Vehicle Insurance Premiums To Banking Services: Here’s What’s Going To Be Costlier From June 1

As we enter the month of June, a few services are going to get costlier. This will happen at a time when inflation has risen dramatically due to a rise in input costs. The coronavirus pandemic and the geopolitical situation have only exacerbated the situation. How will these changes affect us? If you own a vehicle or are planning to buy a new one, then the insurance premium is set to rise from June 1. Besides, a few banks have announced changes in some categories of services.

Here’s a list of those changes and how they will impact:

Insurance Premiums

Last week, the Ministry of Road Transport and Highways (MoRTH) announced it has increased the third-party motor insurance premium for various categories of vehicles. It said the new rates will come into effect from June 1.

New TDS Rule From July 1 To Affect Doctors, Social Media Influencers: All You Need To Know

From July 1, Tax Deducted at Source (TDS) on benefits received from business for sales promotion will be applicable to social media influencers and doctors. The Central Board of Direct Taxes (CBDT) has released guidelines on the applicability of the new provision.

Read here for new debit card rules from July 1, 2022.

The Union Budget had brought in the provision of TDS on such income to check tax revenue leakage by inserting a new section, 194R, in the Income Tax Act, 1961.

It requires TDS at 10 per cent for any person providing benefit exceeding ₹ 20,000 in a year to a resident.

What comes under benefits and perquisite?

Kamlesh C Varshney, Joint Secretary in the Finance Ministry, had explained the benefits, which he said include free medicine samples received by doctors, foreign flight tickets or free Indian premier League (IPL) tickets in the course of business and more.

Mr Varshney emphasised that these should be disclosed while filing the income tax return, adding that it shouldn’t be avoided based on the fact these items are not being sold.