CBDT asks for posting option for ITOs to be promoted as ACIT

CBDT asks for option for posting as ACIT for the ITOs who are in consideration zone of promotion. The DPC has been completed for this posts in the first week of March but promotion order is still awaited. They are asked to exercise option within 30th March.
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Extension of time for completion of assessments and reassessments

The existing provisions of section 153 and 153B, inter alia, provides the time limit for completion of  assessment and reassessment  of  income  by  the  Assessing  Officer.  Time  limits  have  been  provided  for  completion  of  assessment  or reassessment under section 143(3), 147, 153A, 153C, etc. Further, these time limits get extended if a reference is made under section 92CA to the Transfer Pricing Officer during the course of assessment/reassessment proceedings.  These time limits are either from the end of the financial year in which the notice for initiation of the proceedings was served or from the end of the assessment year to which the proceedings relate.

New Income Tax Rate for F.Y. 2012-13 as per budget proposal

No change in corporate tax rate.

No tax on saving bank interest up to 10,000 for those having income up to Rs 5 lakh.

Tax rate for income above 10 lakh to be 30 per cent

Tax rate for income from 5 to 10 lakh to be 20 per cent

Tax rate for income from 2 lakh to 5 lakh to be 10 per cent

Individual tax payer exemption limit to be raised to Rs 200,000 from Rs 180,000.

ITGOA withdraws agitation partially, no bar in search and survey

Agitation partially withdrawn.

Non-submission of all statistical reports including CAP-I, II, Dossiers & DO, etc., continues.

Members can participate in search & surveys.

No demonstration during Chairman/Member visits.

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ITGOA meeting inconclusive, no decision arrived

It is learnt that the Secretarial meeting of ITGOA held yesterday at Delhi remained inconclusive. No decision regarding continuity of agitation has been arrived at in the marathon meeting. They are likely to meet today again.

Direct Tax Code for individual : Salient Features

The New Direct Tax Code (DTC) is said to replace the existing Income Tax Act of 1961 in India. DTC bill was tabled in parliament on 3oth August, 2010. There are big changes now in monsoon session and There are now much less benefits as compared to what were in the original proposal. During the budget 2010 presentation, the finance minister Mr. Pranab Mukherjee reiterated his commitment to bringing into fore the new direct tax code (DTC) into force from 1st of April, 2011, but same could not be fulfilled and now it will be applicable from 1st April, 2012.The following factors of DTC which will impact on salaried people.

CBDT issues clarification on grant of Grade Pay of Rs. 5400 to A. O. Grade II and Sr. Private Secretary

Clarification on grant of Grade Pay of Rs. 5400 in PB-2 on non-functional basisi to AO Grade II and Sr. Private Secretary in the Income Tax Deparement.


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DPC for ACIT promotion started

DPC for 204 posts held yesterday  (05/03/12) and continuing today (06/03/2012). Though not confirmed, but we learnt from sources that there will be regular promotion for 103 Gen category and 101 for SC/ST

I.T. returns may be accessed by mobile soon

Soon you will be able to access details about your income tax returns (ITR) and its processing on your cellphone. As the income tax (I-T) department is all set to enhance host of taxpayer-related services and shift to a new e-return filing platform in the coming months.

The new platform will come with various services, including one which will allow tax payers to check details such as refunds, deductions and tax demands on their cellphone.

Cadre Review : Note finalized, Cabinet nod soon.

It is learnt that CBDT has finalized the Cabinet Note for cadre review and restructure in Income Tax Dept. Within a week or two it will be presented to the PMO for including in the agenda for Cabinet meeting and the cabinet is expected to give it's consent in no time. Though ITGOA has objection in this proposal for reduction in entry level Group A posts with regard to the original proposal, ITEF has demanded early implementation. So the possibility of any unanimous move against the cadre review stands remote.

Good News for ITOs. DPC will be on 6th and 7th march for ACIT Promotion

Reasons for cheer for the promotee officers of Income Tax Dept. The long outstanding demand is going to be fulfilled soon. It is learnt that DPC for promotion to the cadre of ACIT is going to be held in Mumbai for R.Y 2011 and 2011-12.

I-T department staff to go on daylong strike on February 28

Even as the officials continue to stay away from searches and surveys, a section of the staff in the income tax (I-T) department has decided to go on a daylong strike on February 28, to protest against outsourcing, contract policy, price rise and wage revision.

Under the banner of the Income Tax Gazetted Officers' Association (ITGOA), the ITOs, ACITs and DCITs are already protesting to demand promotions pending for the last two years from December 5. The protest was suspended on January 3 as the Central Board of Direct Taxes (CBDT) assured that they would resolve the issue by the third week of January. But since the issue was not resolved, they resumed the protest from January 31 and is still on.

Their protest has affected the search and survey works, thus slowing down the process of tax collection. "To add to it, the strike will affect the work badly. It would cause serious problems as the financial year is getting over in little over a month's time (March 31) and we are far behind the tax collection target," said a senior I-T official on condition of anonymity as he is not authorised to speak to the media.

While around 5000 inspectors and other staff in Mumbai alomgwith the rest of the country will stop work on the designated day, around 1,000 income tax officers (ITOs), assistant commissioners of income tax (ACIT)/deputy commissioners of income tax (DCIT) and promotee joint and additional commissioners would walk out of the offices after the lunch hour. On an all-India level, around 45,000 inspectors and staff would strike work while 8,500 other senior officials would support them.

Mumbai has a tax collection target of Rs2.04 lakh crore.

"We are also supporting the February 28 agitation.

The morale of officers and staff in the department is very low because of many issues including the delay in promotions," said Rajesh Menon, secretary general, ITGOA.

In Mumbai, 80 promotions of officers from the rank of ITO to ACIT or DCIT are pending for the last two years.

The number of pending promotions in the country is more than 400.

(With inputs from Hindustan Times, Mumbai)

MPs want I T exemption limit to be hiked to 5 lacs

Ahead of the budget, some members of a Parliamentary panel scrutinising the Direct Taxes Code (DTC) Bill today pressed for raising the income taxexemption limit to Rs 5 lakh per annum.

The Standing Committee on Finance, which met under the chairmanship of senior BJP leader Yashwant Sinha, has decided to finalise its report by March 2, enabling Parliament to consider the ambitious reforms in direct tax regime.

“The Committee will meet again on February 24 and finalise the report on the DTC Bill by March 2,” sources said.

Some members, they said, “wanted the IT exemption limit to be increased to Rs 5 lakh per annum in view of inflation and erosion in purchasing power of rupee.”

The government is hoping for approval of the DTC Bill by Parliament in the next fiscal. Pending Parliamentary nod, the government may include some of its provisions of the Bill in the budget to be presented on March 16.

The Committee, in its draft report, has suggested that the income tax exemption threshold be enhanced to Rs 3 lakh per annum from Rs 1.8 lakh at present. The Bill proposes the limit of Rs 2 lakh and also provides for revising the tax slabs for all the three categories.

Currently, income of Rs 1.80-5 lakh attracts 10 per cent tax, Rs 5-8 lakh 20 per cent and above Rs 8 lakh, 30 per cent.

It had also proposed retaining the corporate tax rate at the existing 30 per cent.

The DTC, which will replace the Income Tax Act, 1961, was referred to the Standing Committee for scrutiny after introduction in Lok Sabha on August 2, 2010.

ITO to ACIT promotion : Update as on 14..02.12

Recent Update(17.02) : As per our sources, the DPC is likely to be held in February itself. All deficiencies have been cleared.
UPSC issued deficiency letter to CBDT
It is learnt from reliable source that UPSC has sent a deficiency letter to CBDT on 10.02.2012 regarding certain vigilance clearance. The reply of this letter has been obtained from DGIT vigilance but yet to be forwarded to UPSC till 14th Feb. It is expected that it will be forwarded by today. Only then the date of DPC may be announced

ITGOA not participating in 28th February strike

ITGOA NOT TO PARTICIPATE IN 28/02/2012 STRIKE.

BUT WILL STAGE A MASS WALK-OUT BY 2 P.M ON 28/02/2012 AS A SHOW OF CONCRETE SUPPORT.

Cadre Review proposal of Income Tax Dept. as cleared by DOPT

The Department of Personnel & Training has at last cleared the Cadre Restructuring proposal Income Tax Department. There has been a reduction of 398 posts in the Group-A cadres up to the level of DCIT.

The proposal in   respect of Gr.B and Gr.C has been cleared by the Department of Personnel & Training without any changes.

Now the cadre restructuring proposal is expected to go to the Group of Secretaries and then to the Cabinet for clearance. Once it is passed by the Cabinet, the additional posts created will be allocated charge-wise and notification will be issued.

Promotions/recruitment will take place subsequently.

The gist of Cadre Restructuring Proposal of Income Tax Department approved by the Department of Personnel & Training is given below.

Cadre restructuring proposal-  Changes in Gr.A as approved by the Department of Personnel & Training.

SL NO	GRADES	EXISTING	POSTS CLEARED BY DOE	POSTS APPROVED BY DOPT	ADDL. POSTS GIVEN
1.	APPEX (80000) PRINCIPLE CCIT	0	29#	27*	20#(-9)
2.	HAG+(75500-80000) ADDL.CCIT	0	88	50	50(-38)
3.	HAG (67000-79000) CCIT	116	333	150	34(-183)
4.	SAG PB-4(GP-10000) CIT	731	602	831	100(+229)
5.	NFSG PB-4(GP-8700) JAG PB-3(GP-7600) ADDL.CIT/JCIT	1253	1565	1565	312(0)
6.	STS PB-3 (GP-6600) DCIT	1358	1601	1396	36(-207)
7.	JTS PB-3 (5400) ACIT	734	1091	1091	357(0)
8.	RESERVES-PB-3 GP 5400-ACIT	0	760	570	570(-190)
	TOTAL	4192	6069	5678	1479(-398)

Figures in brackets denote number of posts altered by the DOPT vis-à-vis that approved by the DOPT.

*Included posts of Chairman, Members, CBDT which are to be excluded as per DOPT recommendations.

#Excluding the posts of Chairman and Members, CBDT.

Cadre-restructuring proposal Gr.B & C

S No.	Post/ Designation	Grade/Pay Scale	Existing	Proposed
9	ITO Gp-B	PB-2, GP Rs. 5400 & Rs. 4800	4448	6056
10	Sr. PPS PPS Sr. PS PS	PB-3, GP Rs.6600 PB-3, GP Rs.5400 PB-2, GP Rs.4800 PB-2, GP Rs.4600	0 0 117 706	0 0 450 602
		Sub. Total	823	1051
11	Pr. AO Sr. AO AO Gr. II AO Gr. III	PB-3, GP Rs.6600 PB-3, GP Rs.5400 PB-2, GP Rs.4800 PB-2, GP Rs.4600	5 0 35 774	29 0 421 1049
		Sub. Total	814	1499
12	ITI	PB-2, GP Rs.4600	9094	13521
13	Ex Asstt.(SrTA, OS/ Steno I ; II/ DEO)	PB-2, GP Rs.4200	13867	19951
14	TA/ Steno III	PB-2, GP Rs.2400	11409	15123
15	Notice Server	PB-2, GP Rs.1900	2855	4088
16	Group C (Upgraded from Group D)	PB-2, GP Rs.1800	7365	11138
17	Reserves (B & C)	PB-2, GP Rs.1800	nil	1125