As 2025 comes to a close, taxpayers and financial account holders need to wrap up several crucial tasks before the December 31st deadline. Missing these deadlines can lead to penalties, interest, or service disruptions. Here are the 5 key tasks you must complete:
1. Link Aadhaar with PAN
The Aadhaar-PAN linking is mandatory for all taxpayers. Failing to link your PAN with Aadhaar may result in your PAN becoming inoperative, which can cause problems in filing taxes, opening bank accounts, or financial transactions.
· Check your PAN status on the Income Tax e-filing portal and link it if not done.
2. File Income Tax Returns (ITR)
Ensure that any pending Income Tax Returns for FY 2024-25 are filed before december 31, 2025. Delayed filing may attract penalty charges, interest on taxes due, and legal notices.
3. Update KYC in Banks and Financial Accounts
Many banks and financial institutions require updated KYC (Know Your Customer) details. Ensure that your:
· Aadhaar, PAN, and contact details are current
· bank accounts, mutual funds, and investment accounts comply with KYC requirements
4. Submit Tax-Saving Investment Proofs
If you’re claiming deductions under Section 80C, 80D, or other tax-saving schemes, submit proofs to your employer or financial institutions before year-end to maximize your tax benefits.
5. review and Renew Financial Policies
Check your insurance policies, fixed deposits, and subscriptions that may expire or require renewal before december 31. Missing these deadlines could result in lapsed coverage or missed benefits.
Why Acting Now is Crucial
Failing to complete these tasks on time may lead to:
· Financial penalties or interest charges
· Complications in banking or investments
· Loss of tax benefits
Final Tip
Make a checklist and complete these tasks immediately. A quick review now will save you from last-minute stress and unnecessary losses, ensuring a smooth transition into the new year.
Disclaimer:
The views and opinions expressed in this article are those of the author and do not necessarily reflect the official policy or position of any agency, organization, employer, or company. All information provided is for general informational purposes only. While every effort has been made to ensure accuracy, we make no representations or warranties of any kind, express or implied, about the completeness, reliability, or suitability of the information contained herein. Readers are advised to verify facts and seek professional advice where necessary. Any reliance placed on such information is strictly at the reader’s own risk.
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