07/11/SH NEWS

Upgradation of Grade Pay of LDC/UDC: Date of next hearing is 01/04/2020.

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Friday, May 31, 2013

Government is considering the formation of seventh pay commission. this year?

No merger of D.A. but seventh pay commission likely this year
According to our sources in New Delhi, there is no chance of any merger of Dearness Allowance with basic pay as demanded by the associations. But the Government is considering the formation of seventh pay commission.
The seventh CPC is scheduled to be effective from 1.1.2016 and if it is formed this year, there will be ample time to finalize it’s recommendations. Moreover, if it is not effective from an earlier date, the Govt. will be free from any burden of paying arrears, which may adversely effect the fiscal situation.
Most significantly, in the eve of general election, the Govt. may spread a “feel good” situation among the employees without having to pay an extra penny from the exchequer. In the other hand merging D.A. with basic pay will lead to a considerable expense and as there is definite negative recommendation of sixth CPC in this respect, Govt. can easily deny this demand.
After formation of seventh CPC, if the ruling party fails to come back in the corridors of power, the entire liability will have to be borne by the new Govt. So, it’s a win win situation of the ruling party and most likely, it will be announced in the later half of the year.


HBA & INCOME TAX- The article published in Central government employees news is given below for the benefit of our viewers.
We are receiving many doubts from our viewers regarding Income Tax exemption on House building Advance (HBA) like  Under Which section the deduction for Interest component and Principle have been made?  What are the benefits announced in the budget regarding HBA ? .
on Feb 28, When Presenting the Union Budget in the Lok Sabha , the Finance Minister Shri P.Chidambaram proposed that a person taking a loan for his first home from a bank or a housing finance corporation upto Rs.25 lakh during the period 1.4.2013 to 31.3.2014 will be entitled to an additional deduction of interest of Rs.1 lakh.
The Finance Minister hoped that this will promote home-ownership and give a filip to a number of industries like steel, cement, brick, wood, glass etc besides jobs to thousands of construction workers.
This deduction will be over and above the deduction of Rs.1.50 lakh allowed for self-occupied properties under Section 24 of the Income Tax Act. If the limit is not exhausted, the balance may be claimed in AY 2015-16.
  The following article which   has been posted in Taxguru.com  given below will hep you clear your doubts on Income tax exemptions over HBA
1 . What are Income tax benefits of taking and repaying a housing loan under EMI Plan?
You will be eligible to claim both the interest and principal components of your repayment during the year.
  •  Interest can be claimed as a deductionunder Section 24. You can claim up to Rs. 150,000 or the actual interest repaid whichever is lower. (You can claim thisinterest only when you are inpossession of the house)
  •  Principal can be claimed up to the maximum of Rs. 100,000 under Section 80C. This is subject to the maximum level of Rs 100,000 across all 80C investments.
  •  You will need to show the statement provided by the lender showing the repayment for the year as well as the interest & principal components of the same.
2 If I buy a house jointly with my wife and take a joint home loan, Can we both claim income tax deduction?
Ans:-Yes, if your wife is working and has a separate source of income, both of you can claim separate deductions in your income tax returns.The repayment of principal amount of the loan can be claimed as a deduction under section 80C up to a maximum amount of Rs.1 lakh individually by each co-owner.
In cases where the house is owned by more than one person and is also self-occupied by each co-owner, each co-owner shall be entitled to the deduction individually on account of interest onborrowed money up to a maximum amount of Rs. 1.5 lakh. If the house is given on rent, there is no restriction on this amount. Both co-owners can claim deductions in the ratio of ownership.
3. My husband and I have jointly taken a home loan. He pays 75 percent of the EMI. What will be our individual tax benefits?
Ans: – As you have taken a joint home loan, both of you are eligible for tax exemption for your share of the EMI paid. For claiming income tax deduction, the EMI amount is divided into the principal and interest components. The repayment of the principal amount of loan is claimed as adeduction under section 80C of the Income Tax Act up to a maximum amount of Rs. 1lakh individually by each co-owner. The repayment of the interest portion of the EMI is also allowed as adeduction under section 24 of the Act, which is given under the head “income from house property”. In case you are living in the house for which home loan is taken, both of you shall be entitled todeduction in the ratio (3:1) on account of interest on borrowed money up to a maximum of Rs. 1.5 lakh individually. If the house is given on rent, there is no restriction on this amount and both co-owners can claim deduction in the ratio of ownership- 3:1 in your case.
 4. plan to buy a house by raising loans from friends and relatives. Will I be eligible for tax benefit from all sources?
Ans: – Interest payment to friends and relatives can be claimed u/s 24 but only against a certificate received from them. In the absence of the certificate, you would not be eligible for the deduction. The recipient of interest income who issues the certificate is liable to pay tax on the interest income that he receives. As far as the principal payments are concerned, they would not qualify for tax benefit as loans only from notified institutions and banks are eligible for such deductions.
 5. What are the tax benefits that I can avail of for repaying a home loan ?
You will be eligible to claim both the interest and principal components of your repayment during the year.
  •  Interest can be claimed as a deduction under Section 24. You can claim up to Rs. 150,000 or the actual interest repaid whichever is lower. (You can claim this interest only when you are inpossession of the house)
  •  Principal can be claimed up to the maximum of Rs. 100,000 under Section 80C. This is subject to the maximum level of Rs 100,000 across all 80C investments.
  • You will need to show the statement provided by the lender showing the repayment for the year as well as the interest & principal components of the same.
6 . Can I take advantage of tax benefits from a home loan as well as claim House Rent Allowance (HRA) ?
If you took a home loan and are still living in a rented place, you will be entitled to:
1. Tax benefit on principal repayment under Section 80C
2. Tax benefit on interest payment under Section 24
3. HRA benefit
Of course, you can claim tax benefits on the home loan only if your home is ready to live in during that financial year. Once the construction on your home is complete, the HRA benefit stops. If you took a home loan, got possession of the house, have rented it out and stay in a rented accommodation, you will be entitled to all the three benefits mentioned above. However, in this case, the rent you receive would be considered as your taxable income.
7. I have a home loan in which I am a co-applicant. However, the total EMI amount is paid by me. What is the total income tax exemption that I can avail of ?
Yes, you can claim income tax exemption if you are a co applicant in a housing loan as long as you are also the owner or co owner of the property in question. If you are only person repaying the loan, you can claim the entire tax benefit for yourself (provided you are an owner or co-owner). You should enter into a simple agreement with the other borrowers stating that you will be repaying the entire loan. If you are paying part of the EMI, you will get tax benefits in the proportion to your share in the loan.
8. I have two housing loans on two different properties. Can I get tax rebate under sec 80 C of both the loans?
Yes, you can get the 80C benefit on both loans. However, the total amount that you will be entitled to will be a total of Rs 100,000 across both the homes.
The interest paid on a home loan is not directly deductible from your salary income for either of your flat loans. Income from house property will be calculated for each flat you own. If either of theses calculations shows a loss, this loss can be set off against your income from other heads.
As for Section 24 deduction, on your self occupied house you can take advantage of interest payments up to Rs.1,50,000. For the other property, you can claim actual interest repaid, there is no limit for the same.
9.I live in Delhi in my own house. In 2007, I took a housing loan to fund the purchase of an under-construction flat in another city (Faridabad which comes under National Capital Region of Delhi but otherwise falls in Haryana). It is expected to be completed in FY13. I haven’t claimed any tax benefit so far. What happens to the loan instalments I have paid so far? Can they also be claimed for tax benefit?
According to the Income-tax Act, 1961, where the property has been acquired or constructed with borrowed capital, the interest payable on such capital for the period prior to the year in which the property has been acquired shall be allowed as deduction in five equal instalments beginning from the year in which the property is acquired. Thus, the interest included in the loan instalment paid by you during the construction period shall be eligible for deduction from the year in which the flat is acquired/construction is completed.
The principal amount of the loan repaid till date shall not be available as a deduction under section 80C till the time the construction of the flat gets completed. Once the flat is completed and thepossession is handed over to you, you will be eligible to claim deduction for interest paid on the loan under section 24(b) and principal amount of loan under section 80C. The total amount ofdeduction available under section 80C shall be limited to Rs. 1 lakh. Thus, as of now, you are not eligible for any tax benefit on such loan repayments.
source :Taxguru

Thursday, May 30, 2013



First Floor, North Avenue Post Office Building
New Delhi. 110 001
Website: www.confederationhq. Blogspot.com.
Dated: 30th May, 2013.

Dear Comrade,

A meeting of the representatives of Staff Side National Council with Secretary, Pension AR & PG on pensionary matters was held on 28.5.2013. Staff Side was represented by S/ Shri S.G. Mishra and Rakhal Das Gupta (AIRF), Guman Singh (NFIR) and K.K.N.kutty and S.K.Vyas (Confederation)

Old Items

The following issues have been discussed

1.      Ex-gratia Payment to SRPF / CPF beneficiaries who had voluntarily retired or medically invalidated. It has been decided to implement the Kerala High Court judgment in general and extend the benefit of exgratia payment to the meagre number of pre 1986 optees who retired voluntarily or on medical invalidation after rendering 20 years of service. The enabling orders are to be issued shortly.

2.      Raising quantum of ex-gratia to CPF retirees on lines of SRPF.

         In respect of SRPF retirees of the Railways, the rate of ex-gratia was raised from Rs. 600/- pm to Rs. 750/- pm to Rs. 3000pm with effect from 1.11.2006. The Govt. have now decided to revise the rate of exgratia in respect of CPF retirees at the above rates I. e. Rs. 750/- to Rs. 3000/- pm w.e.f. 1.11.2006.

3.      Issue of Revised PPOs in favour of Pre 2006 retirees and others.

         In the case Civilian departments about 4 lakhs of cases reported pending on 1.8.2012, now only 1.30 lakhs are pending and these would also be cleared by
 30.6.2013. In the case of Railways total pendency in August 2012 was 10.8 lakhs which has been brought down to 5.54 lakhs. Now when it has been decided that revised PPOs may be issued suo mottu by the Railway authorities, the entire pending is targeted to be cleared by 30th September 2013.In the case of Defence civilians, action is being taken to issue all pending PPOs by 30.9.2013.

4.      Fixation of revised pension by multiplying pre-revised 1/3rd pension (in  respect of PSU absorbees) by a factor of 2.26.In the case the speaking order issued by the Govt. on 26.11.2012 that no further increase in pension of absorbee pensioners would be allowed has been challenged in CAT Hyderabad and the Tribunal has passed orders on 24.4. 2013. This order is under examination.

5.      Commutation of Pension.
The Govt. have not agreed to reduce the period of 15 years to 11 years for restoration even in the cases where commutation has been paid at the rates prescribed in the New Table. The Govt. wanted that the matter may be raised before 7th pay commission.

6.      Family pension to divorced / widowed / unmarried daughters –nomination for life time arrears by the family pension in respect of his / her daughter. This has not been agreed to.

7.      Non payment of arrears of pension on account of Revision of pension w.e.f. 1.1.2006 in case of pensioner of Chandrapur. Now these arrears have been disbursed by all Banks.

New Items.

I. Equitable Gratuity  under Rule 50 of Pension Rules, 1972.

As recommended by IV CPC the following rates of Death Gratuity had been provided for:-

Sl. No.      Length of Service                                                    Rate of Death Gratuity
1.              Less than one year                                                 2 times emoluments
2.              One year or more but less  Then 5 years               6 times of emoluments

3.              5 Years or more but less than  20 years                12 times emoluments
4.              20 years or more                                                     half of emoluments for every  
                                                                                     completed six  monthly period
                                                                                     of    qualifying service subject  
                                                                                     to maximum  of 33 times of
Staff Side suggested the following amendment in Sl. No. 3 above which
may be split as under:-

a).     Five years or more                                                          12 times the emoluments
                                                                                      but less than 11 years.

b).     11 years or more but less than 20 years                         20 times of emoluments

        The Govt. has not agreed and have suggested that the matter may be raised before the next Pay Commission.

II.Extension of CS (MA) Rules, 1944 to Central Government Pensioners.

       The Health Ministry has agreed to extend CS (MA) Rules, 1944 to Pensioners. In many cases which had gone to Court, it has been ruled that pensioners are entitled to full reimbursement of medical expenses incurred by them as per CS (MA) Rules 1944 which are applicable in the case of serving employees. The Department of Expenditure has not agreed to implement the above decision. The pensioners have to wait till the Medical Insurance Scheme is introduced.

III. Grant of modified parity with reference to the Revised Pay Scale corresponding to pre revised Pay Scale of the post from which an employee had retired. The Govt. cited the decision of Supreme Court in K.S. Krishna Swamy VsUOI (C.A. no.3173-3174/2006 and 3188-3190/2006). According to this the benefit of up-gradation of post subsequent to their retirement would not be admissible to pre 1996 / pre 2006 retirees.

          The Staff Side pointed out that the result of this clarification is that a retiree is now being compared with the pay scale of an employee two stages lower and subordinate to the post from which an employee has retired. If V IV CPCs have consciously upgraded certain posts it is established that pay scales granted for these posts were in adequate and only therefore the up-gradation has been recommended by them. On what ground the benefit of up-gradation even in determining the modified parity be denied to them when it is established that they retired from a pay scale which were inadequate.

However Govt. did not agree to reconsider this matter.

The meeting ended with a vote of thanks.

            With greetings,
Yours fraternally,

Secretary General


Union government wants retirement age 62

The Union Government is seriously considering raising the retirement age to 62 for Central Government employees. Obviously, if the Congress announces this before the Lok Sabha polls, it could expect a sizeable vote share. North Block, which houses the Union Ministry of Finance would be more than happy to have 62 years as the retirement age because for next two years the pension funds can accumulate. 

The UPA2 also wants to put the next government in fiscal tight spot, or what is called the War Room effect of the AICC. 

Wednesday, May 29, 2013

Click here

Amendment to the Central Government Accounts (Receipts and Payments) Rules

Government of India
Ministry of Finance
Department of Expenditure
Controller General of Accounts
Lok Nayak Bhawan
Khan Market, New Delhi
Dated 23rd April, 2013
Subject: Amendment to the Central Government Accounts (Receipts and Payments) Rules, 1983

In exercise of the powers conferred by clause (i) of Article 283 of the Constitution, the President hereby makes the following amendment to the Central Government Account (Receipts and Payments) Rules, 1983:

Correction Slip No. 41

Rule 45 Period of validity of a cheque:
The following rule may be substituted for the existing rule:
"The Cheque shall be payable at any time within a period of three months from the date of issue; thus a cheque bearing the 20th January is payable any time upto the 19th April."

(Chandan Mishra Dwivedi)
Dy. Controller General of Accounts



ANSWERED ON 08.05.2013



Will the minister of Personal, Public Grievances and Pension be pleased to state:

(a)  Whether salary anomalies that have arisen on account of the sixth pay commission have not so far been resolved completely;
(b)  If so, the details thereof and the reasons thereafter; and
(c)  The steps taken by the Government in this regard?

Minister of State in the Ministry of Personal, Public Grievances and Pensions and Minister of State in the Prime Minister’s Office. (SHRI V. NARAYANASWAMY)

(a)              to (c): To resolve anomalies which may have arisen due to implementation of the recommendations of the 6th Central Pay Commission, orders were issued by the Government for setting up of Anomaly Committee(s) at National as well as Departmental level to look into the anomalies of common categories of employees and pay anomalies specific to the employees of a particular Ministry or Department.

A number of Items, relating to the common category of employees were discussed in the National Anomaly Committee which held five meeting. Pay anomalies and other demands relating to the Central Government employees and pensioners/family pensioners were discussed with the representatives of the Staff Side.  These have largely been resolved except a few issues where formulation of pay fixation by the Pay Commission was contested by the Staff Side; parity in Pension which is
Sub-judice, is yet to be resolved.

Pay anomalies specific to the employees of a particular Ministry or Department are being considered by the Departmental Anomaly Committees and no centralized information in this regard is maintained.


18,Institutional Shaheed Jeet Singh Marg

Dated: 15.05.2013

It Is hereby ordered that if a KVS employee wants to visit KVS(HQ), New Delhi in connection with transfer or any other service matters, he/she should have the permission of his/her controlling authority i.e. Dy. Commissioner, KVS, RO/Director ZIET/Princlpal, KV concerned alongwith his/her ID proof.

It has been noted recently that many KVS employees are bringing external influences for furtherance of their service matters especially transfers to their choice stations. All KVS employees are hereby advised to resist from bringing any external influence for furtherance of their service matters, as it constitutes violation of Conduct Rules. Erring officials will be dealt with sternly in future under relevant service rules. 

The requests received from the employee concerned for transfer/modification/cancellation of transfer etc or any other service matters will only be considered. Any request received from his/her family members or near relations/others will not be entertained/responded.

This issues with the approval of the competent authority KVS.


Source: www.kvsangathan.nic.in

Monday, May 27, 2013

Grant of Grade Pay of Rs. 4200/- to Stenographers Grade ‘D’ of CSSS - Dopt Orders

Government of India
Ministry of Personnel, Public Grievances and Pension
Department of Personnel and Training

3rd Floor, Lok Nayak Bhawan, Khan Market,
New Delhi date 27th May, 2013

Subject:- Grant of Grade Pay of Rs. 4200/- to Stenographers Grade ‘D’ of CSSS - Issuance of ‘Zone of Consideration’ for placement of eligible Stenographers Grade ‘D’ in Non Functional Selection Grade (NFSG) —regarding.
The undersigned is directed to refer to this Department’s O.M. of even number dated 22nd September, 2011 by which a Zone of Consideration for placement of eligible 98 Steno Grade ‘D’ in Non Functional Selection Grade (NFSG) was issued in the grade pay of Rs.4200/- in Pay Band-2 in CSSS Cadre.
2. Based on the Common Seniority List of Stenographers Grade ‘D’, a List containing names of Stenographers Grade ‘D' who are eligible to be considered for grant of NFSG is annexed to this O.M. Stenographers Grade ‘D’ from S.No. 1 to 19 of Annexure to this O.M. who had already completed the approved service of 5 years as on 1st July, 2012 are eligible to be considered for grant of NFSG w.e.f. 1st July, 2012 and Stenographers Grade ‘D’ from S.No. 20 to S.No. 89 of Annexure to this O.M. who will be completing the 5 years of approved service on 1st July, 2013 are eligible to be considered for grant of NFSG w.e.f. 1st July, 2013, subject to suitability.
3. Accordingly, the Cadre Units of CSSS are requested to place the eligible Stenographers Grade ‘D’ as given in Annexure to this O.M. in the NFSG after following the procedure as prescribed in O.M. No. 20/49/2009-CS-II(B) dated 22nd June, 2011 and also furnish the details of Stenographers Grade ‘D’, if any, whose name is not in the list attached but eligible to be considered for grant of NFSG. A copy of the order granting NFSG to eligible Stenographers Grade ‘D’ may please be furnished to this Department for the purpose of record.
4. Cadre Units should send a report to CS-II Division, detailing the officers who have been granted NFSG, by 15th July, 2013.
(K.Suresh Kumar)
Under Secretary to the Govt. of India

Saturday, May 25, 2013

KYC documents required for entry & exit of National Pension System


May 22, 2013
        All POP’s, Aggreators, CRA,
        Central and State Governments,

Dear Sir Madam,

Sub:    1. KYC documents required for entry & exit of National Pension System –
            2.  Making PAN Card a Mandatory requirement for opening and operation of Tier II

            Pursuant to PFRDA’s earlier circular no PFRDA/2013/1/PDEX/25 dated 11.01.2013 with respect to revised list of Know Your Customer (KYC) documents required for both entry and exit under National Pension System, it has been decided to include below mentioned documents in addition to the acceptable KYC documentation, on the basis of feedback received from various entities registered under NPS:
Identification Proof
Identity card issued by Central/State government and its Departments, Statuary/Regulatory Authorities, Public Sector Undertakings, Scheduled Commercial Banks, Public Financial Institutions, Colleges affiliated to Universities and Professional Bodies such as ICAI, ICWAI, lCSl, Bar Council etc.
Address Proof
The identity card/document with address, issued by any of the following: Central / State Government and its Departments, Statuary/Regulatory Authorities, Public Sector Undertakings, Schedules Commercial Banks, Public Financial Institution for their employees.

2.      It has also been decided to make submission of PAN Card a mandatory requirement for opening and operation of a Tier II account for all sectors under NPS with immediate effect to ensure compliance with AML/CFT guidelines.

          In pursuance of this, all existing Tier II accounts under NPS need to be made PAN compliant. The subscribers would be given a time period of 3 months from the date of issuance of this circular, after which the operation of such account would be suspended till the requirement is complied with.

         This is for the information of all concerned. The circular has also been placed on    PFRDA website athttp://www.pfrda.org.in and CRA website at http://www.npscra.nsdl.co.in.

Yours faithfully,
Venkateswarlu Peri
General Manager