Bhool Nahi Jana Re !

Dr. Virendra Tatake 

    Last month of this year has started and everyone is looking forward to say Goodbye to the year 2021 and to welcome to the New Year. However, in the midst of this turmoil , it should not be forgotten that there are some important responsibilities on the economic front and some important changes that will be taking place . This should not be overlooked as it will affect your financial planning. Some of the important points are as follows.

➤  Income tax return

The last date for filing income tax returns for the financial year 2020-21 is 31st December, 2021. This date is important for taxpayers who have not yet filed their returns for this financial year. Taxpayers need to know exactly what kind of return they need to file and what kind of documents are required for it. Any ignorance on this front shout be avoided .

➤ Term Insurance

Term insurance is considered to be the easiest and cheapest way to get insurance. This type of insurance premium is relatively low. It is suggested that every person needs to have such insurance cover. However, experts predict that the term insurance premium will increase in the near future. In the wake of the Corona, insurance companies are likely to take this step because of the growing risk to public health and the resulting higher medical costs. There fore, those who want to take term insurance should take steps in this regard without wasting any time. Don't forget to cover yourself and your family with such term insurance.

➤ Silver Exchange Traded Fund.

Silver has always been an attraction for ordinary investors. The Silver Exchange Traded Fund (ETF) will be launched this month to invest in this commodity . The option to invest in gold through Gold ETFs is already available to investors. Now there is another option for investors in the form of Silver ETF. Investors will be able to take advantage of the fluctuations in the price of silver from day trading and long-term investing. SEBI has issued guidelines in this regard regarding the operating expenses of these funds, their functioning and security of investments of common investors.

➤ Transparency of mutual funds.

There are two welcome changes this month for investors in mutual funds. The first change will be in Debt funds. From this month, it will be mandatory for the fund managers of such debt funds to inform the investors about the maximum risk they can take while investing in the fund. Investors will get this information through Potential Risk Class Matrix (PRCM) system. This change will allow investors to anticipate the potential future risk of the fund they are investing in. From now onwards , when investing in such a fund, investors should not forget to know about it.

Another change in this context is that employees employed in a mutual fund company will not be able to benefit themselves from stock market investments by using any sensitive information about the company. The regulations announced by SEBI in that regard will come into force this month.

In a nutshell, it is important to keep in mind that the important things in your financial planning should not be overlooked in a busy environment.

(The author is associated
with Indira Global Business School, Pune)

Blog by: 

Dr. Virendra Tatake

Director 

Indira Global Business School, Pune

Mail ID- director@indiragbs.edu.in.