Amendments in the income-tax act proposed to notify a new scheme for assessment in electronic mode

Press Information Bureau
Government of India
Ministry of Finance

01-February-2018 13:20 IST

Amendments in the income-tax act proposed to notify a new scheme for assessment in electronic mode.

E-assessment to be rolled-out across the country to transform age-old assessment procedure

In the General Budget 2018-19 presented in Parliament today, the Union Minister for Finance and Corporate Affairs, Shri Arun Jaitley proposed to amend the Income-tax Act to notify a new scheme for assessment. Shri Jaitley said the assessment will be done in electronic mode which will almost eliminate person to person contact leading to greater efficiency and transparency. The Finance Minister added that the e-assessment system was introduced in 2016 on a pilot basis. In 2017, it was extended to 102 cities with the objective of reducing the interface between the department and the taxpayers. "With the experience gained so far, we are now ready to roll out the E-assessment across the country, which will transform the age-old assessment procedure of the income tax department and the manner in which they interact with taxpayers and other stakeholders" Shri Jaitley said.

HIGHLIGHTS OF BUDGET 2018-2019

HIGHLIGHTS OF BUDGET 2018-2019

PRESS INFORMATION BUREAU
GOVERNMENT OF INDIA

HIGHLIGHTS OF BUDGET 2018-19

New Delhi, 01th February, 2018

• Finance Minister Shri Arun Jaitley presents general Budget 2018-19 in Parliament.
• Budget guided by mission to strengthen agriculture, rural development, health, education, employment, MSME and infrastructure sectors
• Government says, a series of structural reforms will propel India among the fastest
  growing economies of the world. Country firmly on course to achieve over 8 % growth as manufacturing, services and exports back on good growth path.
• MSP for all unannounced kharif crops will be one and half times of their production cost
  like majority of rabi crops: Institutional Farm Credit raised to 11 lakh crore in 2018-19 from 8.5 lakh crore in 2014-15.
• 22,000 rural haats to be developed and upgraded into Gramin Agricultural Markets to protect the interests of 86% small and marginal farmers.
• "Operation Greens" launched to address price fluctuations in potato, tomato and onion for benefit of farmers and consumers.
• Two New Funds of Rs10,000 crore announced for Fisheries and Animal Husbandary
  sectors; Re-structured National Bamboo Mission gets Rs.1290 crore.
• Loans to Women Self Help Groups will increase to Rs.75,000 crore in 2019 from 42,500 crore last year.
• Higher targets for Ujjwala, Saubhagya and Swachh Mission to cater to lower and middle class in providing free LPG connections, electricity and toilets.
• Outlay on health, education and social protection will be 1.38 lakh crore. Tribal students to get Ekalavya Residential School in each tribal block by 2022. Welfare fund for SCs gets a boost.
• World‟s largest Health Protection Scheme covering over 10 crore poor and vulnerable families launched with a family limit upto 5 lakh rupees for secondary and tertiary treatment.
• Fiscal Deficit pegged at 3.5 %, projected at 3.3 % for 2018-19.. Rs. 5.97 lakh crore allocation for infrastructure
  
  
  
  
  
  
  
• Ten prominent sites to be developed as Iconic tourist destinations
• NITI Aayog to initiate a national programme on Artificial Intelligence(AI)
• Centres of excellence to be set up on robotics, AI, Internet of things etc
• Disinvestment crossed target of Rs 72,500 crore to reach Rs 1,00,000 crore.
• Comprehensive Gold Policy on the anvil to develop yellow metal as an asset class
• 100 percent deduction proposed to companies registered as Farmer Producer Companies
  with an annual turnover upto Rs. 100 crore on profit derived from such activities, for five years from 2018-19.
• Deduction of 30 percent on emoluments paid to new employees Under Section 80-JJAA
  to be relaxed to 150 days for footwear and leather industry, to create more employment.
• No adjustment in respect of transactions in immovable property where Circle Rate value does not exceed 5 percent of consideration.
• Proposal to extend reduced rate of 25 percent currently available for companies with turnover of less than 50 crore (in Financial Year 2015-16), to companies reporting turnover up to Rs. 250 crore in Financial Year 2016-17, to benefit micro, small and medium enterprises.
• Standard Deduction of Rs. 40,000 in place of present exemption for transport allowance and reimbursement of miscellaneous medical expenses. 2.5 crore salaried employees and pensioners to benefit.
• Relief to Senior Citizens proposed:
  • Exemption of interest income on deposits with banks and post offices to be increased from Rs. 10,000 to Rs. 50,000.
  • TDS not required to be deducted under section 194A. Benefit also available for interest from all fixed deposit schemes and recurring deposit schemes.
  • Hike in deduction limit for health insurance premium and/ or medical expenditure from Rs. 30,000 to Rs. 50,000 under section 80D.
  • Increase in deduction limit for medical expenditure for certain critical illness from Rs. 60,000 (in case of senior citizens) and from Rs. 80,000 (in case of very senior citizens) to Rs. 1 lakh for all senior citizens, under section 80DDB.
  • Proposed to extend Pradhan Mantri Vaya Vandana Yojana up to March, 2020. Current investment limit proposed to be increased to Rs. 15 lakh from the existing limit of Rs. 7.5 lakh per senior citizen.
    
    
    
    
• More concessions for International Financial Services Centre (IFSC), to promote trade in stock exchanges located in IFSC.
• To control cash economy, payments exceeding Rs. 10,000 in cash made by trusts and institutions to be disallowed and would be subject to tax.
• Tax on Long Term Capital Gains exceeding Rs. 1 lakh at the rate of 10 percent, without allowing any indexation benefit. However, all gains up to 31st January, 2018 will be grandfathered.
• Proposal to introduce tax on distributed income by equity oriented mutual funds at the rate of 10 percent.
• Proposal to increase cess on personal income tax and corporation tax to 4 percent from present 3 percent.
• Proposal to roll out E-assessment across the country to almost eliminate person to person contact leading to greater efficiency and transparency in direct tax collection.
• Proposed changes in customs duty to promote creation of more jobs in the country and also to incentivise domestic value addition and Make in India in sectors such as food processing, electronics, auto components, footwear and furniture.

Source: PIB

Relief to Senior Citizens: Exemption of Interest Income on deposits increased to Rs 50,000

Ministry of Finance

Relief to Senior Citizens: Exemption of Interest Income on deposits increased to Rs 50,000

Pradhan Mantri Vaya Vandana Yojana extended up to March 2020

Existed limit on investment under PMVVY enhanced to Rs 15 lakhs

With the objective of providing a dignified life to senior citizens, the Union Minister for Finance and Corporate Affairs, Shri Arun Jaitley, announced significant incentives for senior citizens.

Presenting the General Budget 2018-19 in Parliament here today, the Finance Minister said that the exemption of interest income on deposits with banks and post offices to be increased from Rs. 10,000/- to Rs. 50,000/- and TDS shall not be required to be deducted on such income, under section 194A. This benefit shall be available also for interest from all fixed deposits schemes and recurring deposit schemes.

The Finance Minister also announced raising the limit of deduction for health insurance premium and/ or medical expenditure from Rs. 30,000/- to Rs. 50,000/-, under section 80D. All senior citizens will now be able to claim benefit of deduction up to Rs. 50,000/- per annum in respect of any health insurance premium and/or any general medical expenditure incurred.

Further, the Finance Minister proposed raising the limit of deduction for medical expenditure in respect of certain critical illness from Rs. 60,000/- in case of senior citizens and from Rs. 80,000/- in case of very senior citizens, to Rs. 1 lakh in respect of all senior citizens, under section 80DDB.
These concessions will give extra tax benefit of Rs. 4,000 crores to senior citizens.

In addition to tax concessions, the Finance Minister proposed to extend the Pradhan Mantri Vaya Vandana Yojana up to March 2020 under which an assured return of 8% is given by Life Insurance Corporation of India. The existing limit on investment of Rs. 7.5 lakh per senior citizen under this scheme is also being enhanced to Rs. 15 lakh.

PIB

Creating job opportunities employment generation during last three years

Creating job opportunities employment generation during last three years.

Creating job opportunities and facilitating generation of employment has been at the core of our policy-making. During the last three years, we have taken a number of steps to boost employment generation in the country. These measures include:-

• Contribution of 8.33% of Employee Provident Fund (EPF) for new employees by the Government for three years.
• Contribution of 12% to EPF for new employees for three years by the Government in sectors employing large number of people like textile, leather and footwear.
• Additional deduction to the employees of 30% of the wages paid for new employees under the Income Tax Act.
• Launch of National Apprenticeship Scheme with stipend support and sharing of the cost of basic training by the Government to give training to 50 lakh youth by 2020.
• Introducing system of fixed term employment for apparel and footwear sector.
• Increasing paid maternity leave from 12 weeks to 26 weeks, along with provision of creches.

Grant of financial up gradation under MACPS to SSE-Drawing (formerly Diploma Holder Tracers) appointed against DR quota vacancies as Assistant Draftsman

Grant of financial up gradation under MACPS to SSE-Drawing (formerly Diploma Holder Tracers) appointed against DR quota vacancies as Assistant Draftsman

No. IV/MACPS/09/Pt.II

Dated: 29/01/2018

The Secretary (E)
Railway Board
New Delhi

Dear Sir
Sub: Grant of financial up gradation under MACPS to SSE-Drawing (formerly Diploma Holder Tracers) appointed against DR quota vacancies as Assistant Draftsman-reg.
Ref:
(i) NFIR's PNM item No.15/52015
(ii) NFIR's letter No.IV/MACPS/09/Pt.10 dated 7/11/2016.
(iii) Reply receive vide Board's letter No.PC-V/2015/PNM/NFIR/2 dated 30/05/2017 addressed to GS/NFIR
(iv) NFIR's letter No.IV/MACPS/09/Pt. 10 dated 19/06/2017.
(v) PCPO/S.C.Rly's letter No.SCR/P-HQ/510/EE/GM.PNM/SCRES dated 21/11/2017 addressed to Railway Board.

Through the action taken statement provided to the NFIR during the PNM meeting held with the Railway Board on 13/14.11.2017, the Railway Board desired to have copies of NFIR's letters dated 07/11/2016 & 12/04/2017 for further examination of the matter. Accordingly, the NFIR sends herewith copies of its letters dated 7/11/2016 & 12/04/2017 (with enclosures).

Federation re-iterates that pursuant to the demand raised by our affiliate the SCRF Sangh in the GM/PNM meeting, the PCPO, SCRly vide letter dated 21/11/2017 has sent another letter to the Board seeking clarification. A copy of PCPO/S.C.Rly letter dated 21/11/2017 is also enclosed for ready reference.

NFIR once again reiterates following points and facts for taking decision to concede Federation's demand on S.C.Railay's cases.

NFIR once again reiterates following points and facts for taking decision to concede Federation's demand on S.C.Railway's cases.

The panel of Diploma Holder Tracers to the post Asst. Draftsman against 50% DR qutoa was formed and implemented on 20th Jan, 1984. Para 5.3 of Railway Board's letter No.PC III/84/UPG/19 dated 25/06/1985 is not applicable to the candidates as they were the empanelled Asst.Draftsman in the year 1984 itself (against DR quota). This connection of the Federation can be verified from the letter dated 21/11/2017 sent by the South Central Railway to Railway Board.

The group of ten employees selected against DR quota were placed above in the seniority list to those promoted against restructured posts pursuant to Board's destructing decision.

Federation therefore contents that the SSE/Drawing (Former Diploma Holder Tracers) appointed as Asst Draftsman against DR quota vacancies as per Board's orders have been wrongly denied the benefit of 3rd MACP in GP 4800/-.

NFIR therefore urges upon the Railway Board to review the decision and issue instructions to the Zones etc., for allowing MACP benefit (3rd MACP in GP 4800) to the Diploma Holder Tracers appointed as Asst Draftsman aganist 50% DR qutoa vacancies, duly treating their entry as "appointment".  A copy of the instructions issued may be endrosed to the Federation.

DA/As above

Yours faithfully,
S/d,
(Dr M. Raghavaiah)
General Secretary

Source: NFIR

Revision of hourly rates of Incentive Bonus and Bouns Factor of Workshop/PU in respect of staff governed under CRJ pattern/GIS

Revision of hourly rates of Incentive Bonus and Bouns Factor of Workshop/PU in respect of staff governed under CRJ pattern/GIS

No. I/11/Part I

Dated: 29/01/2018

The Secretary (E),
Railway Board,
New Delhi

Dear Sir,
Sub: Revision of hourly rates of Incentive Bonus and Bouns Factor of Workshop/PU in respect of staff governed under CRJ pattern/GIS-reg.

Ref: (i) NFIR's PNM Item No. 12/2017.
(ii) NFIR's letter No. I/11/Part I dated 13/07/2017.
(iii) Railway Board's letter No. PC-VII/2017/R-U/28 dated 31/07/2017.
(iv) NFIR's letter No. I/11/Part I dated 08/08/2017 & 24/08/2017.

During NFIR's PNM meeting held with the Railway Board on 13/14.11.2017, the Official Side conveyed that the Internal Meeting of the Committee constituted by the Railway Board vide order dated 06/07/2017 has been fixed for 29/11/2017. Responding to Official Side, Federation requested to expedite action for revising the rateds as the staff are eligible at revised rates w.e.f. 1st July, 2017. The Federation also requested in the meeting that the PCO Allowance be revised to those Groun 'C' staff working in Level 8 & 9 also. Federation also conveys that a period of more than two months has passed the progress amde on the subject has not been apprised.

NFIR therefore requests the Railway Board to kindly expedite action for revisio of hourly rates of incentive bonus, allowance and PCO Allowance to the staff of Workshops/Production Units under both CRJ/GIS pattern duly endorsing copy to the Federation.

Federation also suggests that a separate meeting be convened soon for discussing the PNM item.

Your fatihfully,
S/d,
(Dr. M. Raghavaiah)
General Secretary

Source: NFIR