New Delhi: Millions of Indians will find their way around increased rail fares, obligatory PAN-Aadhaar linkage, and new banking regulations as the government makes wholesale changes to pursue compliance and cope with increasing expenses, beginning July 1, 2025.
Travelling by Rail to be Expensive
The Railway Ministry will include mail and express train fare increases on July 1, 2025. The non-AC classes, which include sleeper and second seating, shall experience a 1 paisa per kilometre rise, whereas the AC classes only experience a 2 paisa per kilometre rise. The change provides a reprieve to short-distance and suburban commuters, but it excludes trips of up to 500 kilometres and monthly season tickets. Nevertheless, long-haul customers will suffer. For example, the price of an Indian sleeper-class ticket for a journey from Delhi to Patna will increase by 10 rupees, bringing the total cost to 520 rupees.
Tatkal reservation will also become tight. Tatkal places are open to those passengers who have an Aadhaar-connected IRCTC account, and OTP is compulsory after July 15, 2025. The move will help curb bulk bookings made by travel agents, so ordinary travellers will have a proper chance.
Now PAN-Aadhaar linking is compulsory
The Central Board of Direct Taxes (CBDT) informed that an Aadhaar card would be required to obtain a fresh PAN card, and the process will start on July 1, 2025. Existing PAN card users will risk having their PAN cards deactivated if they do not link them with Aadhaar by December 31, 2025, which could disrupt their financial transactions. The measure will focus on fake PAN cards and beef up virtual checks.
BBPS to be used for Credit Card Payments
On July 1, 2025, the third-party applications (PhonePe, BillDesk, and CRED) will have payments in credit card bills shifted to Bharat Bill Payment System (BBPS). As of now, there are eight banks on board to exchange BBPS’s credit cards, and this might narrow the possibilities for customers. It is probable that this new process will simplify and secure the way of living in terms of paying bills; however, certain people may feel impacted in a negative way.
Increasing Banking Charges India
The new ATM charges will be brought in at ICICI Bank starting July 1, 2025. There will be a 23 rupee cost of transacting in terms of financial needs and 8.5 rupee cost in terms of non-financial needs at non-ICICI ATMs. HDFC Bank will impose a 1 per cent surcharge on transactions for people who regularly use online transfers or online games (e.g., Paytm, Mobikwik), with a minimum limit of 10K.
Delhi to do away with Old Cars
To curb pollution, Delhi will prohibit the sale of fuel to both diesel and petrol vehicles that are more than 10 and 15 years old, respectively, beginning July 1, 2025. The Commission for Air Quality Management (CAQM) proposed this rule to enhance air quality and restrict the use of electric vehicles.
The GST Filing Becomes Tougher
GSTR-3B forms will be uneditable on the GST Network (GSTN) from July 2025. GSTR-1 and GSTR-1A tax data and other tax data will be auto-populated, thus decreasing entertainments but raising interference. Companies need to strike this right to be free of penalties, as the government insists on transparency.
Review on LPG Prices
On 1st July, 2025, oil marketing firms can alter the price of an LPG cylinder by making monthly rate amendments. Domestic prices of 14-kg cylinders have been steady at around the same level since August 2024, but 19-kg industrial cylinders had a price reduction of 25 in June. Any change will directly impact household budgets.