Feb 2017 AICPIN at 274 will make DA from July 2017 to stick on 2% Hike

Date : 1.4.2017

Feb 2017 AICPIN at 274 will make DA from July 2017 to stick on 2% Hike.

The Labour Bureau has Released AICPIN for the Month of Febraury 2017. According to its release, The All-India CPI-IW for February remained stationary at 274. We have already posted an article titled Expect same hike in Expected DA from July 2017.

Amidst our focus shifted to expected DA from July 2017, the News of Central Govt approval for 2% DA hike is not received with much enthusiasm by CG Staffs.

As the Central Government staff are not satisfied with this hike for various reasons, the DA from July 2017 will be expected much higher than this.

As per the Central Federation opined, the method of DA Calculation to be reviewed as it is some extent not co related with the Consumer Price Index properly. The percentage of DA hike approved so far has somehow in line with this view point of Federations.

Now It is expected that Dearness Allowance from July 2017 will be from 2% to 3%, as the AICPIN Index is in down trend from August 2016. The AICPIN for July 2016 was 280. After that the CPI numbers are decreasing every month. In fact, the 280 is first and last Highest CPI Point in the last 7 Months AICPIN Index from July 2016. So Expecting higher DA hike for July 2017 may however lead to wrong prediction.

The 12 Months AICPIN required to calculate the DA from July 2017 are July 2016 to June 2017. In the last 7th Months from July 2016,  AICPIN has started from 280 and now stands at 274.

If the CPI number increases 1 point consistently for the remaining five months, again the DA hike will be 2% from July 2017. If the increase is two points in every month from February 2017 to June 2017, then the Expected DA from July 2017 may increase from 4% to 7% with 3% DA Hike.

Now the  AICPIN for the Month of February 2017 also endorses that Article on Dearness Allowance expected from July 2017. If the CPI Numbers for Industrial Workers  remain stationary at 274 for the remaining 4 months, the DA hike from July has fair chances to stick on with 2% hike. So the Total DA will be 6% from 1.7.2017 with 2% hike.

New ITR forms notified. Aadhaar mandatory

Date : 1.4.2017

New ITR forms notified , Aadhaar mandatory

The income-tax department has notified a simplified one-page tax-return form aimed at making it easier for taxpayers to file their annual returns.

At the same time, the new form also requires taxpayers to make additional disclosures—including mandatory linking of tax returns with an individual’s Aadhaar number—which will help curb tax evasion.

Not only will this make it easier for 50% of the country’s 40 million taxpayers and encourage more people to file their tax returns, the new disclosures will also encourage better compliance.

A press release issued by the tax department says individuals earning up to Rs50 lakh and possessing one house will need to file only a single-page tax return form called ITR-1 (Sahaj) for financial year 2016-17.

However, the department has mandated that the taxpayer will have to disclose any cash deposit above Rs2 lakh made during 9 November and 30 December as it moves to track instances where high-value cash deposits post-demonetization do not match with the income profile of the taxpayer.

Further, in line with the changes proposed to the income-tax Act, providing the Aadhaar number or the Aadhaar enrolment number in the income-tax return form has been made mandatory.

The tax department has also rationalised various columns relating to tax computation and deductions for easy compliance.

“This will reduce the compliance burden to a significant extent on the individual taxpayer. This initiative will benefit more than two crore taxpayers who will be eligible to file their return of income in this simplified form,” said the income-tax department in a statement.

However, taxpayers who have more than one house will have to file a much more detailed ITR-2.

The number of income-tax return forms has also been reduced from the existing nine to seven. Further, only those individuals above the age of 80 years or whose income does not exceed Rs5 lakh and have not claimed any refund of income tax will be able to file paper returns.

Earlier, taxpayers filing ITR-1 and ITR-2 could file paper returns and claim a refund.

Also, the tax department has now made it mandatory to report exempted long-term capital gains in the tax return form; dividend income also has to be disclosed.

News Nation.

Payment Banks : Lok Sabha Question & Answer

Date : 1.4.2017

Payment Banks : Lok Sabha Question & Answer.

MACP Upgradation in ASP Cadre : AP Circle Office Order

Date : 1.4.2017

MACP Upgradation in ASP Cadre : AP Circle Office Order

SB Order 02/2017 : Revision of Interest rates for Small Svaings Schemes - Department of Posts.

Date : 1.4.2017

SB Order 02/2017 : Revision of Interest rates for Small Svaings Schemes - Department of Posts.

Fixation of pay in case of employees who seek transfer to a lower post under FR 15 (a) - clarification regarding : DOPT Order.

Date : 1.4.2017

Fixation of pay in case of employees who seek transfer to a lower post under FR 15 (a) - clarification regarding : DOPT Order.

Seventh CPC Lok Sabha Question & Answer

Date : 31.3.2017

Seventh CPC Lok Sabha Q & A : whether there is no clarity on the parameters which would form the basis of monitoring the performance of an employee and if so, the details thereon?

Implementation of 7th CPC Recommendation – Fixation of pay on promotion/upgradation after 01.01.2016

Date : 31.3.2017

Implementation of 7th CPC Recommendation – Fixation of pay on promotion/upgradation after 01.01.2016

Brief of the meeting held with the Cabinet Secretary on 28.03.2017

Date : 31.3.2017

Brief of the meeting held with the Cabinet Secretary on 28.03.2017 : NCJCM

No.NC/JCM/2017 Dated: March 30, 2017
All Constituents of the
NC/JCM(Staff Side)
Dear Comrades!
Sub: Brief of the meeting held with the Cabinet Secretary

I met the Cabinet Secretary on 28th March, 2017 and shown anguish about the inordinate delay in resolution of long pending demands of the Central Government Employees, and subsequently handed him over a letter on the subject matter on the next day.

The Cabinet Secretary given us assurance that, he is already pursuing these issues, and though there had been some delay in finalization of the allowances, report of the Committee on Pension has already been submitted to the Cabinet, NPS Committee is already on its job and we would try to resolve the pending issues within a short period.

He also expressed his apprehension that, MCD elections may result in some delay, but at the same time, he assured that, as soon as he gets report of the Committee on Allowances, that will immediately be forwarded to the Cabinet, and after approval of the Cabinet, if need be, we would take necessary permission from the Election Commission.

This is for your information.

Re-Employment of Ex-Servicemen

Date : 31.3.2017

Re-Employment of Ex-Servicemen

Press Information Bureau
Government Of India
Ministry Of Defence

Dated: 31-03-2017

Re-Employment of Ex-Servicemen

As per Department of Personnel & Training’s OM No. 36034/27/84-Estt(SCT), dated 2.5.1985, on an Ex-servicemen joining the Government job on civil side after availing of the benefits given to him as an Ex-servicemen for his re-employment, his Ex-servicemen status for the purpose of re-employment in Government would cease. As per DOP&T OM No. 36034/6/90-Estt(SCT), dated 10.10.1994, an ex-servicemen already secured regular employment under the Central Government in a civil post would be permitted the benefits of age relaxation as admissible for ex-servicemen for securing another appointment in any higher post or service under the Central Government. However, such candidates will not be eligible for benefits of reservation, if any, for ex-servicemen in Central Government jobs.

As per DOP&T’s OM No. 36034/1/2014-Estt(Res), dated 14.8.2014 if an ex-serviceman applies for various vacancies before joining any civil employment, he / she can avail of the benefit of reservation as ex-servicemen for any subsequent employment. However, to avail of this benefit, an ex-serviceman as soon as he / she joins any civil employment, should give self-declaration / undertaking to the concerned employer about the date-wise details of application for various vacancies for which he / she had applied for before joining the initial civil employment. This benefit would be available only in respect of vacancies which are filled on direct recruitment and wherever reservation is applicable to the ex-servicemen.

In addition to above, a proposal has been referred to DOP&T to the effect that an Ex-servicemen be allowed the benefit of reservation for second time and even thereafter in subsequent recruitments for civil employment, if the vacancies, which are to be filled on the basis of direct recruitment and where reservation is applicable to Ex-servicemen, has not been filled up with by those Ex-servicemen, who are getting / claiming benefit of reservation for the first time.

The details of reservation available to Ex-servicemen is as under:

(I) In Central Government Ministries / Departments:

(i) 10% Direct recruitment posts upto the level of Assistant Commandant in Central Para Military Forces.
(ii) 10% Direct recruitment posts in Group ‘C’.
(iii) 20% Direct recruitment posts in Group ‘D’.

(II) In Central Public Sector Enterprise:

(i) 14.5% in Group ‘C’ Posts.
(ii) 24.5% in Group ‘D’ Posts.

(III) Nationalised Bank:

(i) 14.5% in Group ‘C’ Posts.
(ii) 24.5% in Group ‘D’ Posts.

This information was given by Minister of State for Defence Dr. Subhash Bhamre in a written reply to Shri PC Mohan in Lok Sabha today.

Source: PIB

7th Pay Commission – Arisen of Anomalies, Govt’s reply in Parliament

Date : 31.3.2017

7th Pay Commission – Arisen of Anomalies, Govt’s reply in Parliament

GOVERNMENT OF INDIA
MINISTRY OF FINANCE
DEPARTMENT OF REVENUE

RAJYA SABHA

STARRED QUESTION No. 2986

TO BE ANSWERED ON TUESDAY, THE 28th MARCH, 2017

CHAITRA 7, 1939 (SAKA)

ALLOWANCE OF GOVERNMENT EMPLOYEES

2986. SHRI A. VIJAYAKUMAR

SHRI RAM KUMAR KASHYAP:

Will the Minister of Finance be pleased to state:

(a) Whether Government has formed a Committee for taking decision about the allowances to the Central Government employees and removal of anomalies in their pay scales announced by the Seventh Pay Commission;

(b) if so, whether the Committee has submitted its report;

(c) if so, the main features thereof and if not, the reasons for delay in submission of report;

and

(d) the time by which recommendations of Seventh Pay Commission regarding the allowances are proposed to be implemented?

ANSWER : 

MINISTER OF STATE IN THE MINISTRY OF FINANCE

(SHRI SANTOSH KUMAR GANGWAR)

(a) to (d): The Committee on allowances has been constituted vide order dated 22.07.2016 to examine and make recommendations as to whether any changes in the recommendations of the 7th CPC relating to allowances are warranted and if so, in what form. A separate anomaly committee at National Level has also been set up, vide O.M. dated 09.09.2016, to settle the anomalies arising out of the implementation of the 7th CPC recommendations.

The National Anomaly Committee has made recommendations on the calculation methodology of the Disability Pension for Defence forces personnel. The Committee on allowances has received a large number of demands on allowances and even now receiving such demands. All the demands have been diligently examined. The Committee has already held 13 meeting so far and interacted with the representatives of Central Nodal Ministries, National Council (Staff Side), Joint Consultative Machinery (JCM) and officers and representatives of employee associations of Ministry of Health and Family Welfare, Home Affairs, Railways, Defence and Department of Posts. The Committee is now in the process of finalizing its Report. Decisions on implementing the Report will be taken after the Report is submitted by the Committee.

Source:- Rajya Sabha

Revision of Interest ratesfor Small Savings Schemes : Deposits including PPF lowered by 0.1 percent from tomorrow

Date : 31.3.2017

Revision of Interest ratesfor Small Savings Schemes : Deposits including PPF lowered by 0.1 percent from tomorrow 

Review of' Transfer Policy' circulated by Directorate vide letter No.141/2013- SPB - II dated 31.1.2014 - invitation of suggestions /comments.

Date : 31.3.2017

Review of' Transfer Policy' circulated by Directorate vide letter No.141/2013- SPB - II dated 31.1.2014 - invitation of suggestions /comments.

Directorate has called the opinions on transfer & placement Committee.

A copy of the Directorate letter is posted below.

Please submitt your suggestions / comments immediately.

NOMINATION OF THE MEMBERS OF THE STAFF SIDE OF THE NATIONAL COUNCIL (JCM)

Date : 31.3.2017

NOMINATION OF THE MEMBERS OF THE STAFF SIDE OF THE NATIONAL COUNCIL (JCM).

Congratulations to Sri.D.Kishan Rao G/S NAPE Group 'C'.

National Association of Postal Employees Group 'C' conveys hearty Congratulations to Miss Lavanya

Date : 31.3.2017

Our Postal staff Selvi. Lavanya, Tiruchengodu HO, TN Circle had won Silver medal in 100 metres Hurdles in All India Civil services meet held at Jawahar Lal Nehru stadium, New Delhi today 30/03/2017.

 Selvi. Lavanya, Postal Assistant (SBCO), Tiruchengodu HO,  TN Circle had won Silver medal in 100 metres Hurdles in All India Civil services meet held at Jawahar Lal Nehru stadium, New Delhi today 30/03/2017.

National Association of Postal Employees Group 'C' conveys  hearty Congratulations to Miss Lavanya, the young and dynamic athlete for the glorious victories in future also.

Date : 31.3.2017

7th Pay Commission – Report on allowances after comments from Ministries and departments

The Lavasa Committee was constituted in June last year after the government implemented the recommendation of the 7th Pay Commission.

A high-level committee headed by Finance Secretary Ashok Lavasa will finalise its report on payment of allowances to 47 lakh government employees after receiving comments from ministries on treatment of over a dozen such benefits. The panel, which was asked to examine the 7th Pay Commission recommendation for abolition of 53 allowances out of a total of 196 and subsuming another 36 into larger existing ones, at its meeting today sought comments from the ministries of defence, railways and posts on treatment of 14 allowances

A high-level committee headed by Finance Secretary Ashok Lavasa will finalise its report on payment of allowances to 47 lakh government employees after receiving comments from ministries on treatment of over a dozen such benefits. The panel, which was asked to examine the 7th Pay Commission recommendation for abolition of 53 allowances out of a total of 196 and subsuming another 36 into larger existing ones, at its meeting today sought comments from the ministries of defence, railways and posts on treatment of 14 allowances.

Sources said these 14 allowances had not been factored in previously and the concerned ministries have been asked to give their views on what is to be done with them. The panel will finalise its report after it gets the comments, they said, adding one more meeting of the committee is likely for doing so. The government is keen to give out the revised allowances from the fiscal year beginning April 1 but will take a call on payment of arrears in case the rollout is delayed, they said.

The Lavasa Committee was constituted in June last year after the government implemented the recommendation of the 7th Pay Commission. The Pay Commission had recommended abolition of or subsuming of allowances like acting, assisting cashier, cycle, condiment, flying squad, haircutting, rajbhasha, rajdhani, robe, shoe, shorthand, soap, spectacle, uniform, vigilance and washing.

Out of a total of 196 allowances, it had recommended abolition of 53 and subsuming of another 36 into larger existing ones. Sources said the committee in its next meeting will also finalise its views on pay commission recommendation of reducing the house rent allowance (HRA) to 24 per cent of basic pay as against the 30 per cent of basic pay employees were drawing under the Sixth Pay Commission.

Source;- Indian Express

Date : 30.3.2017

Validity of Self Attested affidavits

The second Administrative Reforms Commission in its 4th Report titled ‘Ethics in Governance’ and 12th Report titled ‘Citizen Centric Governance’ had stressed on the need for simplification of Government procedures.  As a part of simplification, the State Government of Punjab in the year 2009-10 decided to do away with the practice of submitting of affidavits and also allowing of self-attestation of copies of certificates for small level Government jobs.  However, this decision did not have any bearing on the requirement of submission of affidavits in the Courts as per the law. This initiative of State Government of Punjab had won the Prime Minister’s Civil Services Award.  As the part of replication of the aforesaid initiative, the Department of Administrative Reforms & Public Grievances has been requesting on a regular basis the Central Ministries/ Departments and the State/UT Governments to adopt the similar procedure. This is a continuous process. 

This was stated by the Minister of State in the Ministry of Personnel, Public Grievances and Pensions and Minister of State in the Prime Minister’s Office Dr. Jitendra Singh in a written reply to a question by Shri Mahesh Poddar in the Rajya Sabha today.

PIB.

Revised allowances for Central Government Employees likely to be announced after April 12

Date : 30.3.2017

Revised allowances for Central Government Employees likely to be announced after April 12.

Revised allowances including House Rent Allowance will likely be announced for the Central Government staff after the ongoing Budget session of Parliament is over on April 12.

Grant of Dearness Allowance to Central Government employees - Revised Rates effective from 01.01.2017 : Finanance Ministry Order

Date : 30.3.2017

Grant of Dearness Allowance to Central Government employees - Revised Rates effective from 01.01.2017 : Finanance Ministry Order

 

TAX EXEMPTION TO NATIONAL PENSION SYSTEM

Date : 30.3.2017

TAX EXEMPTION TO NATIONAL PENSION SYSTEM

GOVERNMENT OF INDIA

MINISTRY OF FINANCE

DEPARTMENT OF REVENUE

RAJYA SABHA

STARRED QUESTION No. *285

TO BE ANSWERED ON TUESDAY, THE 28th MARCH, 2017

7,CHAITRA, 1939 (SAKA)

TAX EXEMPTION TO NATIONAL PENSION SYSTEM

*285. SHRI N. GOKULAKRISHNAN:

Will the Minister of FINANCE be pleased to state:

(a) whether it is a fact that the maturity amount of the National Pension System has no tax benefits like Public Provident Fund (PPF) and Employees’ Provident Fund (EPF);

(b) if so, the details thereof;

(c) whether Government has received any representation requesting to provide tax exemption to NPS at par with PPF and EPF; and

(d) if so, the stand of Government in this regard?

ANSWER

THE MINISTER OF FINANCE

(SHRI ARUN JAITLEY)

(a)to (d):- A Statement is laid on the Table of the House.

Statement referred to in reply to parts (a) to (d) of Rajya Sabha Starred Question No.*285 for 28th March, 2017 by Shri N. Gokulakrishnan, MP reg. Tax Exemption to National Pension System.

(a)&(b) Prior to Finance Act, 2016, National Pension System (NPS) referred to in section 80CCD was Exempt, Exempt and Tax (EET) i.e., the monthly/periodic contributions during the pension accumulation phase were allowed as deduction from income for tax purposes; the returns generated on these contributions during the accumulation phase were also exempt from tax; however, the terminal benefits on exit or superannuation, in the form of lump sum withdrawals, were taxable in the hands of the individual subscriber or his nominee in the year of receipt of such amounts unlike PPF and EPF which have been enjoying EEE regime i.e. Exempt, Exempt, Exempt.

Vide Finance Act, 2016, section 10 of the Income-tax Act was amended to provide that any payment from National Pension System Trust to an employee on account of closure or his opting out of the NPS shall be exempt from tax, to the extent it does not exceed forty percent of the total amount payable to him at the time of closure or his opting out of the scheme. Further, Section 80CCD was also amended by Finance Act, 2016 to provide that the whole amount received by the nominee of NPS subscriber on his death shall be exempt from tax.

Further, vide Finance Bill,2017 as passed by the Lok Sabha on 22.03.2017, it has been proposed to exempt partial withdrawals by employees from their NPS accounts in accordance with the guidelines prescribed under Pension Fund Regulatory and Development Authority Act,2013.

Furthermore, it has also been proposed in the Bill to amend section 80CCD of the I.T.Act,1961 so as to increase the upper limit of deduction for contribution into NPS from ten per cent of gross total income to twenty per cent in case of individual other than employee.

(c) &(d) Yes, Madam, the Government has received such representations in the past and the stand of Government was reflected in the amendments made in Income-tax Act vide Finance Act,2016 and Finance Bill 2017 as discussed above.

Postings / transfers in the cadre of PS Group 'B' in Kurnool Region

Date : 30.3.2017

Postings / transfers in the cadre of PS Group 'B' in Kurnool Region.

Transfers / postings in the Senior Administrative Grade (SAG )of Indian Postal Srvice Group 'A'.

Date : 30.3.2017

Transfers / postings in the Senior Administrative Grade (SAG )of Indian Postal Srvice Group 'A'.

Date : 30.3.2017

Aadhaar should not be undermined by critics: Ashok Lavasa

Finance Secretary Ashok Lavasa

Amid mounting criticism by Opposition and civil society on the government’s efforts to make Aadhaar mandatory for a number of schemes, including to pay income taxes, Finance Secretary Ashok Lavasa defended the move and said the government’s initiatives should not be undermined. Speaking at an industry body event on Wednesday, Lavasa said for many years Indians applauded developed economies which had common unique identification for their citizens.

“I think this platform of Aadhaar which has been created should not be undermined. It is very important. Linked to this is the whole gamut of public expenditure which is a matter of concern not only for those who want more efficiency in public spending but also all of us who are concerned with transparency and removal of corruption,” Lavasa said. “It (Aadhaar) is revolutionary in the sense and what it has done is something which has not been done anywhere in the world. You have 105 crore (1.05 billion) people who have a unique identity.” 

Apart from central government schemes such as the rural employment scheme, employee pension benefit, food security act, livelihood missions, schemes for expecting mothers, small businesses, crop insurance policies, anganwadi schemes and various other programmes with or without direct benefit transfers, the Narendra Modi government has also passed rules or amended existing acts to make Aadhaar mandatory to pay taxes and to link with all mobile numbers. This even as the Supreme Court has stated that Aadhaar is not compulsory to avail benefits under central government schemes. 

The criticism has increased after Finance Minister Arun Jaitley tried to bring in additional amendments in the Finance Bill to make mandatory the linking of Aadhaar with PAN cards. Not only Opposition MPs like Derek O’Brien of the Trinamool Congress and Tathagata Satpathy of the Biju Janata Dal, but even Rajeev Chandrashekar, affiliated to the ruling party, raised concerns on privacy issues related to unique identification database.

Lavasa also said the direct benefits transfer (DBT) in various social sector schemes have resulted in savings to the tune of Rs 34,000 crore for the Centre. “There have been some palpable achievements in some of the schemes where DBT has been implemented. There is an assessment that in all these schemes, the quantum of savings would be about Rs 34,000 crore. So far, DBT has been implemented in 78 schemes and there are many more in which it has to be implemented,” he said.

Stating that use of technology has made the system more transparent, he said Aadhaar seeding has brought about efficiency and inter-linking of beneficiaries has enabled weeding out bogus and un-deserving people.

“About 1.73 lakh (173,000) public distribution scheme shops have point of sale machines and all these are Aadhaar-enabled. The fertiliser depots are in the process of installing PoS machines. The subsidy in fertiliser has remained where it was in previous years, but the subsidy in kerosene has come down tremendously, the finance secretary stated as an example.

Lavasa also reiterated India’s gross domestic product growth for 2016-17 was expected to be around seven per cent and could be higher than 7.5 per cent for 2017-18. Speaking on the increasing trend among western leaders stressing on protectionism, Lavasa said at a time when people were talking about building walls, literally and figuratively, and when global trade was expected to reduce as a share of global growth, Indian industry should focus on deepening and strengthening the local economy. “It is important for industry to look into the Indian market in a bigger way, how to strengthen the rural economy,” he said.

Business Standard.