Savings Account Of Post Office Information- Postal Department

Post Office Savings Account – Interest payable, Rates, Salient features & Periodicity etc.

Salient features including Tax RebateSalient features including Tax Rebate

• Account can be opened by cash only

• Minimum balance to be maintained in a non-Cheque facility account is INR 50/-

• Cheque facility available if an account is opened with INR 500/- and for this purpose minimum balance of INR 500/-in an account is to be maintained

• Cheque facility can be taken in an existing account also

• Interest earned is Tax Free up to INR 10,000/- per year from financial year 2012-13

• Nomination facility is available at the time of opening and also after opening of account

• Account can be transferred from one post office to another

• One account can be opened in one post office

• Account can be opened in the name of minor and a minor of 10 years and above age can open and operate the account

• Joint account can be opened by two or three adults

• At least one transaction of deposit or withdrawal in three financial years is necessary to keep the account active

• Single account can be converted into Joint and Vice Versa

• Minor after attaining majority has to apply for conversion of the account in his name

• Deposits and withdrawals can be done through any electronic mode in CBS Post offices.

*Inter Post office transactions can be done between CBS post offices

* ATM/Debit Cards can be issued to Savings Account holders( having prescribed minimum balance on the day of issue of card) of CBS Post offices.

Source : https://www.indiapost.gov.in

Recurring Deposit Account (RD) Information - Postal Department

Post Offices : Recurring Deposit Account (RD) – Interest payable, Rates, Salient features & Periodicity etc.

5-Year Post Office Recurring Deposit Account (RD)

Salient features including Tax RebateSalient features including Tax Rebate

• Account can be opened by cash / Cheque and in case of Cheque the date of deposit shall be date of presentation of Cheque

• Nomination facility is available at the time of opening and also after opening of account

• Account can be transferred from one post office to another

• Any number of accounts can be opened in any post office

• Account can be opened in the name of minor and a minor of 10 years and above age can open and operate the account

• Joint account can be opened by two adults

• Subsequent deposit can be made up to 15th day of next month if account is opened up to 15th of a calendar month and up to last working day of next month if account is opened between 16th day and last working day of a calendar month.

• If subsequent deposit is not made up to the prescribed day, a default fee is charged for each default, default fee @ 0.05 rs for every 5 rupee shall be charged. After 4 regular defaults, the account becomes discontinued and can be revived in two months but if the same is not revived within this period, no further deposit can be made.

• *If in any RD account, there is monthly default amount ,  the depositor has to first pay the defaulted monthly deposit with default fee and then pay the current month deposit. This will be applicable for both CBS and non CBS Post offices.

• There is rebate on advance deposit of at least 6 installments

• Single account can be converted into Joint and Vice Versa

• Minor after attaining majority has to apply for conversion of the account in his name

• One withdrawal up to 50% of the balance allowed after one year

Full maturity value allowed on R.D. Accounts restricted to that of INR. 50/- denomination in case of death of depositor subject to fulfillment of certain conditions.

In case of deposits made in RD accounts by Cheque, date of credit of Cheque into Government accounts shall be treated as date of deposit.

Source : https://www.indiapost.gov.in

Time Deposit Account Information - Postal Department

Post Offices : Post Office Time Deposit Account (TD) – Interest payable, Rates, Salient features & Periodicity etc.

Salient features including Tax RebateSalient features including Tax Rebate

• Account may be opened by individual

• Account can be opened by cash /Cheque and in case of Cheque the date of realization of Cheque in Govt. account shall be date of opening of account

• Nomination facility is available at the time of opening and also after opening of account

• Account can be transferred from one post office to another

• Any number of accounts can be opened in any post office

• Account can be opened in the name of minor and a minor of 10 years and above age can open and operate the account

• Joint account can be opened by two adults.

• Single account can be converted into Joint and Vice Versa

• Minor after attaining majority has to apply for conversion of the account in his name

• *In CBS Post offices ,when any TD account is matured, the same TD account will be automatically renewed for the period for which the account was initially opened .Example 2 Years TD account will be automatically renewed for 2 Years. Interest rate applicable on the day of maturity will be applied

• The investment under 5 Years TD qualifies for the benefit of Section 80C of the Income Tax Act, 1961 from 1.4.2007.

Source : https://www.indiapost.gov.in

Monthly Income Scehme Information - Postal Department

Post Office MIS – Interest payable, Rates, Salient features & Periodicity etc.

Salient features including Tax RebateSalient features including Tax Rebate

• Account may be opened by individual.

• Account can be opened by cash/Cheque and in case of Cheque the date of realization of Cheque in Govt. account shall be date of opening of account.

• Nomination facility is available at the time of opening and also after opening of account.

• Account can be transferred from one post office to another.

• Any number of accounts can be opened in any post office subject to maximum investment limit by adding balance in all accounts.

• Account can be opened in the name of minor and a minor of 10 years and above age can open and operate the account.

• Joint account can be opened by two or three adults.

• All joint account holders have equal share in each joint account.

• Single account can be converted into Joint and Vice Versa.

• Minor after attaining majority has to apply for conversion of the account in his name.

• Maturity period is 5 years from 1.12.2011.

• Interest can be drawn through auto credit into savings account standing at same post office, through PDCs or ECS./In case of MIS accounts standing at CBS Post offices, monthly interest can be credited into savings account standing at any CBS Post offices.

• Can be prematurely en-cashed after one year but before 3 years at the discount of 2% of the deposit and after 3 years at the discount of 1% of the deposit. (Discount means deduction from the deposit.)

A bonus of 5% on principal amount is admissible on maturity in respect of MIS accounts opened on or after 8.12.07 and up to 30.11.2011. No bonus is payable on the deposits made on or after 1.12.2011.

Source : https://www.indiapost.gov.in

No Ceiling For Entitlement Of Night Duty Allowance – MoD

No ceiling for entitlement of Night Duty Allowance – MoD

Government of India

Ministry of Defence

(Department of Defence)

D(Civ.ll)

Subject: Night Duty Allowance (NDA) — Clarification regarding Fixation of ceiling of pay for entitlement.

Ref: CGDA UO No. AT/ll/2366/NDA/V01-X dated 22.01.2016 and last reminder dated 13.12.2016.

In compliance of Hon. CAT, Jodhpur Bench Order dated 5 Nov 2009, MOD issued letter dated 8th May 2015 to provide that the payment of Night Duty Allowance (NDA) shall be made on the basis of the current pay of the employees who are deployed for performing the duty during the night hours. Accordingly, Principal Controller of Accounts (PCA)(Fys), Kolkata issued letter dated 29.05.2015 to define the new formula for computation of NDA. This formula provides that the amount of NDA shall be computed by taking employee’s current Band Pay & Grade Pay plus DA divided by 195 (i.e. total working hours in a month). In this manner, the Hon’ble CAT order, as upheld by Hon’ble High Court/Supreme Court stands implemented in letter & spirit.

2. Subsequently, PCA (FYS) Kolkata issued letter dated, 9 Sep 2015 to prescribe the pay ceiling corresponding to Rs. 2200 per month (specified in terms of DoPT 0M dated 4 Oct 1989) to determine entitlement of staff for night duty. However, the corresponding pay so prescribed was not accepted by the OFB Administration. As per OFB’s calculations, the current pay corresponding to Rs.2200 is not only different, but there is wide disparity in both the figures. OFB has stated that they cannot accept this unilateral decision of PCA(Fys) because the calculations are incorrect. Besides, this has led to industrial unrest at all Ordnance Factories. The staff side members have expressed displeasure and have threatened to stop Night duty at all Ordnance Factories. OFB Admn apprehends serious loss of production and have requested MOD to examine the issue and intimate corresponding pay of Rs.2200 so that the employees could be detailed accordingly for performing duty at night hours. Likewise, CGDA has also sought clarification from MOD on the same issue.

3. The matter was examined in MOD in consultation with MoD(Fin) and DoPT. DoPT stated that the calculations made by both PCA (FYS) and OFB are incorrect and prescribed a different formula to compute the current pay corresponding to Rs.2200 per month that existed during 1989. Both PCA(Fys) and OFB have rejected this formula for being cumbersome and unworkable. This office also supports their views because using this formula entails tedious calculations of pay of each employee ever since their date of joining service, running into decades. In a nutshell, attempts to find out the current pay equivalent to Rs.2200 pm have not been fruitful in spite of consultations with DoPT and MoD(Fin), and the stalemate on the issue continues across all the defence establishments, leading to confusion and possible loss of productivity.

4. On further consideration, it has been observed that the DOPT 0M No. 12012/4/86-Estt.(Allowances) dt. 04.10.1989 on the subject of NDA lays down following condition to determine the entitlement for NDA:

(Clause a) – The ceiling of pay for entitlement of NDA shall be Rs. 2200/- p.m.

(Clause b)- There will however be no ceiling for entitlement of NDA in respect of officials who are, at present, getting this benefit as per existing criteria.

5. Clause (a)

The pay ceiling of Rs. 2200 per month mentioned in the DoPT in their 0M dated 4 Oct 1989, was prescribed more than 25 years ago. During the intervening period, two Pay Commissions have come into force which have altered the pay structure of the employees drastically. In spite of an altogether different landscape of the pay structure, the DoPT did not come up with any revised order to amend the provisions of their 0M dated 4 Oct 1989 relevant to the current pay structure. In the absence of clear guidelines, the management of Defence Establishments resorted to adhoc measures to keep their organizations running during the night hours in the intervening period. Proposals sent by MOD to DoP&T at various stages in the light of various judicial pronouncements, were rejected, sometimes on the grounds that the DoPT orders are not applicable to industrial employees. In the current phase, the efforts being made by the defence authorities to adhere to the prescribed pay limit have proved to be frustrating because of the practical difficulties being faced by both Accounting Authorities and the Defence Estts who, due to tedious and lengthy calculations, have not been able to reach a consensus to determine the level of staff who can be deployed for performing the night duty. In the current scenario where the pay ceiling of Rs.2200 pm. is obsolete and meaningless, and the DoPT have avoided prescribing a realistic ceiling that would be relevant to the current pay structure of the Government employees, it is left upon MOD to find a solution. Even though MOD proposes to take up the matter with DoPT again for prescribing a pay ceiling based on the current pay structure, it is however felt that the decision thereon shall have reflection over the future cases only and is not likely to resolve the current cases.

6. Clause (b)

The provision in the DOPT 0M dated 4 Oct 1989 (highlighted above in para 4) permits entitlement of NDA without any ceiling in respect of officials “who were getting this benefit (at that time) as per existing criteria”. In view of the fact that the pay ceiling prescribed in clause (a) is of no relevance today, it has become necessary to resolve the imbroglio by resorting to the second provision given in this 0M – named as clause (b). It has been decided that till such time the new pay parameters based on the current pay structure to determine the entitlement for NDA are prescribed by the nodal Ministry, OFB/Field Offices/Defence Establishments are allowed to determine the entitlement of their employees for the purpose of NDA in terms of this clause in the DoPT 0M dated 04.10.1989 that provides that there shall be no ceiling for entitlement of NDA in respect of such officials who were getting this benefit at that point of time as per extant criteria. So as to give a formal and concrete shape to this, the OFB and other Defence Establishments are being advised to issue a one-time office order, specifying in definite terms, the designations/ categories/levels of non-gazetted employees (Industrial and Non Industrial) who were getting this benefit of NDA in accordance with extant instructions i.e. DoPT 0M dated 4 Oct 1989, so as to ensure their seamless deployment at night shifts and payment of NDA based on current pay.

7. CGDA is, therefore, requested to issue necessary directions to their lower formations to deal with the cases of payment of NDA accordingly.

8. This issues with the approval of Additional Secretary.

sd/-

(Anil Kumar)

Deputy Secretary to the Govt of India

Tel: 23011681

Source: http://www.gservants.com/

Air Travel is allowed for Central Government employees from Level 6 and above

Air Travel is allowed for Central Government employees from Level 6 and above

Now the Air Travel is allowed for Central Government employees those who are in Level 6 (Pre Revised Rs.4200 Grade Pay) and above. It is Good News for those who are in Level 6 to 8, as the Travel entitlement for them so far is AC II by Train only. Now the are entitled to Travel By Air in Economy Class.

The Central Government published Gazette Notification for 7th CPC Allowances on 6th July 2017. The 7th CPC has recommended that 53 allowances be abolished and 37 be subsumed in an existing or a newly proposed allowances. But the Government has decided to retain 12 Allowances from that 53 Allowances and allowed 3 Allowances to continue as separate allowance from these 37 Allowances recommended to be subsumed. Finally the Committee on Allowances and ECoS after the discussion with stakeholders, recommended to Modify 34 Allowances [See the List of 34 Allowances and Modifications]

The 7th CPC has recommended that Travelling Allowances can be continued without any changes. But the Government has decided to extend the Air Travel Entitlement to Govt Servants those who are in Level As per the Gazette Notification issued by Government of India, the Travelling allowance is rationalised to enable the Central Staffs from Level 6 to 8 to Travel by Air . The Official concerned clarified that, this Modified Travel Entitlement will be extended to LTC also.

Payment on account of discontinued allowances – Finance Ministry Orders

Payment on account of discontinued allowances – Finance Ministry Orders

F.No.29/1/2017 FE.II(B)

Government of India

Ministry of Finance

Department of Expenditure

New Delhi, dated the 11th July, 2017

Office Memorandum

Subject:- Payment on account of discontinued allowances – Regarding.

The undersigned is directed to inform that the recommendations of the 7th CPC on allowances have been accepted by the Government with 34 modifications. Resolution in this regard has been published on 6th July, 2017.

2. In this regard, attention is drawn to Para 8.2.5 of the Report of the 7th CPC wherein it has been mentioned that any allowance, not mentioned in the Report (and hence not reported to the Commission), shall cease to exist immediately. In case there is any demand or requirement for continuation of an existing allowance which has not been deliberated upon or covered in this report, it should be re-notified by the Ministry concerned after obtaining due approval of Ministry of Finance and should be put in the public domain.

3. As the recommendations of the 7th CPC on allowances have come into effect from 1st July, 2017, disbursement of all existing allowances which have not been specifically recommended for continuation in terms of the Resolution dated 6th July, 2017 shall be discontinued from the salary of the month of July, 2017.

4. In view of the nature of the Allowances specific to Ministry of External Affairs, these allowances were not covered by the 7th Central Pay Commission. Hence this order will not be applicable to allowances specific to Ministry of External Affairs.

5. It shall be the responsibility of the Heads of the Department to ensure that no bills relating to disbursement in respect of such allowances is drawn by the Head of Office/Drawing Disbursing Officers under their purview/jurisdiction. Pay and Accounts Officers shall ensure that no payment is effected if any such bill relating to the disbursement of the discontinued allowances is submitted to them. If such bills are received, they should be returned to the DDO and intimation thereof shall also be given to the Head of the Department and the Chief Controller of Accounts.

sd/-

(Annie George Mathew)

Joint Secretary to the Government of India

Click Here To View The Order

Authority: www.deo.gov.in

Senior Citizen Savings Scheme Information - Postal Department

Post Offices : Senior Citizen Savings Scheme (SCSS) – Interest payable, Rates, Salient features & Periodicity etc.

Salient features including Tax RebateSalient features including Tax Rebate

• An individual of the Age of 60 years or more may open the account.

• An individual of the age of 55 years or more but less than 60 years who has retired on super annuation or under VRS can also open account subject to the condition that the account is opened within one month of receipt of retirement benefits and amount should not exceed the amount of retirement benefits.

• Maturity period is 5 years.

• A depositor may operate more than one account in individual capacity or jointly with spouse (husband/wife).

• Account can be opened by cash for the amount below INR 1 lac and for INR 1 Lac and above by Cheque only.

• In case of Cheque, the date of realization of Cheque in Govt. account shall be date of opening of account.

• Nomination facility is available at the time of opening and also after opening of account.

• Account can be transferred from one post office to another

• Any number of accounts can be opened in any post office subject to maximum investment limit by adding balance in all accounts.

• Joint account can be opened with spouse only and first depositor in Joint account is the investor.

• Interest can be drawn through auto credit into savings account standing at same post office, through PDCs or Money Order.

• In case of SCSS accounts, quarterly interest shall be payable on 1st working day of April, July, October and January. It will be applicable at all CBS Post Offices.

• *Quarterly interest of SCSS accounts standing at CBS Post offices can be credited in any savings account standing at any other CBS post offices.

• Premature closure is allowed after one year on deduction of an amount equal to1.5% of the deposit & after 2 years 1% of the deposit.

• After maturity, the account can be extended for further three years within one year of the maturity by giving application in prescribed format. In such cases, account can be closed at any time after expiry of one year of extension without any deduction.

• TDS is deducted at source on interest if the interest amount is more than INR 10,000/- p.a.

Investment under this scheme qualifies for the benefit of Section 80C of the Income Tax Act, 1961 from 1.4.2007.

Source : https://www.indiapost.gov.in

Fifteen Year PPF Information - Postal Department

Post Offices : 15 year Public Provident Fund Account (PPF​) – Interest payable, Rates, Salient features & Periodicity etc.

Salient features including Tax RebateSalient features including Tax Rebate

• An individual can open account with INR 100/- but has to deposit minimum of INR 500/- in a financial year and maximum INR 1,50,000/-

• Joint account cannot be opened.

• Account can be opened by cash / Cheque and In case of Cheque, the date of realization of Cheque in Govt. account shall be date of opening of account.

• Nomination facility is available at the time of opening and also after opening of account. Account can be transferred from one post office to another.

• The subscriber can open another account in the name of minors but subject to maximum investment limit by adding balance in all accounts.

• Maturity period is 15 years but the same can be extended within one year of maturity for further 5 years and so on.

• Maturity value can be retained without extension and without further deposits also.

• Premature closure is not allowed before 15 years.

• Deposits qualify for deduction from income under Sec. 80C of IT Act.

• Interest is completely tax-free.

• Withdrawal is permissible every year from 7th financial year from the year of opening account.

• Loan facility available from 3rd financial year.

No attachment under court decree order.

The PPF account can be opened in a Post Office which is Double handed and above.

Source : https://www.indiapost.gov.in

Sukanya Samriddhi Accounts Information - India Post

Post Offices:Sukanya Samriddhi Accounts -Interest payable, Rates, Salient features & Periodicity etc.

Salient features including Tax RebateSalient features including Tax Rebate

• A legal Guardian/Natural Guardian can open account in the name of Girl Child.

• A guardian can open only one account in the name of one girl child and maximum two accounts in the name of two different Girl children.

• Account can be opened up to age of 10 years only from the date of birth. For initial operations of Scheme, one year grace has been given. With the grace, Girl child who is born between 2.12.2003 &1.12.2004 can open account up to 1.12.2015.

• If minimum Rs 1000/- is not deposited in a financial year, account will become discontinued and can be revived with a penalty of Rs 50/- per year with minimum amount required for deposit for that year.

• Partial withdrawal, maximum up to 50% of balance standing at the end of the preceding financial year can be taken after Account holder’s attaining age of 18 years.

• Account can be closed after completion of 21 years.

• Normal Premature closure will be allowed after completion of 18 years/provided that girl is married.

Source: https://www.indiapost.gov.in

National Savings Certificates Information - Postal Department

Post Offices : National Savings Certificates (NSC)-Interest payable, Rates, Salient features & Periodicity etc.

National Savings Certificates (NSC)

Kisan Vikas Patra Information - Post-Office

Post Offices : kisan vikas patra – Interest payable, Rates, Salient features & Periodicity etc. 

Salient features including Tax Rebate Salient features including Tax Rebate

• Certificate can be purchased by an adult for himself or on behalf of a minor or by two adults.

• KVP can be purchased from any Departmental Post office.

• Facility of nomination is available.

• Certificate can be transferred from one person to another and from one post office to another.

• Certificate can be en cash after 2 & 1/2 years from the date of issue.

Investment under this scheme qualifies for the benefit of Section 80C of the Income Tax Act, 1961 from 1.4.2007.

https://www.indiapost.gov.in