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As we are entering into a new financial year, there are some major
changes in the Indian economy that would be effective from April 1,
2017.
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Here's a glimpse into major changes taking place on April 1, 2017 in the Indian economy:
One page tax-return form
- The income tax department has made it easier for tax payers to file
their annual returns by introducing a simple one page income tax return
form.
Rate cut on small savings schemes by government
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The government has cut interest rates on small savings schemes like
Public Provident Fund (PPF) and Kisan Vikas Patra for the first quarter
of April to June 2017 fiscal year. This is the first time that the
interest rate of PPF has gone below 8%. A fall in interest rate of PPF
by 0.1% is not a huge cut in the current falling interest rate scenario.
Good news for travellers; Airfares slip
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The government announced 45 new airports and more than 70 regional
routes under the Ude Desh ka Aam Nagarik (UDAN) scheme. The scheme caps
ticket fares at Rs 2500 for one-hour flights. The five domestic
airlines, namely Alliance Air, SpiceJet, Air Deccan, Air Odisha and
TruJet got licenses from the Civil Aviation Ministry to fly on these
routes.
BS-IV
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The Bharat Stage IV emission standards would come into effect from
April 1, 2017. The earlier BS-III vehicles would be banned for sale from
April 1. The automobile companies tried to dispose their BS-III
vehicles' stock by offering huge discounts ranging from Rs 5,000 to Rs
20,000 for various types of vehicles in the last two days.
Mega merger in banking sector
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The merger of State Bank of Travancore, State Bank of Bikaner and
Jaipur, State Bank of Mysore, State Bank of Patiala and State Bank of
Hyderabad into the State Bank of India (SBI) would come into effect from
April 1, 2017. This will make SBI the largest lender in the country.
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