Here are India’s statutory updates for 2025.
Effective February 2025
India Extends PIO to OCI Card Conversion Deadline
The Indian government has extended the deadline for Person of Indian Origin (PIO) cardholders to convert their PIO cards to Overseas Citizen of India (OCI) cards until 31 December 2025.
Key Details:
- PIO Cards Still Valid: PIO cards can still be used for travel when presented with a valid foreign passport.
- OCI Transition Recommended: The Indian government advises PIO holders to switch to OCI cards under the Ministry of Home Affairs guidelines.
- Potential Travel Risks: The International Civil Aviation Organization (ICAO) may invalidate handwritten PIO cards, meaning travelers may need a visa to enter India.
PIO cardholders should complete their OCI conversion as soon as possible to avoid travel disruptions.
Source: Fragomen
India Budget 2025 Economic Measures
India’s Budget 2025 introduces measures aimed at addressing economic slowdown and promoting growth:
- Increased Public Infrastructure Investment: Substantial budget allocation for roads, railways, and urban development to stimulate job creation and economic activity.
- MSME Support Schemes: Enhanced credit access and subsidies for Micro, Small, and Medium Enterprises (MSMEs) to support their growth and recovery.
- Focus on Green Energy: Incentives and funding for renewable energy projects to strengthen India’s energy transition and sustainability goals.
- Tax Reforms: Simplified compliance and reduced corporate tax rates for select sectors to encourage investment.
Source: Economic Times
Effective January 2025
India GST Compliance Changes for 2025
India will implement significant updates to GST compliance from 2025:
- Mandatory Multi-Factor Authentication (MFA): All taxpayers, regardless of turnover, must use MFA for GST logins to enhance security.
- Streamlined E-Invoicing: E-invoicing requirements will apply to businesses with turnover exceeding ₹5 crore, reducing the previous threshold of ₹10 crore.
- Updated Input Tax Credit (ITC) Rules: ITC claims will now require mandatory validation of vendor compliance with GST filings.
Source: India Briefing
