Click here to view SB order 12/2013 dated 13.11.2013 on the above subject matter.
Tuesday, December 3, 2013
Nine reasons for getting a tax notice
By: Sudhir Kaushik
The Income Tax Department has launched a drive to ensure greater tax compliance. In recent months, thousands of taxpayers have been served notices after discrepancies were noted in their tax returns or their TDS details.
This sudden rise in the number of tax notices is not because people have stopped paying tax or filing their returns. It's just that the tax authorities now have an integrated database on taxpayers and can track almost all financial transactions of an individual.
The Income Tax Department has launched a drive to ensure greater tax compliance. In recent months, thousands of taxpayers have been served notices after discrepancies were noted in their tax returns or their TDS details.
This sudden rise in the number of tax notices is not because people have stopped paying tax or filing their returns. It's just that the tax authorities now have an integrated database on taxpayers and can track almost all financial transactions of an individual.
The 10-digit alphanumeric PAN, which has been made mandatory for most
money transactions, allows the tax department to peek into your
financial life.
The PAN not only tells the tax department how much you have earned, but also how you have been spending and investing that money. Besides, the Central Board of Direct Taxes has a computer-aided scrutiny system (CASS), which flags any discrepancy in the tax return filed. Here are some common reasons for the taxpayers getting notices.
1. Not mentioning PAN or quoting incorrect PAN
The PAN is now mandatory for highvalue transactions. If you do not submit it while making an investment or taking up a job, your income will be subjected to a higher TDS of 20 per cent, instead of 10 per cent.
If the PAN is incorrect, you could even be slapped with a penalty of up to Rs 10,000. The bigger problem of an incorrect PAN is that the TDS will not be credited to your account. This often results in an additional tax demand. What's more, the tax refund can be credited to another account if you submit the wrong PAN.
2. Not checking Form 26AS before filing
The Form 26AS has details of the tax paid by an individual during a financial year. You can easily access your Form 26AS online. Some banks also provide this facility to their Net banking customers. Before you file your return, check whether your Form 26AS has correctly credited the tax deducted on your behalf.
If your bank, bond issuer or employer has deducted TDS, make sure it is mentioned in your Form 26AS. Also, check whether all the investments with TDS have been duly mentioned in the tax return. Any mismatch will lead to a notice from the department.
3. Mismatch in income and expenses & investments
Financial services firms, registration authorities and merchant establishments are supposed to report certain high-value transactions to the CBDT. The CASS matches this information with the returns filed by the taxpayer and promptly issue a notice if there is a mismatch.
The Income Tax Department gets all infor mation about high-value financial transactions on the basis of the PAN that you submit to your bank, share broker, mutual fund house and registrar of properties. If the income you have declared is not matching your investments and spending, you can get a tax notice.
4. Not filing returns if income is above Rs 2 lakh
If your gross taxable income before deduction under any section is above Rs 2 lakh, it is mandatory for you to file your return. If you don't file it, you can be slapped with a penalty of up to 300 per cent of the outstanding tax. Even if there is no tax liability, the return has to be filed if the income before deductions (tax savings, education loan, home loan, etc) is above the basic tax exemption.
The PAN not only tells the tax department how much you have earned, but also how you have been spending and investing that money. Besides, the Central Board of Direct Taxes has a computer-aided scrutiny system (CASS), which flags any discrepancy in the tax return filed. Here are some common reasons for the taxpayers getting notices.
1. Not mentioning PAN or quoting incorrect PAN
The PAN is now mandatory for highvalue transactions. If you do not submit it while making an investment or taking up a job, your income will be subjected to a higher TDS of 20 per cent, instead of 10 per cent.
If the PAN is incorrect, you could even be slapped with a penalty of up to Rs 10,000. The bigger problem of an incorrect PAN is that the TDS will not be credited to your account. This often results in an additional tax demand. What's more, the tax refund can be credited to another account if you submit the wrong PAN.
2. Not checking Form 26AS before filing
The Form 26AS has details of the tax paid by an individual during a financial year. You can easily access your Form 26AS online. Some banks also provide this facility to their Net banking customers. Before you file your return, check whether your Form 26AS has correctly credited the tax deducted on your behalf.
If your bank, bond issuer or employer has deducted TDS, make sure it is mentioned in your Form 26AS. Also, check whether all the investments with TDS have been duly mentioned in the tax return. Any mismatch will lead to a notice from the department.
3. Mismatch in income and expenses & investments
Financial services firms, registration authorities and merchant establishments are supposed to report certain high-value transactions to the CBDT. The CASS matches this information with the returns filed by the taxpayer and promptly issue a notice if there is a mismatch.
The Income Tax Department gets all infor mation about high-value financial transactions on the basis of the PAN that you submit to your bank, share broker, mutual fund house and registrar of properties. If the income you have declared is not matching your investments and spending, you can get a tax notice.
4. Not filing returns if income is above Rs 2 lakh
If your gross taxable income before deduction under any section is above Rs 2 lakh, it is mandatory for you to file your return. If you don't file it, you can be slapped with a penalty of up to 300 per cent of the outstanding tax. Even if there is no tax liability, the return has to be filed if the income before deductions (tax savings, education loan, home loan, etc) is above the basic tax exemption.
5. Not filing return by the due date
You can file your income tax return till the end of the assessment year if there is no tax due. For example, the tax return for 2012-13 can be filed till 31 March 2014 without incurring any interest or penalty if all the taxes have been paid. However, if some tax remains unpaid, filing your return after the deadline could lead to a penalty of Rs 5,000. Also, you are not allowed to carry forward your losses if you file after the due date, nor can you revise the tax return.
6. Not declaring the previous employer's income
This is a common problem and was easily missed by the tax authorities in the past. However, now that the tax database has been integrated, don't think you can ignore your income from a previous job. If your employer deducted TDS on your income, the details would be in your Form 26AS, and the CASS will immediately flag this discrepancy. You can be levied a penalty of up to 300 per cent of the tax evaded.
7. Avoiding TDS by misusing Forms 15G and 15H
If the interest income on bank deposits exceeds Rs 10,000 a year, the bank deducts TDS. You can avoid TDS by submitting Form 15G or 15H if you are not liable to tax. However, if you are trying to avoid TDS, you can get a notice from the tax department. Submitting a wrong declaration can invite a penalty of Rs 10,000. Splitting the deposits in different banks or bank branches to avoid TDS will not help as the PAN is the same.
8. Not declaring interest on bank deposits and post office savings
Source:http://articles.economictimes.indiatimes.com
You can file your income tax return till the end of the assessment year if there is no tax due. For example, the tax return for 2012-13 can be filed till 31 March 2014 without incurring any interest or penalty if all the taxes have been paid. However, if some tax remains unpaid, filing your return after the deadline could lead to a penalty of Rs 5,000. Also, you are not allowed to carry forward your losses if you file after the due date, nor can you revise the tax return.
6. Not declaring the previous employer's income
This is a common problem and was easily missed by the tax authorities in the past. However, now that the tax database has been integrated, don't think you can ignore your income from a previous job. If your employer deducted TDS on your income, the details would be in your Form 26AS, and the CASS will immediately flag this discrepancy. You can be levied a penalty of up to 300 per cent of the tax evaded.
7. Avoiding TDS by misusing Forms 15G and 15H
If the interest income on bank deposits exceeds Rs 10,000 a year, the bank deducts TDS. You can avoid TDS by submitting Form 15G or 15H if you are not liable to tax. However, if you are trying to avoid TDS, you can get a notice from the tax department. Submitting a wrong declaration can invite a penalty of Rs 10,000. Splitting the deposits in different banks or bank branches to avoid TDS will not help as the PAN is the same.
8. Not declaring interest on bank deposits and post office savings
Source:http://articles.economictimes.indiatimes.com
SSC Recruitment 2013
Staff Selection Commission has uploaded advertisement on notice board of its official website about the recruitment of AsstPlant Protection Officer , Investigator and Data Entry Operatorposts. Interested Candidates can send theirapplications in prescribed format before 27th December , 2013 . More detailed information regarding SSC Recruitment 2013 is mentioned below.
Complete vacancy details in Staff Selection Commission :
Number of vacancies : 198
Number of vacancies : 198
Name of posts :
1. Assistant Plant Protection Officer (Entamology / Nematology) – 85 Post
2. Assistant Plant Protection Officer (Plant Pathology / Virology / Bacteriology) – 67 Post
3. Assistant Plant Protection Officer (Weed Science) – 29 Post
4. Investigator (Group-C) – 06 Post
5. Data Entry Operator - 08 Post posts
Educational Qualification : Candidates before going to fill SSC application form make sure that they have completed any Degree , M.Sc Degree in relevant discipline, Bachelor’s degree or its equivalent qualification from a recognized University.
Age Limit : Candidates age limit should not exceed 25 years for DEO posts and 30 years for remaining post as on 27-12-2013.
Application Fee : Candidates need to pay Rs. 50 in the form of demand draft. No fee for SCs, STs, Female candidates, PHD and Ex-servicemen candidates.
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How to Apply : Candidates have to submit the application form along with relevant documents to the following address :
The Deputy Regional Director (NWR),
Staff Selection Commission,
Block No. 3. Kendriya Sadan
Sector-9 Chandigarh-160017 .
Important dates :
Closing date for receipt of application form : 27-12-2013
Click here to view the Official notification.
Click here to view Application form.
Closing date for receipt of application form : 27-12-2013
Click here to view the Official notification.
Click here to view Application form.
Tax payers has to furnish PAN of House Owner to Claim HRA deduction beyond 1 lakh
If you are a salaried taxpayer
claiming HRA (house rent allowance) deduction, watch out. The central
government has lowered the exemption limit for reporting the rent
received. Salaried taxpayers
claiming HRA exemption and paying a rent of over Rs 1 lakh per year
have to give landlord's PAN (permanent account number). Till now, if the
total rent paid was less than Rs 15,000 a month there was no need to
submit the landlord's PAN details. The new rule effectively lowers the
rent limit from Rs 15,000 a month to Rs 8,333 per month for claiming HRA
exemption without making any disclosures.
"Further,
if annual rent paid by the employee exceeds Rs 1,00,000 per annum, it
is mandatory for the employee to report PAN of the landlord to the
employer," the Central Board of Direct Taxes said in its latest
circular. "In case the landlord does not have a PAN, a declaration to
this effect from the landlord along with the name and address of the landlord should be filed by the employee," it said.
Though
incurring actual expenditure on payment of rent is a pre-requisite for
claiming deduction under section 10(13A) of the I-Tax Act, it has been
decided as an administrative measure that salaried employees drawing HRA up to Rs 3,000 per month will be exempted from production of rent receipt.
Source : http://timesofindia.indiatimes.com
From 2015, CBSE Schools May Have 6 Functioning Days
CBSE
is mulling extending the functioning days keeping with the mandate of
the Right to Education Act which seeks to fulfill 45 working hour per
week. (PTI/File photo)
CBSE schools may function for six days a week from 2015 at the secondary and senior secondary levels.
The board is mulling extending the functioning days keeping with the
mandate of the Right to Education Act which seeks to fulfill 45 working
hour per week.
"In order to complete the 45 working hour per week as per the recommendation of RTE-Act 2009, a school
needs to function for six days a week for 6 hours and 10 minutes on
each day," CBSE said in a school curriculum published for 2015.
It further suggested that teachers may be retained after school hours
for an additional hour and 20 minutes which can be used for planning,
preparation, checking and follow up work.
The teachers shall devote in a year not less than 1200
hours to the actual teaching in classroom in classes I-VIII, out of
which not more than 200 hours may be required for remedial teaching and
attention to both weak and gifted students before or after the school hours.
It also said that if any teacher is required to devote more than 1200
hours to the teaching and planning, extra remuneration shall be paid at
such rate
as may be determined, by the managing committee for every hour in
excess of 1200 hours devoted by her to the teaching and planning.
All teachers are required to teach for a minimum of 30 periods per week
with remaining periods to be used for planning and preparation of the
lessons and activities.
Eight periods time table may be followed in schools with 45 minutes duration in the 1st and 5th periods and 40 minutes duration for the remaining periods.
Source : http://newindianexpress.com
India Post has recently launched International Money Remittance service on the International Financial System (IFS) platform of Universal Post Union (UPU)
IFS Money Order
India
Post has recently launched International Money Remittance service on
the International Financial System (IFS) platform of Universal Post
Union (UPU). At present the service is operational with La Poste Group,
France and UAE. However, the service will very soon be extended to
Ukraine, Laos PDR, Mauritius, Sri Lanka, Cambodia and many other
countries.
Features
This service is India Post’s own service. The remittances received under this service are being paid through our eMO service.
• Remittances can be received at any of the 17,500 post offices on eMO network.
• The Payee receives the full amount in Indian Rupees.
• Remittances up to INR 50,000 can be received in cash
• Amount exceeding INR 50,000 to be paid through cheque subject to a maximum limit of USD 2500
• Maximum of 30 transactions per person per year
•
Beneficiary has to furnish Unique MO Number (9 digits in case of UAE
and 26 digits in case of France) along with valid identification
documents like Voter ID Card, Driving License, PAN Card, Ration Card,
Aadhar Card, Passport etc. A copy of such document has to be handed over
to Post Office staff for their record (KYC Documents).
• Same day payment for remittances booked before cut-off time
• Payments subject to RBI Guidelines from time to time
• The payment can be collected in any eMO Post Office, please click here to find your nearest eMO Post office
Commissioning of WAN by M/S Sify under IT Modernization Project
Click here to view the above subject matter.
Mapping of PLI/RPLI Sales force & Payment of Incentive from HO
Click here to view the instructions issued by PLI Directorate on the above subject matter.
Withdrawing of existing EPP service and Launching of new Parcel Products from 02..12.2013
It has been decided by
Department of Posts to launch new parcel products from 02.12.2013 simultaneously withdrawing the existing EPP product. The concept of handling of All types of Parcels through "Parcel Hubs" is also introduced from 02.12.2013.
The new parcel products are
1. Express Parcel which will be available initially in 20 identified locations accross the country.
viz. Agra, Bangalore,
Bhubaneshwar, Chennai, Delhi (NCR), Patna, Guwahati, Hyderabad, Indore,
Jaipur, Jammu, Kolkatta, Lucknow, Ludhiana, Mumbai, Pune, Parwanoo,
Shillong, Surat & Thiruvananthapuram. Express Parcel would be
available both for retail customers in post offices and bulk customers.
2. Business Parcel
which will be available in the locations identified by the Chief
Postmasters General of the respective Circles. It will be available for
bulk customers having monthly business
of Rs7500/- or booking of a minimum of 100 parcels per month.Customers
intended to book their consignments have to enter into a contract with
the Department.
Speed Post, Registered and Ordinary parcel services will remain as it is.
Affixing
of Bar code labels is must wef 02.12.2013 on the 4 types of parcels
including Registered and Ordinary parcels. But tracking facility will be
available for Express, Business and Registered Parcels only. Speed Post
parcels will be governed by the conditions laid down for speed post articles.
Click here to view new tariff rates for Express and Business Parcel services.Click here to view the Directorate OM on new operational net work on Parcel Products.
Click here to view the gazette notif
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