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Mangaluru, Apr 7: A price storm is brewing in Mangaluru’s hotel and restaurant industry. Faced with skyrocketing raw material costs and mounting overheads, hoteliers are preparing to hike food prices by up to 10% within a month — a move that could hit the pockets of thousands of diners across Dakshina Kannada.

From milk and oil to LPG and staples like rice and toor dal, prices have surged, pushing both vegetarian and non-vegetarian establishments to the brink. Over 65% of hotels operate in rented spaces, and labour shortages are adding fuel to the fire.

Swarna Sunder of Dinki Dine says running a hotel without burdening customers is becoming near-impossible. “Costs are rising daily. We’re trying to strike a balance, but a hike is inevitable,” he said, calling Mangaluru a highly price-sensitive market.

Industry leaders, including the Dakshina Kannada Hotel Owners Association, are expected to meet soon to formalize the revision.

Meanwhile, hoteliers blame "unhealthy competition" for further disrupting the sector. “Some serve unlimited fish meals under ₹60 — it’s unsustainable and unfair,” said a hotelier, adding that such practices are forcing smaller eateries to shut shop.

Chandrahas Shetty, president of the district association, confirmed that rising input costs have left them with little choice but to revise menus.

As the new financial year begins, several significant financial and tax-related changes take effect from April 1, 2025. Many of these updates were announced by Finance Minister Nirmala Sitharaman in the Union Budget 2025 and have now been officially approved as part of the Finance Bill 2025.

Some of the key changes include income tax exemption on annual earnings up to Rs 12 lakh, deactivation of UPI for long-unused mobile numbers, and suspension of dividend payouts for individuals who haven’t linked their PAN with Aadhaar. Below is a comprehensive look at all the important updates.

1. Income Tax Exemption & New Tax Slabs
Under the revamped tax regime:
✅ Individuals earning up to Rs 12 lakh per year will be completely exempt from income tax.
✅ For salaried employees, a standard deduction of Rs 75,000 raises the effective tax-free limit to Rs 12.75 lakh.
✅ To claim a rebate of up to Rs 60,000, taxpayers must file their returns on time.
✅ The new tax structure applies to income earned between April 1, 2025 – March 31, 2026, and will be reflected in ITR filings for FY 2025-26 (AY 2026-27).

2. Major Changes in TDS & TCS Rules
To provide tax relief and streamline transactions, several TDS (Tax Deducted at Source) and TCS (Tax Collected at Source) amendments have been introduced:
🔹 TDS on bank interest for senior citizens has doubled from Rs 50,000 to Rs 1 lakh.
🔹 TDS on dividend income has increased to Rs 10,000.
🔹 TCS on overseas remittances under the Liberalised Remittance Scheme (LRS) has been raised from Rs 7 lakh to Rs 10 lakh.

3. UPI Deactivation for Inactive Mobile Numbers
The National Payments Corporation of India (NPCI) will start unlinking UPI IDs associated with inactive mobile numbers. If your number has been inactive for a long period:
🔸 Your bank may remove it from their records.
🔸 You could face disruptions in Google Pay, PhonePe, or any UPI-based transactions.
🔸 This change enhances security by preventing unauthorized access to old UPI-linked accounts.

4. New GST Rules
Several Goods and Services Tax (GST) updates take effect:
🔹 Multi-factor authentication (MFA) is now mandatory for logging into the GST portal, improving online security.
🔹 E-way bills can only be generated for documents issued within the last 180 days, ensuring better compliance.
🔹 Hotel room tariffs above Rs 7,500 per day are now classified as "Specified Premises," attracting an 18% GST on restaurant services.

5. Toll Tax Hike Across National Highways
From April 1, 2025, toll charges across various highways will increase:
🚗 Delhi-Meerut Expressway, NH-9: Toll for cars will rise by Rs 5 to Rs 170.
🚛 Trucks and buses will now pay Rs 580 on major highways.
🚗 Delhi-Jaipur Highway: The Kherki Daula toll plaza will maintain current rates for cars, but the monthly pass for larger vehicles will rise by Rs 20 to Rs 950.

6. End of Equalisation Levy on Digital Transactions
The Finance Act 2025 removes the Equalisation Levy, which previously imposed a 2% tax on e-commerce and 6% on online advertisements. This change aims to:
✅ Reduce tax burden on digital service providers.
✅ Attract foreign investments in India’s digital economy.

7. Positive Pay System for Cheque Payments
To prevent bank fraud, the Positive Pay System requires account holders to:
✅ Electronically submit cheque details for payments above Rs 50,000.
✅ Ensure the details match before the cheque is processed.

8. KYC Mandatory for Mutual Fund & Demat Accounts
🔹 KYC (Know Your Customer) verification is now compulsory for mutual fund and demat accounts.
🔹 Nominee details will also undergo re-verification to enhance security.

9. Major Credit Card Perk Reductions
Credit card users will see major perk reductions, particularly with SBI, IDFC First, and Axis Bank:
❌ SBI Cards will remove complimentary insurance coverage for accidents (Rs 50 lakh for air, Rs 10 lakh for rail).
❌ Reward points on SBI Cards will be slashed from 15% to just 5%.
❌ IDFC First Club Vistara cardholders will lose milestone benefits and Club Vistara Silver membership perks.
❌ Axis Bank is discontinuing Maharaja Club tier memberships and premium vouchers.

10. Minimum Balance Rules for Bank Accounts
📌 Major banks like SBI, PNB, and Canara Bank have updated their minimum balance requirements based on account location:
🏙 Urban branches will require higher minimum balances.
🏡 Rural and semi-urban accounts may have lower minimum balance thresholds.
🚨 Failing to maintain the required balance will result in penalty charges, varying by bank.

11. Unified Pension Scheme (UPS) for Government Employees
The Unified Pension Scheme (UPS), introduced in August 2024, takes effect:
✅ Central government employees under NPS can opt for UPS.
✅ Those with at least 25 years of service will receive 50% of their average basic salary as a monthly pension.

Final Thoughts

These changes, introduced as part of the Union Budget 2025, mark a significant shift in India's tax, banking, and digital transaction landscape. With higher tax exemptions, updated TDS & TCS rules, stricter banking security, and GST amendments, the new financial year aims to simplify compliance while improving financial security and economic efficiency.

Stay informed and ensure all necessary updates to your financial accounts to avoid disruptions.

Bengaluru, Apr 11: In a significant development, the Karnataka Cabinet on Friday formally accepted the controversial Socio-Economic and Educational Survey, popularly known as the caste census, nearly a decade after it was conducted. The report will be taken up for detailed discussion in a special Cabinet meeting on April 17.

The survey was originally carried out in 2015 by the Karnataka State Commission for Backward Classes under the chairmanship of H. Kantharaj, and finalised in February 2024 by his successor, K. Jayaprakash Hegde. The long-awaited report—comprising 50 volumes of detailed caste- and community-related data—was placed before the Cabinet in a sealed cover, which was opened during Friday’s meeting.

Backward Classes Welfare Minister Shivaraj Tangadagi, while briefing the media, said the report would now be distributed to all Cabinet ministers so they could examine its findings ahead of the April 17 meeting. Though the government did not disclose the contents of the report, it sought to validate the survey’s legitimacy by presenting statistical data.

“As per the 2011 Census, Karnataka’s population was 6.11 crore. By 2015, when the survey was conducted, it had grown to an estimated 6.35 crore. The survey covered 5.98 crore people—a coverage of 94.17 percent,” Tangadagi said.
He added that only 37 lakh people, or 5.83 percent, were left out of the enumeration process.

Highlighting the scale of the operation, the minister said 1.6 lakh government officials participated in the survey. An expert committee was constituted, which developed 54 criteria to guide the data collection. The state government also engaged Bharat Electronics Limited (BEL) to manage the survey data under a ₹43 crore agreement, with the total expenditure reaching ₹165 crore.

Law and Parliamentary Affairs Minister H. K. Patil announced that a special Cabinet session will be held on April 17 to deliberate on the report's contents. When asked about concerns over the completeness of the data, Patil responded, “Even in the national Census, some people are left out. A 94 percent coverage is a very significant achievement.”

The caste census remains a politically sensitive issue in Karnataka. Dominant communities such as the Lingayats and Vokkaligas have questioned the methodology of the 2015 survey, alleging undercounting. In contrast, Other Backward Classes (OBCs) and SC/ST groups have welcomed the report, arguing that it sheds light on social realities long ignored.

The Congress party had pledged to act on the caste census in its manifestos for the 2023 Karnataka Assembly elections and the 2024 Lok Sabha polls. National party leader Rahul Gandhi has also been advocating for a nationwide caste census.

The Cabinet’s acceptance of the report comes just days after Chief Minister Siddaramaiah’s meeting with Rahul Gandhi in New Delhi, and the Congress Working Committee’s session in Ahmedabad.

Six Ministers Skip Cabinet Meeting

At least six ministers were notably absent from Friday’s Cabinet meeting. These included:

    S. S. Mallikarjun and Laxmi Hebbalkar (both Lingayats)

    M. C. Sudhakar and K. Venkatesh (both Vokkaligas)

    R. B. Timmapur (SC)

    Madhu Bangarappa (Idiga community)

However, Minister Patil clarified that despite their absence, all ministers have endorsed the Cabinet’s collective decision, regardless of caste or community affiliations.