Thursday, July 6, 2017

Revision of pension of pre-2016 pensioners / family pensioners - Concordance Tables

Revision of pension of pre-2016 pensioners / family pensioners - 7th Central Pay Commission Concordance Tables.

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Wednesday, June 28, 2017

Saturday, May 13, 2017



Thursday, May 4, 2017

Revision of pension - GOI Decision on 03-05-2017

Press Information Bureau
Government of India
03-May-2017 20:27 IST

Cabinet approves modifications in the 7th CPC recommendations on pay and pensionary benefits

The Union Cabinet chaired by the Prime Minister Shri Narendra Modi approved important proposals relating to modifications in the 7th CPC (Central Pay Commission) recommendations on pay and pensionary benefits in the course of their implementation. Earlier, in June, 2016, the Cabinet had approved implementation of the recommendations with an additional financial outgo of Rs 84,933 crore for 2016-17 (including arrears for 2 months of 2015-16).
The benefit of the proposed modifications will be available with effect from 1st January, 2016, i.e., the date of implementation of 7th CPC recommendations. With the increase approved by the Cabinet, the annual pension bill alone of the Central Government is likely to be Rs.1,76,071 crore.  Some of the important decisions of the Cabinet are mentioned below:
1.        Revision of pension of pre – 2016 pensioners and family pensioners
The Cabinet approved modifications in the recommendations of the 7th CPC relating to the method of revision of pension of pre-2016 pensioners and family pensioners based on suggestions made by the Committee chaired by Secretary (Pensions) constituted with the approval of the Cabinet.  The modified formulation of pension revision approved by the Cabinet will entail an additional benefit to the pensioners and an additional expenditure of approximately Rs.5031 crore for 2016-17 over and above the expenditure already incurred in revision of pension as per the second formulation based on fitment factor.  It will benefit over 55 lakh pre-2016 civil and defence pensioners and family pensioners.
While approving the implementation of the 7th CPC recommendations on 29th June, 2016, the Cabinet had approved the changed method of pension revision recommended by the 7th CPC for pre-2016 pensioners, comprising of two alternative formulations, subject to the feasibility of the first formulation which was to be examined by the Committee.
In terms of the Cabinet decision, pensions of pre-2016 pensioners were revised as per the second formulation multiplying existing pension by a fitment factor of 2.57, though the pensioners were to be given the option of choosing the more beneficial of the two formulations as per the 7th CPC recommendations.
In order to provide the more beneficial option to the pensioners, Cabinet has accepted the recommendations of the Committee, which has suggested revision of pension based on information contained in the Pension Payment Order (PPO) issued to every pensioner.  The revised procedure of fixation of notional pay is more scientific, rational and implementable in all the cases.  The Committee reached its findings based on an analysis of hundreds of live pension cases.  The modified formulation will be beneficial to more pensioners than the first formulation recommended by the 7th CPC, which was not found to be feasible to implement on account of non-availability of records in a large number of cases and was also found to be prone to several anomalies.

Friday, February 17, 2017

CGPA/KL/GL/2017/18              dated            15-02-2017

Shri. Arun Jaitely
Hon’ble Union Minister for Finance
North Block, New Delhi - 110 001

Sub:   Budget proposals 2017-18 – Personal Income Tax- Additional burden on certain low income senior citizens

Respected Sir,

          This Association appreciates the approach of the Government to reduce the burden of taxation of honest tax payers and salaried persons who are showing their income correctly. We also consider that your proposal “to reduce the existing rate of taxation for individual assessees between income of        Rs. 2.5 lakh to Rs. 5 lakh  to 5% from the present rate of 10%” is a welcome step in the right direction. Your claim is that “this would reduce the tax liability of all persons below Rs. 5 lakh income either to zero (with rebate) or their existing liability.” In order not to have duplication of benefit, the existing benefit of rebate available to the same group of beneficiaries is being reduced to Rs. 2500/- available only to assessees upto  income of Rs. 3.5 lakhs (Para 174 of the budget speech).

            We may submit that your present proposal actually increases the tax burden of senior citizens who are in the income bracket of Rs. 3, 50,010/- to Rs. 3,99,990/- though the intention of your proposal is to reduce the tax liability of all persons below Rs. 5 lakh income. For example, the tax liability for a senior citizen having an income of Rs. 3,50,010/- during the F.Y.2016-17 is Re. 1/- only whereas the tax liability for the same person during the F.Y.2017-18 would be Rs. 2576/-  (including the education cess). We may also bring to your notice that the senior citizens have little scope to avail the concession under section 80(C). We earnestly believe that the Hon’ble Finance Minister would not have anticipated this anomalous position.

          As the intention of the Government is to “reduce the tax liability of all persons below Rs. 5 lakh income,” this Association requests you to be gracious to revisit the proposal and amend it to extend the tax rebate of Rs. 2500/- to all persons having a taxable income below Rs. 5 lakhs.

Thanking you,                                                                                               yours faithfully

                                                                                             T.I. Sudhakaran,    General Secretary
Copy to:     

1.       Com. Shiv Gopal Mishra,Secretary, Staff side JCM, 13-C, Feroz Shah Road, New Delhi – 110 001 – For information and necessary action

2.       Com. K.K.N. Kutty, Secretary General, NCCPA, 13-C, Feroz Shah Road, New Delhi – 110 001 – For information and necessary action