Are arrears of salary or Pension taxable? – Income Tax FAQ

​What is considered as salary income?
section 17​​ of the Income-tax Act defines the term ‘salary’. However, not going into the technical definition, generally whatever is received by an employee from an employer in cash, kind or as a facility [perquisite] is considered as salary.

​What are allowances? Are all allowances taxable?

Allowances are fixed periodic amounts, apart from salary, which are paid by an employer for the purpose of meeting some particular requirements of the employee. E.g., Tiffin allowance, transport allowance, uniform allowance, etc.

There are generally three types of allowances for the purpose of Income-tax Act – taxable allowances, fully exempted allowances and partially exempted allowances.​

​My employer reimburses to me all my expenses on grocery and children’s education. Would these be considered as my income?
​Yes, these are in the nature of perquisites and should be valued as per the rules prescribed in this behalf.​​

​During the year I had worked with three different employers and none of them deducted any tax from salary paid to me. If all these amounts are clubbed together, my income will exceed the basic exemption limit. Do I have to pay taxes on my own?
​Yes, you will have to pay self-assessment tax and file the return of income.​

​Even if no taxes have been deducted from salary, is there any need for my employer to issue Form-16 to me?

​​Form-16 is a certificate of TDS. In your case it will not apply. However, your employer can issue a salary statement.​

​Is pension income taxed as salary income?
​Yes. However, pension received from the United Nations Organisation is exempt.​​

​Is Family pension taxed as salary income?
​No, it is taxable as income from other sources.​

​If I receive my pension through a bank who will issue Form-16 or pension statement to me- the bank or my former employer?
​​The bank.​

​Are retirement benefits like PF and Gratuity taxable?
​​In the hands of a Government employee Gratuity and PF receipts on retirement are exempt from tax. In the hands of non-Government employee, gratuity is exempt subject to the limits prescribed in this regard and PF receipts are exempt from tax, if the same are received from a recognised PF after rendering continuous service of not less than 5 years.​

​Are arrears of salary taxable?

​​​​Yes. However, the benefit of spread over of income to the years to which it relates to can be availed for lower incidence of tax. This is called as relief u/s 89​ of the Income-tax Act.​​

​Can my employer consider relief u/s 89 for the purposes of calculating the TDS from salary?

​​Yes, if you are a Government employee or an employee of a PSU or company or co-operative society or local authority or university or institution or association or body. In such a case you need to furnish Form No. 10E to your employer. ​​

​My income from let out house property is negative. Can I ask my employer to consider this loss against my salary income while computing the TDS on my salary?
​Yes, however, losses other than losses under the head ‘Income from house property’ cannot be set-off while determining the TDS from salary.​​

​Is leave encashment taxable as salary?
​​It is taxable if received while in service. Leave encashment received at the time of retirement is exempt in the hands of the Government employee. In the hands of non-Government employee leave encashment will be exempt subject to the limit prescribed in this behalf under the Income-tax Law.​

​Are receipts from life insurance policies on maturity along with bonus taxable?​
​​​
As per section 10(10D), any amount received under a life insurance policy, including bonus is exempt from tax. However, following receipts would be subject to tax:

Any sum received under sub-section (3) of section 80DD; or
Any sum received under Keyman insurance policy; or
Any sum received in respect of policies issued on or after April 1st, 2003, in respect of which the amount of premium paid on such policy in any financial year exceeds 20% (10% in respect of policy taken on or after 1st April, 2012) of the actual capital sum assured; or
Any sum received for insurance on life of *specified person (issued on or after April 1st 2013) in respect of which the amount of premium exceeds 15% of the actual capital sum assured.

* Any person who is –

i) A person with disability or severe disability specified under section 80U​; or

ii) suffering from disease or ailment as specified in the rule made under section 80DDB.

Following points should be noted in this regard:
Exemption is available only in respect of amount received from life insurance policy.
Exemption under section 10(10D)​ is unconditionally available in respect of sum received for a policy which is issued on or before March 31, 2003.
Amount received on the death of the person will continue to be exempt without any condition.​

(Source- Govtempdiary)

Can the Army, Navy and Air HQ do something? As RailwayPay element in the case of Loco Inspectors —55% addition to 7th CPC Pay matric for serving and 30% addition to 7th CPC pay matrix for retirement benefits

Dear all Veteran,

Please go through the below mentioned Railway Board orders granting 55% additional pay element (7th CPC) for Running Staff of railways. 

The NFIR took up with Railway Borad to give 30% additional element for the retiered running staff, which was missed out in the railway order.

That means the railway's running staff (serving is getting 55% additional basic) of their regulay pay scale and the retired staff gets an additional 30% more on their pensions.

There must be a strong reason for this special pay/pension benefits extended to running staff in view of strenuous/hard/long work in the running train etc. 

Why such a facility is not extended to Armed Forces Personnel, for their tenures in hard/difficult field areas.

Yes, compensation is given in the form of FIELD/HARD AREA allowance, which is not counted in Basic Pay or Basic Pension. 

But why not on the above lines as Railway Board Orders. 

Can the Army, Navy and Air HQ do something?

SGT GV NARAYANA, AIR VETERAN

blogger

============================================

GOVERNMENT OF INDIA
MINISTRY OF RAILWAYS
(RAILWAY BOARD)

No. E(P&A)II-2015/RS-25 New Delhi,

dated: 24.01.2017

The General Manager,
All Indian Railways
and Production Units.

Sub.:- Pay element relating to Running Staff after the recommendations of Seventh CPC.

It has come to notice that on some of the zonal railways add-on pay element of 55% is not being reckoned for calculation of emoluments for the purpose of retirement benefits for the running staff on the basic pay fixed in the 7th CPC pay structure. As per Rule 924 (iii) of IREM-I that is still valid, 55% of Basic Pay is reckoned as add-on pay element for calculation of pension and DCRG of the Running Staff. It is therefore advised that calculation of retirement benefits of the running staff may be made as per extant Rule 924 (iii) of IREM-I on the revised basic pay in the 7th CPC.

2. This issues with the concurrence of the Finance Directorate of the Ministry of Railways.

(Dhruv Singh)
Executive Director
Pay Commission-I
Railway Board 
Tele.fax No. 23378355.  

                                                                                                        Signed Copy                                                                  ==============================================                                                                

Registration No. : RTU/Nnn/31/2012

National Federation of Indian Railwaymen
3, CHELMSFORD ROAD, NEW DELHI – 110 055 
Affiliated to : INTUC/ITF

No.IV/RSAC Conf./Pt.VII

Dated: 08/02/2017

The Secretary (E),
Railway Board,
New Delhi

Dear Sir,

Sub: Pay element in the case of Loco Inspectors — 30% addition to 7th CPC pay matrix for retirement benefits — reg.

Ref: (i)NFIR’s demand in the Board PNM meeting held. on 22’1 & 23rd December, 2016 for continuance of 55% & 30% pay element on 7th CPC pay matrix levels.

(ii)Railway Board’s letter No.E(P&A)II-2015/RS-25 dated 24/01/2017.

          Pursuant to NFIR’s references and discussions held in the Railway Board PNM meeting on 22nd and 23rd December, 2016, the Railway Board vide letter dated 24/01/2017 has issued instructions to the GMs of Zonal Railways to reckon add-on pay element of 55% on 7th CPC pay matrix levels for calculation of emoluments for the purpose of retirement benefits and 30% for other purposes to the running staff as per IREM provisions and extant instructions.

        In the above context, NFIR brings to the notice of the Railway Board that in terms of the extant instructions (Railway Board’s letter No.E(P&A)II/83/RS-10(IV) dated 25/11/1992) contained in para 5.5 of Board’s letter dated 25/11/1992, the running staff deployed as Loco Inspectors are entitled for 30% addition to their basic pay for the purpose of pensionary benefits. Those Loco Inspectors retired/retiring w.e.f. January 2016 are required to be granted retirement benefits with 30% add on to their pay in the 7th CPC pay matrix level, but, however in the absence of Railway Board’s instructions, some Zonal Railways are entertaining doubts and denying benefit of 30% on revised pay matrix.

      NFIR, therefore, requests the Railway Board to issue suitable clarification to the Zonal Railways to ensure 30% addition to the 7th CPC pay matrix of Loco Inspectors for payment of retiral benefits similar to running staff for whom 55% addition is allowed. A copy of the instruction issued may be endorsed to the Federation.

Yours faithfully
(Dr M. Raghavaiah) 
General Secretary

Signed Copy

(Source - Govtempdiary): 

VISIT PRELIMINARY REPORT OF TEAM TSEWA TO MEET ADJUTANT GENERAL (AG), DIRECTOR GENERAL MANPOWER PLANNING (DGMP) , MD, ECHS & CHAIRMAN ARMY PAY COMMISSION CELL(APCC), DELHI FROM 07 TO 09 FEB 2017

Dear Members of T SEWA,

1. Pursuant to the directions of Core Committee in their Meeting held on 01 Feb 2017, the team T SEWA proceeded to Delhi to meet Adjutant General (AG), Army HQ, Managing Director (MD) ECHS, Director General Manpower Planning (DGMP), Chairman Army Pay Commission Cell and other senior officers. The team from Secunderabad comprised of the following:-

(a) Brig CS Vidyasagar (Rtd) - President, T SEWA

(b) Cmde Suhdeer Parakala (Rtd) - President, T SEWA, South, West & East

(c) Sgt Lawrence Joseph (Rtd) - Vice- President, T SEWA

2. The meeting was made possible due to commendable efforts put in by Col Ajit Singh Rana, President, North Zone, T SEWA.

3. The team T SEWA ex-Gurgaon comprised of the following:-

(a) Brig SKS Rana, VSM(Rtd) - Head Legal Cell, T SEWA

(b) Brig Anil Srivastava, VSM (Rtd) - Advocate for T SEWA

(c) Col Ajit Singh Rana (Rtd) - President, North Zone T SEWA

4. The team T SEWA assembled at Battle Honours’ Mess, Delhi Cantt at 2030 hrs (due to heavy rush) on 07 Feb 2017 and finalised the programme for next two days. The action plan was made as to what all are required to be covered during our presentation to Adjt Gen, Army HQ, MD ECHS and Chairman Pay Commission Cell.

5. Activities. The following activities took place on 08 and 09 Feb 2017.

08 Feb 2017.: Lt Gen Rakesh Sharma, PVSM, UYSM, AVSM, VSM, ADC, Ph D, Adjutant General, Army HQ delivered a talk titled “Current Challenges of Human Resources in the Indian Army” in USI building, EDP Enclave, Delhi Cantt (Opposite to Office of Director General Information Systems near Shankar Vihar) at 1100 hrs. A large number of serving and retired officers attended the event. Team T SEWA also attended the event. It was very useful talk covering so many issues which the Indian Army is confronted with. Since the Speaker requested not to put the details of the talk in public domain, I am only giving list of issues he covered with very little data. Views of Army HQ on various issues and action taken is not given. The detailed mail containing important aspects is being sent to Col Ajit Singh Rana, President, North Zone, T SEWA who will forward it to AG for his clearance. Once approval is received all data of each issue will be put up in the public domain. The session was chaired by former Adjutant General Lt Gen Mukesh Sabharwal, PVSM, AVSM & Bar, VSM(Rtd). Lt Gen PK Singh (Rtd), Director USI introduced former and present AG to the audience. The topics covered are:-

(a) Type of Recruitment in the Indian Army. Shortcomings and improvements instituted for smooth conduct of recruitment to avoid litigation in AFTs later.

(b) Intake in the Indian Army in the Officer Cadre. Limited vacancies in the ranks of Cols to Lt Gen forces Indian Army to take more Short Service Commissioned officers. The SSCO entry of 5+5 year tenure is being made very attractive with an assured second career.

(c) Cadre Review. All Central Govt ministries have cadre review once in five years. It is only Armed Forces which does not have this benefit.

(d) Electoral Reforms. Postal ballot is not feasible in the limited time Election Commission of India gives. Armed Forces have taken a lead to get electronic voting by which almost 12 lakhs serving soldiers are likely to cast their votes deployed even in remote areas in all future elections.

(e) Buddy System. Being critically examined and a solution is going to be found out very soon.

(f) Litigation. 17,000 cases on the average are being defended at any time. However, if a judgment is given in favour of Ex-Servicemen (ESM) in all most all cases, Army HQ will not contest it in the hon’ble Supreme Court. But to get a benefit, the ESM who are not litigants in that particular case gone in favour of veterans has no option but to go to AFT. Personal Services (PS) Directorate is working very hard in the litigations which could be reduced.

(f) Directorate of Indian Army Veterans (DIAV). Army is committed to the welfare of ESMs and Family pensioners. All of us will become Veterans one day or the other. AG himself will superannuate on 31 Mar 2017. AGs branch has taken initiative to make DIAV fully functional with the goal of reaching out to 25 lakh ESMs and family pensioners on continual basis.

DIAV is headed by a serving Brigadier with staff of all ranks. It has a full-fledged web site. All grievances projected by ESMs and Family Pensioners are being looked into on priority and actions required to redress their grievances is being undertaken.

Social Media & Responsibility of Veterans. The AG emphasised that Social media and Electronic media can influence the public to a great extent. Sometime ESMs are putting in social media incorrect information showing Service HQs in poor light. Some of them are showing Service HQs as villains without even checking the stand of Service HQ on many issues. Min of Def sends all grievances received at PMO or office of Raksha Mantri to service HQ who have to analyse the grievance. The Service HQ have either take action suo-moto or recommend to the Ministry on grievances referred to them. Even when Service HQ recommends a genuine grievance to be approved by the Min of Def, the same is not given in due to incorrect and at times false information given by ESMs in Social media. Therefore many a time ESMs are only jeopardising their own cases though Army HQ wants to help the cause of ESMs.

AG requested all veterans to check up for correct information from Army HQ before hitting the key board. Army HQ stands by the veteran community to help them in all respects. AG requested that conjecture and half-truths has no place.

AGs branch is in constant touch with CPPCs of all pension paying branches, DPDO, CGDA to ensure legitimate entitlements are given correctly and in time. SBI and PNB have placed their representatives in the office of PCDA (Pensions) Allahabad to ensure there is total synergy between PSA and PDA. Other banks are being persuaded to follow the lead given by SBI and PNB.

(g) Transition to Second Career. AGs branch has taken up with Ministry of Skill Development to train all retiring 60,000 JCOs and OR every year to get a decent second career. PPOs will be generated eight months before their date of retirement.

(h) ECHS. The problems faced by veterans and family pensioners is well known. The shortage of medicines and procedural delays are looked into on priority. The aim is every ECHS member must get best medical treatment in Empanelled hospitals. Cashless and hassle free medical treatment is the aim. Goal is to cut down delays in payment of bills and with initiatives taken, it is likely not to exceed 30 days.

(j) 7th CPC. Anomalies of 6th CPC are being constantly pursued with Min of Def. Core anomalies of 7th CPC have been vigorously pursued. AG briefed all committees constituted to resolve anomalies of 7th CPC and briefed them where the Defence Services have been short changed.

Question- Answer Session.: As time given to him was running out, during question answer session he covered the following issues.

(a) NFU. Many ESMs are under wrong impression that Service HQs have opposed NFU. On the other hand when Armed Forces are not included in NFU, Service HQ have been taking up the issue with Min of Def right from 2009. Even the issue was agitated in front of the 7th CPC.

(b) JAG Branch. JAG branch officers are not members of Bar Council of India. Hence they cannot defend our cases in the AFTs and courts of law. The Central Govt Standing Counsel (CGSC) is the one who is empowered to defend the cases.

© Tri Services Act. Since last three years all three Services HQs have come together to prepare Tri Services Act. Hopefully it will see light of the day.

Presentation on Grievances of ESMs and Family Pensioners. Since AG has to suddenly go out of Station in the afternoon of 08 Feb 2016, he requested T SEWA to make the presentation to DGMP who has to take action on our grievances. Accordingly at 1500 hrs on 08 Feb 2017 the team T SEWA assembled in the office of DGMP in South block, Army HQ. MD ECHS, Chairman Pay Commission Cell, Offg ADGPS, a number of staff officers of AGs Branch attended the presentation. Lt Gen Gopal, SM, 8 Gorkha Rifes (GR) received the team T SEWA warmly and thanked them for sparing their time to come all the way from Secunderabad to Delhi to make the presentation. Such frequent meetings between ESMs and AGs branch will resolve many misapprehensions that exist in the minds of ESMs about Service HQs. Maj Gen Bam, MD ECHS and Maj Gen Kapil Aggarwal, Chairman, Army Pay Commission Cell, Brig Sanjay Singh, Offg ADG PS with their staff Officers were present.

6. Brig CS Vidyasagar (Rtd) made a presentation on the grievances of ESMs and Family pensioners. The four major issues covered were :-

(a) Anomaly in Circular 568 by which JCOs, OR and Family Pensioners were paid less Arrears due to Adoption of Minimum of Fitment Table of SAI 1/S/2008 whereas the Pension was Paid to them at Maximum of the Fitment Table from Jul 2009 to Jun 2014.

(b) Problems Faced by ESMs and Family Pensioners in ECHS.

© Functioning of Record Offices

(d) Zilla Sainik Boards and Rajya Sainik Boards.

7. The MS PP slides of the presentation are attached.

8. The assurance given is AGs branch is totally committed to welfare of ESMs and Family pensioners. They desired such meeting between ESMs and Army HQ at frequent interavals is most welcome. AGs branch will give authentic information to ESMs so that no misgiving exist in the minds of ESMs and Family Pensioners about Service HQs.

Points from MD ECHS

9. I covered excellent work undertaken by all MDs, ECHS from the time of its inception. Maj Gen Bam on seeing the presentation accepted that certain problems are existing and all efforts are being undertaken to find solution at the earliest. He assured he is constantly in touch with Min of Def, AGs Branch, ECHS Regional HQs, Polyclinics and even veterans. He stated any one can ring him up at any time of the day or night to project his problem. He wanted veterans to understand his limitations.

10. Medicines. MD ECHS, Army HQ informed us that he has taken up the perennial problem of shortage or non-availability of medicines in MHs, clearance of bills of empanelled hospitals, budget constraints, problems created by IFA system etc. Army Cdr, Southern Comd visited Secunderabad and found that MH Golconda has no problem with IFA though he is a difficult person to convince. All formalities to get medicines not available in MHs to be supplied by Apollo pharmacy was completed and at the last minute the agreement was cancelled. Effort to get Authorised Local Chemist is almost through and shortage of medicines is likely to become thing of the past.

09 Feb 2017

11. Chairman Army Pay Commission Cell, Maj Gen Kapil Aggarwal approved as Lt Gen and will take over as Comdt MCEME by end Feb 2017 invited the team T SEWA to have a detailed interaction with him and his staff in his office (Room No 2, Sena Bhawan) at 1100 hrs on 09 Feb 2017. The team T SEWA discussed many issues with the Chairman, Deputy Chairman and two staff officers on various issues affecting pension and arrears, anomalies in 7th CPC. Since stand of Army HQ cannot be put in the public domain the same is not being included in this mail.

12. Maj Gen Kapil Aggarwal accepted the suggestion of T SEWA that there is a need to have a permanent Tri Services Pay Commission Cell so that continuity is assured. Such a cell will be able to interact with other Ministries and get best deal for Armed Forces and pensioners in subsequent pay commissions. 

13. The Chairman Army Pay Commission Cell advised all veterans to read not only 7th CPC Report pertaining to the Armed Forces but of other ministries and know how they have got a better deal. The Army Pay Commission cell has brought that a Track Man of Railways which is a unskilled worked category whose grade pay was Rs 1,800 in 6th CPC got a jump to equivalent of Rs 2,400 in 7th CPC. Similarly even CAPFs got a better deal in 7th CPC. Every BSF constable gets benefit of field area if he is in BOP. If the walking distance is 5 km or more he gets additional allowance of 25%. Similarly a Lascar (Non Combatant) in Coast Guard got a better deal than a Sepoy of Armed Forces.

14. Deputy Chairman, Army Pay Commission cell gave us all actions taken by their cell to get better deal such as getting pension from Jan 2016 = 2.57 x Pension as on Dec 2015, improvement of index of rationalisation of Lt Cols to Brig and additional steps in the Increment method of pay fixation of serving soldiers and pensioners. NFU is likely to be sanctioned soon. He assured all help to ESMs and Family pensioners. The mandate of Army Pay Commission Cell is till Jun 2017 and will be wound up.

15. During discussion with various senior serving officers, it was revealed the Service HQ have taken up with large number of anomalies in 6th CPC with the Govt of India. Govt of India instead of resolving them by appointment of a committee, passed on these anomalies as a term of reference to 7th CPC. 7th CPC instead of looking into anomalies threw the ball back into the court of Govt of India. I feel T SEWA in their next meeting with AGs branch should take up such anomalies through AFTs for resolution through legal route.

Points from Brig Anil Srivastava, VSM, Advocate for T SEWA

16. The second court out of three in AFT (PB) Delhi will function very soon. We will file the seven cases soon.

17. Second Undertaking. He informed AFT is insisting that all litigants should give an undertaking that they have no objection to be clubbed with lead litigant of the case and give him permission to file their documents to AFT on their behalf. The format has been sent to HQ T SEWA.

18. AFT – 21 on Incorrect Arrears Fixation of 33 Year Delinked to Get Minimum Guaranteed Pension from Jul 2009 to Jun 2014. T SEWA stand on AFT – 21stands legal scrutiny. If pension is paid at Maximum of Fitment Table and arrears out of that pension also to be paid at Maximum of Fitment Table.

19. Invoices for each legal case with required details will be sent to HQ T SEWA as desired.

Point from Brig SKS Rana, VSM, Head of Legal Cell.

20. The Govt of India, Min of Def letter clearly stated that once AFT gives judgment on broad banding, benefit to all those given lesser percentages of disability, the PCDA(Pensions) Allahabad should take action to generate Corr PPOs suo-moto. Though the stand is correct, the other members of T SWEA felt that DAD will always state that they will take action only if PS -4 (Legal) Army HQ forwards such judgments with their recommendation then only Corr PPOs granting benefit of Broad Banding will be issued. So we will not allow PCDA (P) Allahabad to delay such claims on some pretext or other and send all such cases be sent to PS Directorate (PS-4 Legal) for expeditious action.

My Own Impression

21. I rightly or wrongly got the impression after interacting with so many senior serving officers, that Service HQ is totally committed to the welfare of ESMs and Family Pensioners. We Veterans without benefit of correct data do at times level unsubstantiated charges against Service HQ. We have to understand limitation of Service HQ and appreciate they can go to some extent and beyond that they have to accept whatever is thrust upon them by Govt of India. Things are improving. I have seen only Maj Gens were authorised vehicles for carrying out official duties when I was in Army HQ from 1994 to 1997. When I was in Army HQ, I used to walk upto to South Block and Sena Bhavan carrying files to process various cases. But now all officers on demand are given CHTs for performing military duties.

22. There is a need for T SEWA to visit Army HQ once in six months to establish good rapport with senior serving officers to pursue cases either with Govt or through AFTs and hon’ble Supreme Court.

23. Sgt Lawrence Joseph, Vice – President who was part of team T SEWA to visit Delhi now has fully understood T SEWA works more for welfare of JCOs, OR and family pensioners than Officers. He was involved in every meeting and presentation from 07 to 09 Feb 2017 to know how much hard work has to be put in to make our presentation convincing and prepare a water tight case to convince officers of AGs branch of our genuineness and correctness of our stand.

24. Since AG was course mate of Col Ajit Singh Rana, President, North Zone, T SEWA, he got this meeting arranged. I am sure many of you know the present service chiefs and PSOs who might be even your juniors or regimental buddies, seniors or colleagues etc. You must help TSEWA to get appointment with them to project grievances of ESMs and Family pensioners. We must constantly sensitize the Service HQs of ground realities.

25. Humble Request. I make this humble request to all members of T SEWA. Before you level any charges on any Service HQ in the Social media, kindly find out the actual stand. Service HQs are working for us the veteran community and by our enthusiasm let us not make position of Service HQ rather awkward. Therefore you are requested to exercise restraint when you criticize Service HQ and take pains to find out the truth. This advice is applicable to me too which due to emotional outburst at times, I do violate it!

25. Overall the visit from 07 to 09 Feb to Army HQ has been highly successful and worth every rupee spent.

warm regards,

Brig CS Vidyasagar (Rtd)

(Source- F/B A/c of JWO Milan Das Air Veteran)

ADVISORY FROM MAJ DHANAPALAN (Retd)

Dear Veterans,  

In the resent past a few issues have come up in the blog concerning the Armed Forces Personnel and the Veterans. A few of them are:- 

1. Non Functional Up gradation (NFU) to officers. 

2. Amending the Pension Regulations of the Armed Forces. 

3. Non-Implementation of Judgments of AFTs which is around 2000. 

4. Payment of 100% pension to the Veterans up to the age of 60 years (age for superannuation for central Govt employees) and payment of OROP thereafter.

5. Separate Ministry or a Defense Board (like that of Railway) for Armed Forces Personnel. 

6. Cadre Review (being done at every 5 years in other Departments) .

7. Date of Birth (DOB) issue of Army Chief himself. 

8.Difference of pension between 2 immediate Ranks is morethan Rs.11000/-PM 

9. With drawl of existing Rank Pay by 6th CPC (replacing with grade pay to give additional emoluments to civilian employees and also to create an equation between civ and Mily.)

10. Majors with more than 15 years of service equated with cadets and Hony Lt. (PB-3). 

11. A meaningful resettlement of Armed Forces Veterans. 

12. Dignity(Izzath)of the personnel in uniform/Protocol/precedence,V/s civilians.

The above are some of the major issues that are occupying internet mails and blogs nowadays. The blame is put on the babus of MOD and the Politicians. But one must think honestly. Are they fully responsible for these omissions?

What is role of the Service HQs?

Can we give a clean chit to service HQs on these issues? Are they not responsible for creating such a mess? Take the example of Judgments passed by the AFTs:-

It is understood nearly 2000 judgments are pending for implementation. The Service HQs are the Nodal agency for their implementation. So the service HQs are answerable for the non-implementation. Can we blame the MOD for this? If there is a problem, the service HQs should come out publically or inform the Ex-servicemen associations or at least inform the individual about the factual position rather than some "goal..Mall.English”, so that he can take further action.

If some decision is needed from the Ministry, the service HQs should put up the note and get the same in a time frame. The service HQs should also give the present position of all judgments immediately in the web site for the info of all.

Similarly, is it not the responsibility of the Service HQs to get themselves involved in drafting the Pension Rules of men under their command? Is it possible now? When a dept called" Ex-servicemen welfare" has been created during 2004, outside the Service HQs, no one has raised their voice. Even no one commented on the instructions issued by that dept regarding welfare, re-employment and re-habilitation of Ex-servicemen which can only be termed as an Essay on Ex-servicemen - no seriousness about the welfare-every org even the companies have the welfare schemes linked to their Provident Funds, whereas we depend on the mercy of someone which is also now restricted to only war widows and disabled which is the full responsibility of the Govt of India being the employer, re-employments are left to the States which only remained in paper, without any mechanism to check. How many vacancies in a year- now body knows, whether it commensurate with the number of retires in a year and the re-habilitation left to none- to the fate. 

There is yet another org called re-settlement, the jawans of the great Army is put on "Chowkidar" duties in front offices, hotels, houses for a petty 1500 to a max of 5000/- without any other benefits and taking commission out of it. (the benefit of pension of such person goes to the employers, if otherwise they have to pay salary like any other employee with other benefits like leave, pension, Provident Funds, ESI facilities etc-Take the case of the biggest employers-BSNL, Air Ports, Customs etc and see the difference between their regular employees and the "Chowkidars" under the re-settlement scheme- one can only feel pity!!) - No one has raised any voice on this policy issued by the newly created "Department of Ex-servicemen Welfare". 

The service HQs felt very happy that this burden has gone from them.- So how can you blame that Dept now, for making a Pension Reg or any Regulation as they feel like? At least Cant it be challenged in the Court of Law? Why is it not being done by the Army Chief who has filed a case for his own benefit, Is it the HONOR OF THE ARMY lies on the honor of the Army Chief or on the Soldiers of the Army? Where is pride of the Army Chief when lot many ex-servicemen are in the street with begging bowel after giving their youth to the Army? Is it not a matter of Right for them to have a Meaningful resettlement? Or the Right is only for the Army Chief to have his DOB corrected?  

What I am trying share with you all is that we are Not serious about what is happening to the Armed Forces Personnel as a whole, we are only self-centered on petty issues. If it is a mistake on our part accept it instead putting the blame on someone else.   Now, what is the further course of action to come out of this self-created problems? Can these be solved by creating Mails or blogs?? It can only create awareness amongst the veterans but most of our problems were not ever made available to Medias for a public opinion. My humble suggestions are:-  

1. Service HQs have to do some homework very seriously. The above points have come to light only when some of the Veterans have taken some trouble to study these cases and put in the mail, but the service HQs are silent or they have no such points at all.  

2. Like any other department ,the Service HQs should take full responsibility to look after their Veterans, Widows, officers , JCOs and NCOs and their families who gave their blood and sweat to build Indian Army to the present shape from the scratches of Chinese aggression in 1962 and those who laid their lives . There is no point in blaming the Officers in MOD, for our in efficiency for that matter. It is for the Service HQs, how they Work out the strategy to accomplish this task. This is more important as there is no trade Union functioning in the org for collective bargaining of their service benefit which is available to all employees including the Central Govt. 

3. Art 312 of the Constitution of India giving powers to Make Rules for Service benefit to Defense Services must be evoked by putting pressure on the Govt, the PM and the Supreme Commander. This has to be done by the Service HQs only because we are worst suffers of all other Central Services. If a pay or a service condition is to be changed/ modified in respect of any Central Service, this has to be duly notified in the Gazette of India with the approval of the Govt/ Parliament whereas it could be seen in the past that only an Army Instruction can meet the requirement in respect of the Armed Forces Personnel including the Service Chiefs. This has no backing of the Law of the Land. In the early years after the Independence, the matters concerning Armed Forces Personnel were dealt separately at the level of PM or RM but later it has been brought under the purview of the pay commission- only erode the dignity and reduce them to the status of mere employee. Well, then the Army Act also needs to be amended to include the liberty for collective bargaining for their service benefits which has not been done so far, the Service HQs should pursue this. 

4. The Service HQs should create a high powered committee who will take up the matters concerning the personnel matters of Armed Forces Personnel with the RM, PM, The Supreme Commander. They should take feed -back and suggestions/complains from all corners including the jawans direct. They should also interact regularly with other departments, companies, consultants, Ex-servicemen Associations, Veterans etc. and update themselves with the latest, for which a proper office with well experienced Officers and Staff from both veterans and outsiders is set up for function on regular basis. It is not so difficult to set right the bureaucracy if the Service HQs have a will to firmly handle the Organizational interest, the interest of the Armed Forces Personnel and no compromise to be made at any point of time at any level. This should be made clear to all up to the Pl commanders. 

5. A MEANINGFUL re-settlement of all veterans should be the full responsibility of the Govt and the Service HQ should ensure this (A suggestion in this direction is enclosed) 

6. All are requested to offer their valuable comments and they may also take up the matter with the service HQs individually or collectively.

7. May I request you to kindly forward this to at least 10 (Ten) veterans with your comments.

 With Regards, 

Major AK Dhanapalan, Veteran E-mail: dhanapalanakmajor@gmail.com

(Source- http://indianexserviceman.blogspot.in/2012/10/advisory-from-maj-dhanapalan.html )

7TH PAY PANEL RECOMMENDATIONS/Armed forces to MoD: Don’t compare us with paramilitary

New Delhi, February 5

The armed forces have approached the Defence Ministry saying by no yardstick can they be compared, let alone be lowered, in hierarchy to the paramilitary forces.

The three forces — Army, Navy and the Force — have petitioned Defence Minister Manohar Parrikar seeking a restoration of earlier status, which has been “disturbed” after the recommendations of the 7th pay commission. The government is yet to announce what all it has accepted or rejected.

The representation has termed comparisons with paramilitary as “wrong and misplaced”, citing suggestions made by 7th pay commission.

It talks about “progressive decline of status of the forces” and warns that self-esteem of the armed forces’ officers has been hit. Such is the seriousness of the matter that Parrikar called in Chiefs of the three services for a 90-minute meeting on the matter on February 2.

The paramilitary forces included the Central Reserve Police Forces (CRPF), Border Security Force (BSF), Indo-Tibetan Border Police (ITBP), Central Industrial Security Force (CISF) and the Sashastra Seema Bal (SSB).

In their representation, which covers an entire gamut of issues, the armed forces have said there can be no comparison with the paramilitary in terms of the mandate, duties, risks in service conditions and tasks assigned.

Citing past records, the forces claim the 7th pay panel recommendations will upset laid-down seniorities and placing armed forces’ allowances lower than those of paramilitary forces will change rules for risk allowances like those applicable in the north-east or J&K. It points out the base levels to calculate pensions for the forces are lower than the others.

The disability pension for armed forces has been lowered, but it has been maintained at same levels for paramilitary forces. Parrikar has been informed that the pay panel has disturbed the parity between Lieut-Colonels and Commandants of the paramilitary forces.

(Source- The Tribune)

Defence Minister Manohar Parrikar forms committee to make promotion system fair, transparent - by Shraddha Jandial

The defence ministry has decided to set up a committee of two officers who would give their recommendations to the government on the changes in promotion policy and the quantified system of selection for officers of the Indian Army," senior defence ministry sources said.

Against the backdrop of controversies surrounding promotions in the Army, Defence Minister Manohar Parrikar has formed a high-level committee to overhaul the system to make it more transparent and fair.

The decision to set up a committee comprising two retired lieutenant generals was taken by the defence minister soon after the retirement of previous Army chief Gen. Dalbir Singh Suhaglast month.

The two retired officers are Lt Gen G S Katoch and Lt Gen A K Ahuja, who recently superannuated as the deputy chief of Integrated Defence Staff and was responsible for procurement of weapon systems for the three services.

"The defence ministry has decided to set up a committee of two officers who would give their recommendations to the government on the changes in promotion policy and the quantified system of selection for officers of the Indian Army," senior defence ministry sources told Mail Today.

WHY THE COMMITTEE

• The aim of setting up the committee is to infuse "more objectivity, transparency and fairness in the promotion system that is coming under cloud very frequently as several officers are complaining against it to the ministry and taking government to courts".
• The biggest question mark on the promotion system was raised when a particular board for elevation of officers from the rank of Major General to Lieutenant General in 2015-16 came under the scanner for alleged payment of bribes by them.
• A couple of officers, who were considered by the promotion board, are still facing CBI inquiries for charges of disproportionate assets and could not be elevated to the next rank and had to retire from service.
• All the promotion boards have discretionary power of awarding five numbers to the officers in race for promotion and many a times, those who are left behind allege that this sometimes gives scope of favouritism in the force.
• Army officers also complain against the Military Secretary's branch of the Army which looks after promotions and postings of officers for lack of transparency in the system.
• That is why the committee has been asked by the ministry to cover aspects such as "calculation of vacancies, consideration of special review, deferred cases and matters such as notional empanelment".
• Recently, the Armed Forces Tribunal (AFT) had come down heavily on the Army and Defence Ministry while hearing a case where an officer had allegedly deliberately concealed facts about his confidential records to get promotion.
• Taking a serious view, the court had ordered the officer, who is serving as Lt Gen, to be demoted to the rank of Brigadier. The matter has now reached the Supreme Court.
• While parting with that case, the AFT had remarked that "we feel corruption has crept in every system of the country and pray to almighty to impart justice and help the country recognise merit of the people serving the nation instead of extraneous considerations".
• To bring in major changes in the system, Parrikar has empowered the committee to call for any record and information from the Army headquarters and Defence Ministry.
• "A Brigadier from the Military Secretary's branch would be attached with the committee to arrange all logistics, secretarial and other assistance to the members," the sources said.
• To implement the recommendations in the earliest possible time frame, the defence minister has asked the committee to submit its report within one month from the date of its constitution.

(SOURCE : INDIA TODAY)

ARMED FORCES VETERANS :: FORM-AT FOR REPRESENTATION TO BANK/DPDO/CPPC/RBI FOR NON PAYMENT OF REVISED 7TH CPC PENSION/DE-LINKING OF 33 YEARS ARREARS

DEAR ALL,

WE ALL KNOW THAT MAJORITY OF US (THE ESM COMMUNITY) HAVE BEEN PAID THE ARREARS. AND HAPPILY MOST OF US HAVE ALREADY UTILIZED THE SAME.

BUT IT IS LEARNT THAT MANY VETERAN BROTHERS HAVE NOT YET GOT ARREARS OF THEIR PENSION ON ACCOUNT OF  DE-LINKING OF 33 YRS (CIRCULAR 568) AND 7TH CPC (CIRCULAR 570) REVISED PENSION/ARREARS SO FAR, FOR SOME REASON OR THE OTHER. 

Furnished below is a e-mail format to represent their case to the concerned bank and reserve bank. On receipt of the same, chances are that positive action might be taken on the said representation. 

Kindly fill up the blank spaces with your particulars and send the same to the concerned CPPC and the PDA (your bank/DPDO which pays the pension).

SGT GV NARAYANA AIR VETERAN

BLOGGER

9490045365/8885012679,

HYDERABAD.

============================  SPECIMEN E-MAIL/LETTER REPRESENTATION

To, The DPDO/Chief/Senior Manager, CPPC, ---------------------- (e-mail ID) 

Sir,   

     

Kindly refer PCDA(P) Circulars No. 568 (de-linking of 33 years for earning full pension) and No.570 d/d 31.10.2016,(7th CPC revision of pension by 2.57 fitment formula) revising my pension(as on 31.12.2015) w.e.f. 1.1.2016 (available on PCDA(P) Allahabad website). My pension is not yet credited into my account so far. You are aware that almost all banks, including the private banks have paid the arrears to esm, but I have not ywet been paid the said arrears of revised pension.

My present Basic Pension as on 31.12.2015 : Rs.---------(As per above circular, the multiplication factor is 2.57 on this BP.) 

My date of joining the Army/Navy/IAF is ---------------and date of discharge is-----------------, and the total service is ------years-----months ------days,

Rank - -------, Group ---------(now X/Y), Pension drawn as on 1.7.2014=--------------(OROP) (qualifying service -----------years).

As per My PPO No. is --------------------------

issued on ---------------------with Basic pension

Rs.-------/-)

The scanned copy of PPO is forwarded which may kindly be perused.

My SB Pension account is maintained at --------

----------------Bank, --------------Branch, Code

No.-----------Dist. ----------------------              

state .....................

MY SB PENSION A/C NO.IS -----------------------

I have also submitted Life Certificate to the PDA bank on ------------------

May I request you to kindly order credit arrears of Revised pension in to my account at the earliest.

This is for your kind info and necessary payment action, please.

Thanking you,

Service No.............Rank...................Name................. 

Arms/Service.............Mobile No....................... 

address.........................................

Date:----------------------

Copy to :

The Branch Manager, ........................Bank address.

  

The DPDO..................................Office address

The GM, RBI, Regional Office...............State.

===============================

Note : This is only a model and not exhaustive. Vet Bros may add/delete some columns, if they so desire.