Income Tax Return : Due Date Extended.

The CBDT has decided to extend the due date of filing of Income Tax returns from 31st July 2010 to 4th August 2010. All paper returns or e-returns filed on or before 4th August, 2010 would be considered as filed within the due.


View the Press Release

Income Tax Dept. Exam postponed. Fresh date announced. Motorbike for Income Tax Inspectors ?

Fresh Date for Dept. Exam
A news has been published in the June 2010 issue of "Aayakar", the monthly periodical from Intome Tax Employees Federation that CBDT has agreed to provided motorbikes to the ITIs out of the 1% incentive scheme.


A committee has been prepared in this effect in Delhi to finalize the process of procurement of 3000 motor cycles.


The details or authenticity of this news is yet to be confirmed from the Government side.

Income Tax Dept. Exam may be postponed, partially cleared candidates may get relaxation.

   Departmental  Examintion 2010

            The finer points concerning the conduct of examination 2010 was discussed with theDIT(IT) Examination and the other officials of the Directorate on 20^th inst.  The consensus arrived at is as under:

1.      Most of the points we submitted for the consideration of the conduct of examinationm2010 have been accepted.  Wherever there had been some differences, those were subjected to discussion and the following agreement has been reached.

2.      Ministerial Staff Examination.  The Exam this year will be under the old pattern.  The changes we had suggested in the new syllabus could be further discussed and agreement reached before the 2011 Examination.

3.      Inspectors Examination.  The final decision is that exemption would be granted for those papers cleared by the candidates under the old pattern. They will only take up those papers which are identified as analogous under the new scheme  to the papers under the old pattern. (Please see our letter to the Director dated 13^th July, 2010.

4.      In the case of ITOs examination, those who are yet to clear the I.T Law paper I and II under the old scheme will have to take up Paper I and IV under the new scheme. The papers cleared under the old scheme would be exempted.  The various papers identified under the new scheme  as analogous to the papers under the old pattern vide our letter of 13^th in all other cases have been accepted.

5.      Those who seek exemption in the papers already cleared will have to write those papers that are not cleared under the new patter identified as analogous, but in their case the conditions of the old examination rules will apply.

6.      In the case of Inspectors examination, the candidate would be required to obtain 50% to clear the paper had they availed the exemption.

7.      In the case of ITOs examination those who are to clear the O.P. paper, the Directorate will prepare an objection question paper in O.P. especially for those candidates.  

8.      The scheme so evolved will be in operation in perpetuity till the candidates who have availed the exemption pass the remaining papers or till such time they exhaust the number of changes or are age barred.

9.      The scheme is made applicable only for those who are to clear any two subjects.  In other words, those who are to clear more than two papers will have to write all the papers under the new scheme 

10.  In order to enable the Directorate to prepare for the agreed scheme and enlist the fresh candidates who would now become eligible to take up the examination, the examination schedule is likely to be postponed to commence from 25^th October, 2010 The intervening  Saturday has been agreed to be a working day for the examinees in order to ensure that all the three examinations are completed by 2^nd November, 2010.

11.  The Directorate will announce the  scheme after obtaining the requisite approval from the CBDT.

Source : ITEF

Though reference of a letter dated 13th July has been mentioned in the above communication, no such dated letter is found in the blog of ITEF. However a letter dated 7th July written in this context and handed over on 13th July is available. For the benefit of our viewers the letter is published below.

F.2./H.1/2009 Dated: 7^th July, 2010.

Shri. Kalyan Chand

Director General (Admn.)

Mayur Bhawan 5^th Floor, R.No. 501

Cannaught Circus

New Delhi. 110 001

Dear Sir.

Sub: Departmental Examination 2010-.

This is with reference to the discussions we had with you on 30.06.2010 on the above subject. During the discussions, it was indicated that Departmental Examinations 2010 are to be held under the new pattern and the request for having the examination on both the pattern as was done last year may not be possible in the case of Inspectors and ITOs examination. We were in that context, asked to elucidate the alternative suggestion of granting exemption to those candidates who had passed certain papers under the old patterns and are to take up examination only in those papers which are not cleared. Our suggestion in the matter is as under:-

ITOs Examination

Those who are yet to clear the following The paper they should clear under

Papers in old patterns new patterns _________________

1. IT Law-I & II Paper-I :- Income Tax Law and Other Taxes

2. Other Taxes Paper-III:- Allied Laws

3. Book Keeping Paper-II:- Advanced Accountancy

4. Office Procedure Office Procedure Paper of Inspectors Examination or a separate paper [objective] prepared separately for the purpose.

5. Examination of Accounts (Practical Test) The concerned CIT(Exam) may be asked to conduct this examination for the candidates who have not cleared this paper. No paper is required to be set up for this by the Directorate.

6. Hindi/Oral Test The CIT(Exam) in respective charge may be asked to take this examination locally. No paper need be set by the Directorate.

Inspectors Examination

1. IT Law-I & II IT Law and Computation

2. Book Keeping Book Keeping

3. Other Taxes Allied Taxes

4. Office Procedure Office Procedure

5. Examination of Accounts The CIT(Exam) in respective charge may be asked to take this examination locally. No paper need be set by the Directorate

6. Hindi Test

The CIT(Exam) in respective charge may be asked to take this examination locally. No paper need be set by the Directorate.

The candidates who are given exemption from writing the paper passed under the old scheme may have to pass the examination with minimum percentage of marks 50(45 in the case of SC/ST candidates) as was the case under the old scheme.

If our above proposal is agreed upon, there may not arise any requirement for conducting examination under the old pattern for ITOs and ITIs.

Ministerial Staff Examination

Under the old pattern there had been four papers which now form part of the two papers under the new patterns. Therefore it would be difficult to make out an alternative suggestions.. Therefore we suggest that the examination both under old and new pattern may be conducted this year.

If that be not the case then the alternative suggestion can only be the following

1) To split the Paper-I into two i.e.

a) Précis writing and drafting

b) Computer Basics

Computer Basics test be conducted only after imparting training especially when question are to be set in AST or ITD application. We therefore suggest that this being a practical

paper, the examination may be conducted locally by the CIT(Exam) after mounting a training programme of say a month or two. The candidates who are deployed for training will be subjected to the test at the conclusion of the training and failure therein will make them ineligible for promotion as they may not be declared to have passed/cleared the Ministerial Staff Examination. In that case those who have failed to clear Paper-I under old syllabus can be asked to take Paper-I under the new syllabus.

In the case of those who are to clear Service Rules (Paper – II) under old pattern and those who are to clear Office Procedure (Paper-III) under the old pattern may be asked to clear only that part in Paper-II under the new pattern which deals with the F.R, S.R and Taxation procedure etc. i.e. they may have to take up Part-A of Paper-II under the new scheme.

Those who have failed in Paper –IV may be asked to write Part-II of Paper-II under the new pattern. But with a condition that they have to secure 50% (45% in case of SC/ST candidates).

In respect of Hindi paper, the CIT(Exam) of each charge may be asked to conduct the said examination for those who has not qualified earlier under the old pattern.

Thanking you,

Yours faithfully,

Ashok Salunkhe

Secretary General

No Income Tax Raids ?

Rest Assured ! Taxmen may not be knocking at your door right now !
No search and survey from Income Tax Department is likely in near future. The Promotee officers and staffs combined association, Joint Council of Action has urged it’s members not to take part in any I.T. raid or survey unless the management accepts their long outstanding demands.

As most work in a search and survey operation is done by the striking employees, it is most likely that these operations will be suspended for a while.

The employees have already conducted a one day’s token strike on 15^th July to press for their demands.

View the demands.

Update on Dept. Exam issue : Another chance in old pattern or relaxation ?

Update on Agitation :
""CONGRATULATIONS for making today's(15/07/10) STRIKE action a total success. KUDOS to all the units of ITGOA & ITEF across the country for this phenomenal response. The strike has got ample coverage in both print & electronic media.Now, let us hope that better sense will prevail in the CBDT. But we cannot afford to be complacent with today's success. All the unit secretaries are requested to motivate the members of staff & officers of their unit to strictly implement the JCA's call of NON-COOPERATION in Search & Seizure u/s. 132 and Survey u/s. 133A including TDS Survey/Verification/Enquiry by whatever name called, w.e.f 20/07/2010. Further intensification of agitation will be informed by the JCA and let us all resolve to stand up and fight till we achieve our just demands. LONG LIVE ITGOA ; LONG LIVE ITEF ; LONG LIVE JCA"...ITGOA
"The ITEF representatives met DG(Admn) on 13^th to discuss and finalize the examination related

issues. After detailed discussion, the DG agreed to place the following proposal before the Board.

1. Ministerial Staff Examination: The Exam will be conducted under the old pattern in this year. The ITEF suggestion on the new pattern will be further discussed and finality reached before 2011 Examination.

2. Inspectors and ITOs Exams : Either one more chance will be given to all candidates who are to clear two subject or less under old pattern

OR

All those who have written the Exam under the old pattern will be allowed to retain exemption to those papers, which they have cleared. In other words they will have to clear the uncleared papers. ie the identical papers in the new syllabus with the condition stipulated under old rules.

On getting Board's approval, necessary steps will be taken by the Directorate to receive revised applications etc. If necessary, the exam will be postponed for Inspectors and ITOs."

Published from ITEF website.

All Companies to File I-T Returns Electronically with Digital Signature

The Central Board of Direct Taxes (CBDT) has amended the Rules relating to electronic filing of income tax returns vide Notification No.49/2010 dated 9th July 2010. The amended Rules will apply with effect from the date of notification in the official gazette.

As per the amended Rules, it is now mandatory for all companies to file income tax return electronically in Form No.ITR-6 with digital signature. Earlier, companies could file their electronic returns with or without digital signature. 

Further, now all individuals and Hindu Undivided Families (HUFs), who are required to get their accounts audited under section 44AB of the Income Tax Act 1961, are also required to file their income tax return in Form No.ITR-4 electronically with or without digital signature. Earlier, this condition was applicable only to companies and partnership firms. 

Accounts are required to be audited under the income tax law, if turnover or gross receipts from business exceeds Rs.40 lakh (Rs.60 lakh from assessment year 2011-12 onwards), or if turnover or gross receipts from profession exceeds Rs.10 lakh (Rs.15 lakh from assessment year 2011-12 onwards). 


Source : PIB Press Release.
View the press release

Additional Income Tax relief upto Rs 20,000/- in investment in Infrastructure bond.

The Central Government have specified bonds to be issued by (i) Industrial Finance Corporation of India; (ii) Life Insurance Corporation of India; (iii) Infrastructure Development Finance Company Limited; and (iv) a Non-Banking Finance Company classified as an infrastructure finance company by the Reserve Bank of India; as “Long-term Infrastructure Bond” for the purpose of section 80CCF of the Income Tax Act, 1961. 

Investment in these bonds up to rupees twenty thousand will be eligible for deduction from the total income of the assessee. The deduction will be in addition to the deduction of rupees one lakh allowed under sections 80C, 80CCC and 80CCD of the Act. 

The tenure of the Bonds shall be a minimum of ten years with a lock-in period of five years for an investor. It will be mandatory for the subscriber to furnish permanent account number to the issuer for investment in the bonds. 

Meeting with Chairman CBDT could not provide result, Taxmen are on agitation, strike. Revised Time Table for Dept. Exam 2010.

View Revised Exam Time Table


Circular No.29                                                                                    Dated: 30^th June, 2010

Dear Comrade,

            The representatives of the two Federations met the Chairman and other authorities of the Board on 28.06.2010. The Charter of demands in pursuance of which the Central JCA has declared to organize a STRIKE programme on15.07.2010 was discussed. The outcome of the discussion in brief is presented in the Central JCAs communiction in this regard. It could be seen that no tangible outcome has come about from the said meeting. The Central JCA met thereafter and decided to go ahead with the programme of action and formally served the Strike Notice on 29.06.2010. The Strike action is to be followed up with intensified agitations in the form of Non Cooperation with regard to Search and Seizure, Survey (including TDS enquiry, verification etc.) . We request you to kindly take all steps required for ensuring cent percent participations of our members in the strike action.

            With best wishes,

Yours fraternally,

(Ashok B Salunkhe)

Secretary General.

OUTCOME OF THE MEETING WITH CHAIRMAN, CBDT ON 28.06.2010   ON JCA'S CHARTER OF DEMANDS

1. Stop outsourcing. CPC must function strictly as per Agreement reached with JCA.

a.  The Board indicated to honour the agreement. However, it said that the problem emanating from the insufficiency of manpower especially in the cadre of Tax Assistants persists and wanted the JCA to address to the said issue.   No consensus could be reached on the issue except that the matter could be further discussed..

b. As regards caretaking staff, only the usual assurance was given that necessary instructions will be issued to the CCsIT to recruit the people locally  to fill up the  meagre vacancies. It was the contention of the Board that filling up of the existing vacancies in the erstwhile cadre of Group D would not resolve the issue in as much as the manpower requirement to carry out the functions is huge.  The Board was not in agreement with the proposal mooted by the Federations that till the Government sanctions necessary manpower, the local employment exchanges could be approached to provide persons on daily rated basis.

2. a. Reimburse Mobile phone charges to all employees in  the department.

What was being told to us during the last one year was repeated that the Board has approved the scheme and the file has gone to the Department of Expenditure and it is hoped that the approval of the Govt. will be coming soon.

 b. Sanction Laptops to all Gaz. Officers including newly promoted ITOs, AO,PS / Sr. PS on non-returnable basis.

LAPTOPS upto ITO was sanctioned with the approval of then FM. Now if it is to be given to AO & PS, Board was of the opinion that FM's approval was required and a suitable proposal with justification will be sent.

c. Provide Desktop computers to all Group C employees.

It was stated that necessary steps will be taken to get sanction for procuring required computers to be provided to all sections in the Department.

3. Publish Civil List without any further loss of time, on the lines it was issued till 2006. Publish seniority list of Group 'B' 'C' & 'D' employees as per Board's instructions on an annual basis.

Board was of the opinion that the matter was sub-judice due to some OAs filed by Direct Recruits in CAT and in which some promotees have also got impleaded. The matter will be studied and a decision will be taken.

As regards, Group C & D, necessary instruction will be issued by Board to CCIT(CCA) to publish seniority list as on 01^st January, every year.

4. Transfer DCIT / ACIT (who have completed 2 years cooling period and with spouse / medical / compassionate grounds, etc.).

Board stated that this will be possible only at the time of promotion  from ITO to ACIT and consequent transfer.

5. Fill up all vacant posts in the Department.

Board is trying to decentralize the recruitment process for IT Dept. In this direction a committee has already been constituted.

6. Conduct DPC for ACIT for RY 2009-10 immediately and Start the work for RY2010-11, DPC for DCIT as on 01/01/2010 and DPC for Jt. CIT for IRS of 2000 & 2001 batch.

The Official side stated the oft-repeated statement that the date for  DPC for ACIT will be obtained from the UPSC during the month of July.  No firm commitment of the date and effecting promotion was brought in the meeting. As regards, DCIT to JCIT – UPSC has rejected Board's proposal for Ad-hoc promotion. The balance ACRs which are below bench-mark will be corrected by the end of July, with active follow-up from the Board and then a proposal for regular DPC will be sent to UPSC, who have stated to give an early date.

As for ACIT to DCIT as on 01.01.2010 – There is a deficiency of around 90 ACRs , which again has been put-up in the official website. 

7. Resolve Pay Anomalies arising out of 6^th CPC & Grant Grade pay of Rs.4,800/- to Private Secretaries and Administrative officers.

8. After 4 Years of service ITO, AO, PS & Sr. PS must be placed in PB-3 with Grade Pay of Rs. 5400.

a. Anomaly between direct recruit & promotee in various grades of staff, a letter has already been sent to Dept. of Expenditure as required by the ITEF.

b. As regards GP of 4800 to AO & PS & 5400 after 4 years in PB-3 to ITO/AO/PS & Sr.PS, a proposal with proper justification will be sent to Dept. of Expenditure.

9. Implement the cadre composition as suggested by ITEF based on 6^thCPC report.

The Staff Side brought to the notice of the chairman that the issue was discussed with the DG(HRD) more than two times but no progress has been registered .  The DG (HRD) promised to finalise the matter shortly and place the proposal before the board. Copy of the proposal so placed before the Board  would be given to the ITEFand its views taken into consideration before the issue is finalised.

10. Honour the agreement with JCA on the Departmental Exams.

No finality has reached on this subject.  The response of the Board is that further discussion is necessary on this issue between ITEF and DG (admn).

11. Dispose of all vigilance cases pending beyond one year.

Board stated that of late, no vigilance cases are being initiated in the last 6 months of one's career, except in exceptional cases, where CBI or CVC has given any direction/advice. Instruction for expediting the pending cases will be issued by Board.

12. Expedite the proposals submitted by Cadre Review Committee in toto.

The JCA made it clear that though the proposal by the Committee constituted for this purpose was submitted to the Board  way back in July 2009, the formal proposal to the Govt. has not been submitted by the Board.  The Stand of the Board is that another committee to draft the final proposal has been formed and the work is in progress.

From the above it will be seen that there is no preparedness on the part of CBDT to redress the genuine & just demands of promotee officers and staff of I.T. Dept.

Therefore, JCA is left with no alternative but to continue with our agitational programme including one day's token strike on 15/07/2010 for which a strike notice has already been served on the CBDT. Further, intensification of agitation in the form of Non-cooperation with regard to Search & Survey (including TDS verification/education etc will commence  from 20/07/2010.

Source : ITEF