One Rank One Pension Scheme for premature retirement [Rajya Sabha Q&A]
GOVERNMENT OF INDIA
MINISTRY OF DEFENCE
RAJYA SABHA
QUESTION NO 1285
ANSWERED ON 30.07.2018
Pension criterion for army Jawans
1285 Dr. Banda Prakash
Will the Minister of DEFENCE be pleased to state:-
(a) whether a new proposal has been mooted by the personnel section of the Army which requires jawans to put in more number of years into service and also a change in pension rules;
(b) whether One Rank One Pension (OROP) scheme led to a spike in the number of troops seeking premature retirement; and
(c) whether the minimum qualifying service for pension has been raised from fifteen years to twenty years of service?
ANSWER
MINISTER OF STATE IN THE MINISTRY OF DEFENCE
DR. SUBHASH BHAMRE
(a) No, Sir.
(b) As per Para 4 of Ministry of Defence order dated 07.11.2015 on One Rank One Pension (OROP), Armed Forces personnel who proceed on Pre Mature Retirement after issue of the order are not entitled to the benefits of OROP Scheme.
PCO Allowance to JE/SSE – Railway Board Clarification Order
GOVERNMENT OF INDIA
MINISTRY OF RAILWAYS
(RAILWAY BOARD)
RBE No. 107/2018
New Delhi, dated 30.07.2018.
No. E(P&A)I-2017/SP-1/WS-1
The General Managers and Principal Financial Advisers,
All Indian Railways & Production Units.
Sub: Clarification regarding grant of PCO Allowance to staff of Production Control Organization (JEs/SSEs.)
Ref. : Board’s letter No. E(P&A)I-2017/SP-1/WS-1 dated 30.08.2017.
*****
In context of Board’s letter cited above, references have been received in Board’s office from some of the Zonal Railways, seeking clarifications regarding entitlement of PCO Allowance of JEs/SSEs drawing pay in higher pay level (i.e. level 7, 8 and 9) under MACPS, rather than the pay level available for respective post. This issue has also been raised in PNM Forum by NFIR as item No. 12/2018.
2. The matter has been examined in Board’s office and it has been observed that MACPS provides for grant of Financial Upgradation to the employees on personal basis and the concerned employees continue to discharge the duties and responsibilities of the post held by them. In view of this, it is clarified that JEs /SSEs of Production Control Organisations though drawing pay in higher pay level under MACPS, are entitled for PCO Allowance at the rates prescribed for the respective post held by them with reference to their substantive basic pay drawn by the concerned JEs/SSEs in level 6 and level 7 respectively.
3. This issues with the concurrence of the Finance Directorate of the Ministry of Railways.
No. 08-05/2018-SR
Government of India
Ministry of Communications
Department of Posts
(SR Section)
Dak Bhawan, New Delhi – 110001
Dated: 27th July, 2018
To,
The General Secretaries of
All India Gramin Dak Sevaks Union.
All India Postal Employees Union – GDS.
National Union of Gramin Dak Sevaks.
Subject: Meeting to be held on 31.07.2018 under Chairmanship of Director General (Posts) at 11:00 A.M.
Sir,
I am directed to refer your joint letter No. GDS JCA/CHQ/6-1/2018 dated 12.07.2018 regarding implementation of major recommendations of the GDS Committee and modifications suggested by GDS Unions.
2. To discuss various issues related to Gramin Dak Sevaks mentioned in your letter dated 12.07.2018, it has been decided that a meeting will be held on 07.2018 at 11:00 A.M. under chairmanship of Director General (Posts) with General Secretaries of aforesaid Unions in G.P. Roy Committee Room, 2″ Floor, Dak Bhawan, New Delhi.
Revision of Kilometrage rates and other Allowances of Running Staff
No. IV/RSAC/Conf./Part IX
Dated: 19/07/2018
Shri Ashwani Lohani,
Chairman,
Railway Board,
New Delhi.
Dear Sir,
Sub: Revision of Kilometrage rates and other Allowances of Running Staff – Summary Record note of discussions held on 04th and 05th January 2018 and meeting held between the Board (MS, FC, DG/P) and Federations on 10th March, 2018.
Ref: (i) Railway Board’s file No. E (P&A) II/2013/Rs-14.
(ii) NFIR’s letter No. IV/RSAC/Conf./Part IX dated 12/01/2018 & 07/02/2018 to Secretary, Railway Board, copy endorsed to EDPC-I and ED (IR), Railway Board.
(iii) NFIR’s letter No. IV/RSAC/Conf./Part. IX dated 16/04/2018 addressed to CRB & copy enclosed to MS, FC, DG(P) etc.
During discussions on some important staff issues on 06th June, 2018 and thereafter, you have assured that the Railway Board would revise the kilometrage rates and other Allowances of Running Staff satisfactorily very soon, taking into account the NFIR’s proposal seeking revision at Rs. 648.
In this connection, I request you to kindly appreciate that the abnormal delay in obtaining the concurrence of Ministry of Finance for revision of kilometrage allowance rates has been causing disappointment among Running Staff. I further bring to your kind notice that while revision of various Allowances has already been granted from 1st July, 2017, this particular case of revision of kilometrage rates for Running Staff is continued to remain pending even after lapse of one year.
I therefore, request you to kindly intervene to see that concurrence of Ministry of Finance is obtained at the earliest for revising the kilometrage rates of Running Staff with retrospective effect. A line in reply is solicited.
Yours faithfully,
(Dr. M. Raghavaiah)
General Secretary
Online generation and recording of Annual Performance Assessment Report (APAR) on SPARROW (Smart Performance Appraisal Report Recording Online Window) for CSS & CSSS Group ‘A’ officers
IMMEDIATE
F.No.22/10/2018-CS-I (APAR)
Government of India
Ministry of Personnel. Public Grievances & Pensions
Department of Personnel & Training
CS — I (APAR)
2nd Floor, A Wing, Lok Nayak Bhawan,
Khan Market, New Delhi.
Dated : 30th July, 2018
OFFICE MEMORANDUM
Subject: Online generation and recording of Annual Performance Assessment Report (APAR) on SPARROW (Smart Performance Appraisal Report Recording Online Window) for CSS & CSSS Group ‘A’ officers —Instructions for submission of self appraisal APAR by the Officer to be Reported Upon (ORU) for the financial year 2017-18 – reg.
The undersigned is directed to refer to this Department’s O.M. of even number dated 24th July, 2018 vide which various timelines for submission of APAR for the financial year 2017-18, on SPARROW web portal in respect of CSS & CSSS Group ‘A’ officers has been extended.
2. The progress on generation of online APARs on SPARROW web portal and its movement to different levels reveals that a large number of Officers to be Reported Upon (ORU) have not submitted their self appraisal APAR to the concerned Reporting Officer even after extended timelines. It is reiterated that the last date (extended) for submission of self appraisal APAR by the ORU to Reporting Officer is 31st July, 2018. As the closing date is coming near. the ORUs are requested to submit their self appraisal APAR to Reporting Officer on SPARROW web portal by the last date positively.
3. All the Ministries/Departments are requested to send alert to the defaulting officers (ORUs). Such ORUs may be warned that if they fail to submit their APAR to their Reporting Officer by the extended timeline. their APAR may not be recorded by the Reporting/Reviewing Officers in terms of instructions of this Department. No assessment will be made by future DPCs, if ORU fails to submit his/her self appraisal APAR (for the financial year 2017-18) to his/her Reporting Officer on SPARROW portal by the extended timelines.
(Chandra Shekhar)
Under Secretary to the Govt. of India
Income Tax Section 192(2) – Salary From More Than One Employer
Section 192(2) deals with situations where an individual is working under more than one employer or has changed from one employer to another. It provides for deduction of tax at source by such employer (as the tax payer may choose) from the aggregate salary of the employee, who is or has been in receipt of salary from more than one employer. The employee is now required to furnish to the present/chosen employer details of the income under the head “Salaries” due or received from the former/other employer and also tax deducted at source therefrom, in writing and duly verified by him and by the former/other employer. The present/chosen employer will be required to deduct tax at source on the aggregate amount of salary (including salary received from the former or other employer).
Income Tax Section 80CCD – Deduction in respect of contribution to pension scheme of Central Government
Section 80CCD(1) allows an employee, being an individual employed by the Central Government on or after 01.01.2004 or being an individual employed by any other employer, or any other assessee being an individual, a deduction of an amount paid or deposited out of his income chargeable to tax under a pension scheme as notified vide Notification F. N. 5/7/2003- ECB&PR dated 22.12.2003 National Pension System – NPS or as may be notifed by the Central Government. However, the deduction shall not exceed an amount equal to 10% of his salary (includes Dearness Allowance but excludes all other allowance and perquisites).
As per section 80CCD(1B), an assessee referred to in 80CCD(1) shall be allowed an deduction in computation of his income, of the whole of the amount paid or deposited in the previous year in his account under the pension scheme notified or as may be notified by the Central Government, which shall not exceed Rs. 50,000. The deduction of Rs. 50,000 shall be allowed whether or not any deduction is allowed under sub-section(1). However, the same amount cannot be claimed both under sub-section (1) and sub-section (1B) of section 80CCD.
As per Section 80CCD(2), where any contribution in the said pension scheme is made by the Central Government or any other employer then the employee shall be allowed a deduction from his total income of the whole amount contributed by the Central Government or any other employer subject to limit of 10% of his salary of the previous year. If any amount is standing to the credit of the employee in the pension scheme referred above and deduction has been allowed as stated above, and the employee or his nominee receives this amount together with the amount accrued thereon, due to the reason of
(i) Closure or opting out of the pension scheme or
(ii) Pension received from the annuity plan purchased and taken on such closure or opting out
then the amount so received during the FYs shall be the income of the employee or his nominee for that Financial Year and accordingly will be charged to tax. Provided that the amount received by the nominee, on the death of the assessee, under the circumstances referred to in clause (i) above, shall not be deemed to be the income of the nominee.
Where any amount paid or deposited by the employee has been taken into account for the purposes of this section, a deduction with reference to such amount shall not be allowed under section 80C.
Further it has been specified that w.e.f 01.04.09 any amount received by the employee from the New Pension Scheme shall be deemed not to have been received in the previous year if such amount is used for purchasing an annuity plan in the same previous year. It is emphasized that as per the section 80CCE the aggregate amount of deduction under sections 80C, 80CCC and Section 80CCD(1) shall not exceed Rs.1,50,000/-.
The deduction allowed under section 80 CCD(1B) is an additional deduction in respect of any amount paid in the NPS upto Rs. 50,000/-. However, the contribution made by the Central Government or any other employer to a pension scheme u/s 80CCD(2) shall be excluded from the limit of Rs.1,50,000/- provided under this section.
Deduction U/S 16 – Act from the Income from Salaries
Entertainment Allowance [Section 16(ii)]:
A deduction is also allowed under section 16(ii) in respect of any allowance in the nature of an entertainment allowance specifically granted by an employer to the assessee, who is in receipt of a salary from the Government, a sum equal to one-fifth of his salary(exclusive of any allowance, benefit or other perquisite) or five thousand rupees whichever is less. No deduction on account of entertainment allowance is available to nongovernment
employees.
Tax on Employment [Section 16(iii)]:
The tax on employment (Professional Tax) within the meaning of article 276(2) of the Constitution of India, leviable by or under any law, shall also be allowed as a deduction in computing the income under the head “Salaries”. It may be clarified that “Standard Deduction” from gross salary income, which was being allowed up to financial year 2004-05 is not allowable from financial year 2005-06 onwards.
In the case of pensioners who receive their pension (not being family pension paid to a spouse) from a nationalized bank, the instructions contained in this circular shall apply in the same manner as they apply to salary-income. The deductions from the amount of pension under section 80C on account of contribution to Life Insurance, Provident Fund, NSC etc., if the pensioner furnishes the relevant details to the banks, may be allowed.
Necessary instructions in this regard were issued by the Reserve Bank of India to the State Bank of India and other nationalized Banks vide RBI’s Pension Circular(Central Series) No.7/C.D.R./1992 (Ref. CO: DGBA: GA (NBS) No.60/GA.64 (11CVL)-/92) dated the 27th April 1992, and, these instructions should be followed by all the branches of the Banks, which have been entrusted with the task of payment of pensions. Further all branches of the banks are bound u/s 203 to issue certificate of tax deducted in Form 16 to the pensioners also vide CBDT circular no. 761 dated 13.1.98.
Under section 192(2A) where the assessee, being a Government servant or an employee in a company, co-operative society, local authority, university, institution, association or body is entitled to the relief under Section 89(1) he may furnish to the person responsible for making the payment referred to in Para (3.1), such particulars in Form No. 10E duly verified by him, and thereupon the person responsible, as aforesaid, shall compute the relief on the basis of such particulars and take the same into account in making the deduction under Para(3.1) above.
Here “university” means a university established or incorporated by or under a Central, State or Provincial Act, and includes an institution declared under Section 3 of the University Grants Commission Act, 1956 to be a university for the purpose of that Act.
With effect from 1/04/2010 (AY 2010-11), no such relief shall be granted in respect of any amount received or receivable by an assessee on his voluntary retirement or termination of his service, in accordance with any scheme or schemes of voluntary retirement or in the case of a public sector company referred to in section 10(10C)(i) (read with Rule 2BA), a scheme of voluntary separation, if an exemption in respect of any amount received or receivable on such voluntary retirement or termination of his service or voluntary separation has been claimed by the assessee under section 10(10C) in respect of such, or any other, assessment year.
