Income-Tax Department to coordinate with all banks and furnish details of individuals who exchange cash amount of Rs 2 lakh (R2 200,000) and above.

With the demonetisation of Rs 500 and Rs 1,000 currency notes, the government has directed the Income-Tax Department to coordinate with all banks and furnish details of individuals who exchange cash amount of Rs 2 lakh (R2 200,000) and above.

"A key reason for scrapping these two currency denominations is to curb the huge menace of fake currency, tackle black money and make India a cashless economy," said a senior I-T department official.

The object was also to make Indians tax complaint, which will eventually lead to higher revenues for government, he added.

The tax department has been asked to keep record of every individual along with his/her PAN card details and tally it with the tax filing.

Accordingly, the department will impose a penalty, which could be between 30 per cent and 120 per cent, depending on the source of income.

India has physical cash circulation of Rs 17 lakh crore, of which 88 per cent is Rs 500 and Rs 1,000 notes.

Official data suggest that 40 per cent of black money is generated in real estate, while stock market and bullion transactions are other big sources.

Estimated total value of gold in India at 25,000 tonnes is Rs 70 lakh crore.

India imports 750 to 1,000 tonnes of gold every year.

Among the key reasons that triggered the move was the moderate response to the Income Declaration Scheme which charged a one-time effective tax rate of 45 per cent on undisclosed income or property, giving a chance to domestic taxpayers to declare undisclosed income or assets by September 30.

The scheme offered immunity from prosecution under the Income Tax Act, Wealth Tax Act and Benami Transactions (Prohibition) Act.

According to estimates, the government collected only Rs 65,250 crore, resulting in tax revenue of Rs 30,000 crore, about 0.2 per cent of GDP.

The government has also tried to deal with the currency problem where 250 out of every 1 million notes are found fake, according to the data submitted by the Union home ministry to Parliament on May 3.

In 2015, investigative agencies and the Reserve Bank of India had recovered 632,000 fake currency notes with a value of Rs 30.43 crore.

In 2015, various intelligence agencies filed 788 cases of smuggling and circulation of fake currency notes, in which at least 816 people were accused.

It has been learnt that Delhi and Uttar Pradesh together accounted for over 43 per cent of fake currency recovered.

GOVERNMENT OF INDIA

MINISTRY OF FINANCE

DEPARTMENT OF EXPENDITURE

CENTRAL PENSION ACCOUNTING OFFICE

TRIKOOT-II, BHIKAJI CAMA PLACE.

NEW DELHI-110066

CPAO/lT&Tech/Simplification/2016-17/11.VOL-V/162

31.10.2016

Subject: Automatic Restoration of Commutation of pension and payment of Additional pension.

Attention is invited to this office 0M No. CPAO/Tech/Bank Performance/2015-16/45 dated 02.06.216 para No. (ii) & (iii) followed by minutes of the meeting with all Banks held on 22.08.2016 para Il (c) wherein all Banks were advised to restore the commuted portion of pension after 15 years from the date of payment of commutation and pay additional pension on attaining the age of 80 years both automatically. Now, all CPPCs are directed to submit the compliance report of the above instructions by 7th November. 2016 by e-mail, on e-mail id for onward transmission to DP&PW.

This issues with approval Of CC (p)

(Vijay Singh)

Sr.Accounting Officer(IT & Tech)

Lunch Hour Demonstration on 09.11.2016‐ regarding.

 The joint platform of the Coordinating Committee (C‐o‐C) of the Federations/Associations in the Department of Revenue met on 24th September, 2016 at Kolkata to discuss about pay anomalies of certain grades in the Department of Revenue with other Departments after implementation of the 7th CPC. The C‐o‐C of the Revenue Department decided to submit a memorandum to the Hon’ble Finance Minister highlighting the anomalies faced by the officers/officials of the Revenue Department. It was further decided in that meeting to tread the path of agitation to exert pressure on the Govt. of India for favourable consideration of the demands. The said agitational programmes include Lunch‐hour demonstration in front of all offices of Revenue Department on 9th November, 2016. The issues in the Charter of demands submitted by the C‐o‐C to the Finance Minster, Govt. of India relate to basic demands of the members of Associations/Federations of the Revenue Department.

   CHARTER OF DEMANDS 

  a) To ensure Minimum five up‐gradations to all officers in uniform Promotional Hierarchy across all departments/Ministries in Govt. of India. b) To settle the pay anomalies & cadre structure of Havilder & Head Havilder of CBEC with similar cadre of IB/CBI/Other Departments. Accordingly, Grade Pay of Havilder should be Rs.2400/‐ in place of Rs. 2000/‐. c) To Settle the pay anomalies of Inspector (GP of Rs. 4800/‐ instead of Rs.4600/‐) & Income Tax Officer/Superintendent (GP of Rs. 5400/‐ in PB3 instead of Rs. 4800/‐) of Revenue Department with the same Grades/Cadres of IB/CBI/Other Departments. d) To bring in an identical pay structure & promotional hierarchy of the administrative wing in CBDT & CBEC which should also be at par with Hqrs. Organization i.e. Central Secretariat Office as mentioned in 7th CPC recommendations. e) To maintain the pay parity between the Auditors/Accountants of the Audit & Accounts Department and the Tax Assistants in Revenue Department and UDCs of other Central Govt. Departments, which have all along been in the same pay structure. f) To finalize and/or modify the Recruitment Rules (including the ones, already notified viz., Executive Assistant& Tax Assistant under CBEC) after taking into account the suggestions/views of staff Federations/Associations, representing the Stakeholders, immediately. g) To Hold DPCs immediately to fill up all the vacant posts in various cadres. h) To fill up all the vacant posts in direct recruit quota by way of special recruitment drive. i) To restore the sanctioned strength of drivers prior to cadre restructuring and purchase of more Govt. Vehicles. Merger of the cadres with main stream cadres in the same Grade Pay after suitable relaxation may be an alternative option. j) Restoration and revision of Rummaging Allowance and Diet Allowance paid to Customs Superintendents and Inspectors (Preventive Officer) in CBEC.  

NO DPC FOR AC PROMOTIONS

The case in Chennai CAT adjourned to 1st December, 2016.

Two more OAs 310/01458/2016 & 310/01536/2016 by C.Bakthavatchalam, S. Rajgopalan & Ors have been filed to stop DPC, apart from OA 310/01237/2016 by P. Bharthan & 2 ors. 3 MAs filed for impleading (by Association/Federation) and vacation of stay.
All the above listed at S.No.2 in Court No.1 at Madras CAT on 7.11.16.

Case came up for hearing only to see a small-time lawyer appearing on behalf of the Govt and asking for adjournment. The judge granted hearing to 1st Dec even before the lawyer could have completed his submission. Association/Federation lawyer made a plea for impleading and judge said, 'file it we'll hear on 1st'.

Now wait till 1st Dec. Game on.

House rent allowance (HRA) in 7th cpc rates-Central Govt Employees

All central employees and pensioners  eagerly expected the 7th cpc report and its details.Because pay commission is the only opportunity for employees to get revised pay structure and allowances.

June 29th Cabinet Approves 7th cpc report

All medias highlighted some main points like minimum pay 18000,New pay matrix method,and House rent allowance decreased from 10%,20%,30% to 8%,16%,24% respectively.

Employees are not fully satisfied with that news.On July 25th revised pay rules 2016 published in the gazette notification.Employees were expected that they will get the new salary with allowances in coming months.But govt announced that employees will receive the only 7th cpc pay hike . Allowances will be paid as per 6th cpc rate because govt wants to examine allowances which 7th pay commission recommended.

Most of the employees are thinking that at the time itself federations might have been accepted  the recommendations and after that negotiate with govt authorities about minimum pay and allowances.

Employees already received salaries without 7th cpc allowances.So this situation brings more pressure to trade unions to reach a positive settlement.

If it  fails in this regard then decide to take a struggle path it might be a conversation among employees.

6 th cpc actual implement date is 1/1/2006.But recommendations come to effect on 1/9/2008.Central employees received arrears from 1/1/2006 without allowances including HRA.In the same manner, all allowances including HRA not been paid with 7th cpc revised pay.They received HRA and other allowances in 6th cpc rate which makes a heavy loss to central employees.They feel happy only if they are getting arrears with allowances and also govt will receive good responses from staff side.

The NC JCM also mentioned in a letter dated 12th October to Govt of India that all allowances to be paid from 1/1/2016.
Govt conduct meeting on 24th and 25 th October with NC/JCM to solve the issues of allowances and minimum pay.But It was assured by the Secretary(DoP&T) that, the issues raised by the Staff Side(JCM) would be taken up in the Allowance Committee meeting.

For example a govt servant basic as on 01/01/2016 is 50500.Below table shows the difference between 6th cpc HRA and 7th cpc HRA.

6th cpc HRA	7th cpc HRA 24%	Difference
5754	12120	6366

Due to heavy loss in HRA employees are thinking about the decision which makes the way to govt for reconsidering allowances. Almost 10 months crossed without new HRA. No one knows the exact date of getting new HRA and other allowances with salary.All federations and Associations have to put their maximum effort to receive arrears with all allowances.The huge money must take rest at employees hands only because it belongs to them.

Tribunals to get rid of corruption post-GST

By FC Corporate Bureau Nov 01 2016 , New Delhi

Tags: News

The Customs, Excise, Service Tax Appellate Tribunal (CESTAT) order has been made applicable with immediate effect

It seems a daunting task for tax authorities to clear all legacy cases before the launch of goods and services tax (GST) in the face of allegations of a nexus between lawyers and tribunal members. A top Delhi-based law firm, Lakshmikumaran and Sridharan, securing a favourable order from a tax tribunal after getting adverse order from the Supreme Court is a case in point.

It has now been learnt that that the Customs, Excise, Service Tax Appellate Tribunal (CESTAT) has directed the registrars of principal bench not to post any case represented by the law firm before a bench presided by a particular member.

“All deputy registrars/assistant registrars of principal bench and outlying benches of the tribunal are hereby directed that till further orders, no case/appeals represented by Lakshmikumaran and Sridharan law firm be posted before any bench presided by Hon’ble Archana Wadhwa, member (J),” the CESTAT said in its order on October 21.

The CESTAT order has been made applicable with immediate effect.

In the above case involving a private firm, the lawyer arguing for them is accused of suppressing the fact that the apex court had given its order in the case amounting to deceit and contempt of court.

The development is not in isolation. Recently, a renowned lawyer declared unaccounted money of over Rs 125 crore prompting the tax authorities to unravel a possible longer money trail.

Tax experts have said that the proposed tribunal under the GST regime would address the issue of unhealthy practices in tribunals, which is not a secret. This is also expected to reduce unsavoury means used in transfer and postings at the tribunal and break the cycle of corruption.

“It cannot be denied that those candidates who could manage to secure appointments through corrupt means, cannot keep the adjudicating atmosphere free from corrosion as they seek the return of expenditure incurred by them in finding their way into the tribunal. This forms a cycle of corruption and lowering of the judicial values. This cyclic process becomes unending because greed is never curtailed,” a Supreme Court-appointed law commission in its 162nd report on the working of tribunals, including CESTAT, had said.

As government gears up to implement the GST which promises to reduce litigation the central board of excise and customs (CBEC) has asked its field formations to clear the pending cases so that the new indirect tax reform could be started on a clean slate.

NPS COMMITTEE FOR STREAMLINING THE IMPLEMENTATION OF NEW PENSION SCHEME CONSTITUTED --- ORDER COPY SUPPLIED UNDER RTI REPLY TO SRI VAISAKH VASUDEVAN PALAKKAD (KERALA).