6 monetary modifications from April 1, 2025: From new revenue tax slabs to TDS and UPS modifications – here is what it’s best to know

As the brand new fiscal 12 months commences (April 1, 2025 – March 31, 2026), a number of important modifications in revenue tax, monetary frameworks and banking operations will influence residents, organisations and market contributors. The revisions embrace changes to revenue tax slabs beneath the brand new revenue tax regime, TDS limits, alongside new pension programmes and UPI cost laws.
Here’s a detailed overview of the important thing modifications taking impact from April 1, 2025, as listed by ET.

Newest Revenue Tax Slabs FY 2025-26

The graduation of the brand new monetary 12 months (April 1, 2025 – March 31, 2026) brings substantial revisions to the revenue tax slabs beneath the brand new revenue tax regime.
The revised new revenue tax regime introduces up to date revenue tax slabs for FY2025-26. Below the brand new construction, earnings exceeding Rs 24 lakh will appeal to the utmost tax price of 30% in FY2025-26.

TDS Changes
For normal residents (non-senior class), the federal government has raised the TDS threshold on curiosity earnings from Rs 40,000 to Rs 50,000, efficient April 1, 2025.
Additionally Learn | 11 Revenue Tax modifications from April 1, 2025: From new revenue tax slabs to zero revenue tax as much as Rs 12 lakh – high factors to know
The federal government has elevated the TDS threshold on curiosity revenue for senior residents from Rs 50,000 to Rs 1 lakh. This adjustment allows people to build up increased curiosity earnings with out fast tax deductions, significantly advantageous for these with modest curiosity revenue.
Unified Pension Scheme
The Unified Pension Scheme (UPS) was introduced in August 2024 to function a substitute for the NPS, which had beforehand changed the Previous Pension Scheme (OPS). As a result of persistent calls for from authorities workers for the reinstatement of OPS, the UPS emerged as a compromise answer.
The implementation of UPS commences from April 1, 2025. Below this scheme, workers with a minimal service tenure of 25 years are entitled to obtain a pension amounting to 50% of their common fundamental revenue calculated from their closing 12 months of service earlier than retirement.
Modifications in UPI guidelines
UPI purposes should now receive specific and clear consent from customers earlier than creating or altering numeric UPI IDs. Customers are mechanically opted out of this function and should actively select to take part. To forestall any misunderstanding, purposes are prohibited from in search of this authorisation throughout ongoing transactions.
Additionally Learn | Tips on how to calculate revenue tax with newest tax slabs: Have taxable revenue above Rs 12 lakh? Understand how will probably be taxed beneath new revenue tax regime
Curiosity Charges for Put up Workplace Schemes Stay Unchanged
The rates of interest for the Put up Workplace Small Financial savings Scheme will proceed unchanged for the April-June 2025 quarter. This determination impacts numerous schemes together with the Public Provident Fund (PPF) and Nationwide Financial savings Certificates (NSC). The unchanged charges provide continuity to buyers who rely on these devices for his or her long-term financial savings and retirement plans.
Mahila Samman Financial savings Certificates
The federal government’s small financial savings initiative, MSSC (Mahila Samman Financial savings Certificates), which was established to advertise ladies’s monetary empowerment and inclusion, ended on March 31, 2025. Potential buyers who haven’t opened accounts earlier than the required finish date won’t have the chance to take part on this programme.
For current account holders who invested previous to the deadline, the scheme will proceed to supply the promised rate of interest of seven.5% till their investments attain maturity.
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