Expected DA Calculation will play vital role in determining Fitment Factor of 7th CPC

Expected DA Calculation will play vital role in determining Fitment Factor of 7th CPC

At the end of the Sixth CPC Regime all the Central Government servants are at the verge of receiving their last installment of Dearness Allowance in Sixth Pay Commission. Almost the DA from January 2016 will be finalized after the release of AICPIN for the month of December 2015. The eleven months AICPIN Points released from January 2015 to November 2015 by Labour Bureau suggests that there is a possibility to get 6 to 7 percent hike in DA from January 2016. But the AICPIN for the Month of December will determine the exact rate of hike in Dearness Allowance from Jan 2016.

The rate of DA, as expected by 7th Pay commission, if arrived at 125 % with 6% hike there will be no change in Fitment factor. Because the Fitment Factor 2.57 is arrived by adding the 125% DA, at the rate anticipated on 1.1.2016. If AICPIN for December 2015 necessitates changing the expected DA from 125% to the level of 126 % with hike of 7%, then there will be certainly an impact in the Fitment Factor of 7th CPC. In that case, there will be change in decimals of fitment factor

So, Expected DA from January 2016 will play vital role in determining Fitment Factor if it increases from expected level of 125% to 126%.

What will be the fitment factor if DA reaches at 126% from January 2016.

When it was anticipated that the DA will be 125 % from January 2016, The 7th Pay Commission stated in the Report that

“This fitment factor of 2.57 is being proposed to be applied uniformly for all employees. It includes a factor of 2.25 on account of DA neutralization, assuming that the rate of Dearness Allowance would be 125 percent at the time of implementation of the new pay. Accordingly, the actual raise/fitment being recommended is 14.29 percent”

If 126% of DA has to be taken into account for arriving Fitment factor with the recommended 14.29 % increase..

The Revised Fitment Factor will be as follows

The fitment factor after DA neutralization = 2.26

Increase of 14.29% over 2.26 = 0.32

Total (2.26+0.32) = 2.58

So the fitment factor for arriving revised pay will be 2.58 as in case of the DA reaches 126% from January 2016

Let us wait for the release of AICPIN for the Month of December 2016..

Source : http://govtstaffnews.in/

Implementation of digital signed pension revision authorities in all banks

Implementation of digital signed pension revision authorities in all banks

GOVERNMENT OF INDIA

MINISTRY OF FINANCE

DEPARTMENT OF EXPENDITURE

CENTRAL PENSION ACCOUNTING OFFICE

TRIKOOT-II, BHIKAJI CAMA PLACE,

NEW DELHI-110066

PHONES : 26174596, 26174456, 26174438

CPAO/Tech/e-PPO/2015-16/719

Dated 11/01/2016

Office Memorandum

Subject: Implementation of digital signed pension revision authorities in all banks.

After the implementation of paperless movement of digitally signed e-Revision authorities with four banks i.e. SBI, Chandani Chowk, Punjab National Bank, Bank of Baroda and Canara Bank, paper authorities for these four banks have been dispensed with. In the meeting held with eight major banks on 05.11.2015, it was decided to roll out e-revision authorities for all remaining banks w.e.f. 01.01.2016 alongwith parallel run of physical authorities for one month.

In this context all remaining banks were earlier already advised to complete their preparatory work and other formalities by the end of July, 2015 vide this office OM No.CPAO/Tech/e-PP0/2015-16/440-511 dated 03.07.2015. It is expected that all the banks are ready to accept the digitally signed e-authorities received from CPAO.

In respect of the 14 CPPCs of SBI pilot run has been over and physical movement of papers have been stopped w.e.f. 01.01.2016.

For remaining 25 banks the trial run will be effective from 01.02.2016 to 15.02.2016. during this period physical authorities will also be sent to the CPPCs parallel with electronically authorities. With effect from 16.02.2016 sending of physical authorities to CPPCs to remaining banks will also be stopped.

All Heads of Government Account Departments and CPPCs of the all the authorised banks are requested to ensure the implementation of e-Revision authorities as per schedule indicated above. All the Heads of CPPCs are requested to alert their Technical teams for making necessary provisions in their software, if not already done.

sd/-

(Vijay Singh)

Sr. Accounts Officer (IT & Tech)

Authority: http://cpao.nic.in/

Issue of IT Refunds of Smaller Amounts

Issue of IT Refunds of Smaller Amounts

In an initiative to reduce taxpayer grievances and enhance the taxpayer satisfaction, the Central Board of Direct Taxes had issued instructions to Central Processing Center (CPC), Bengaluru and the field officers in December, 2015 to issue refunds of amounts less than Rs.50,000/- expeditiously.

As a result of the special drive to issue smaller refunds, 18,28,627 refunds below Rs.50,000/- involving a sum of Rs.1,793 crore have been issued between 1st December, 2015 and 10th January, 2016. These refunds relate to Assessment years 2013-14 to 2015-16.

In order to further expedite the process of issue of small refunds, CBDT has also directed CPC-Bengaluru and the field units that refunds up to Rs.5,000/-, and refunds in cases where outstanding arrears are up to Rs.5,000/- may be issued without any adjustment of outstanding arrears. Office Memorandum F. No. 312/109/2015-OT dated 14th January 2016, conveying these directions of CBDT is available on the website of the Department.

www.incometaxindia.gov.in.