial changes is set to come into effect from July 1, 2025, impacting taxpayers, bank account holders, and credit card users across the country. These reforms include a mandatory Aadhaar linkage for new PAN cards, an extension of the ITR filing deadline, and revised bank charges by major financial institutions.

Aadhaar Verification Now Mandatory for PAN Applications

The Central Board of Direct Taxes (CBDT) has announced that from July 1, Aadhaar enrolment and authentication will be compulsory for all individuals applying for a new Permanent Account Number (PAN). Until now, a valid identity proof and birth certificate sufficed. The move is aimed at strengthening digital identity verification and improving tax compliance across the system.

Tax experts say this measure is expected to streamline the PAN issuance process and prevent duplication or misuse of PAN cards.

ITR Filing Deadline Pushed to September 15

In another significant development, the CBDT has extended the income tax return (ITR) filing deadline for Assessment Year 2025–26. Taxpayers now have until September 15 to file their returns, instead of the earlier deadline of July 31.

The decision provides an additional 46 days for salaried individuals and other assessees to complete the process. However, financial advisors recommend early filing to avoid system slowdowns or errors that typically occur closer to the deadline due to heavy portal traffic.

SBI Card to Discontinue Air Accident Insurance on Premium Cards

According to a report by moneycontrol.com, SBI Card has announced the discontinuation of its complimentary air accident insurance on select premium cards, effective July 15, 2025.

Under the revised policy:

1. The Rs 1 crore cover will no longer be available on SBI Card ELITE, Miles ELITE, and Miles PRIME cards.
2. The Rs 50 lakh insurance benefit will be withdrawn from SBI Card PRIME and PULSE.

Previously, these covers applied only when flight tickets were booked using the respective cards, and covered only the primary cardholder.

HDFC and ICICI to Revise Bank Charges

As per the report, leading private sector banks HDFC Bank and ICICI Bank are also slated to revise service charges on select transactions. While detailed circulars from the banks are awaited, the changes could impact credit card dues, ATM withdrawal limits, and certain fee-based services.

Customers are advised to review official notifications to avoid unexpected charges and to adjust their spending or repayment patterns accordingly.

Conclusion: Be Prepared for Financial Changes

With multiple financial reforms lined up this July, experts advise citizens to stay informed, verify their PAN-Aadhaar status, plan ITR submissions in advance, and review any credit card or banking service revisions that may impact them.