Monday, July 29, 2013

Enrol with credit info firms, RBI tells RRBs




BL :KRSrivats:28july 2013

This move comes in the wake of large number of RRBs not becoming members of any credit bureaus despite a specific legal requirement since December 2006.

The law governing credit information companies requires every credit institution to become a member of at least one credit information company.

As RRBs are also credit institutions, they are required to take membership of at least one credit information company.

Currently, India has three main credit information companies — CIBIL, Experian and Equifax.

Welcoming the RBI's latest directive, Sanjay Patel, Managing Director and CEO, Equifax Credit Information Service, said his company was eager to grow in the RRB space.

As for the benefits, Patel said a credit bureau such as Equifax can help RRBs in booking better quality assets and managing their existing asset quality.

This can help reduce the NPAs (non-performing assets) in the segment and monitor the delinquency among rural customers across lenders, Patel told Business Line.

JRD TATA




Quote by JRD Tata

"Take your decision and go-ahead. Rest, the experiences themselves will teach you more as you proceed ahead in life." - JRD Tata 

J.R.D. TATA 
(1904 - 1993)
Born in Paris in 1904, J.R.D. Tata had his early education in France, Japan and India. He began his career as an Assistant with Tata Sons Limited in 1922. He was made a Director of the Company in 1926 on the death of his father, R. D. Tata, and in 1938 became its Chairman.


With his charismatic leadership, Tata has contributed to the industrial development of India for over 53 years. He passed on the Chairmanship of Tata Sons to his younger colleague, Ratan N. Tata, on March 25, 1991 and was unanimously elected by the Board of Tata Sons as Chairman Emeritus for life.

Till he passed away in Geneva on November 9, 1993, he was Chairman Emeritus and Director of Tata Industries Limited, The Indian Hotels Company Limited and The Tata Oil Mills Company Limited. He was also Chairman Emeritus of Tata Chemicals Limited and a Director on the Board of The Tata Iron and Steel Company Limited, The Tata Engineering and Locomotive Company Limited, Tata Unisys Limited, Tata Incorporated, New York and Tata Limited, London.

Widely recognised as the founder of civil aviation in India, J.R.D. was the first pilot to qualify in this country and held a Pilot’s License since March 1929. In 1932, he founded India’s first national carrier, Tata Airlines, renamed Air-India Limited in 1946 and personally piloted the Karachi-Bombay sector of its inaugural Karachi-Madras service on October 15. In 1948, J.R.D. founded Air-India International Limited as a joint venture with the Government of India to undertake long-range international operations, which he headed as Executive Chairman until it was nationalised in 1953. On his recommendation, the Government of India created two air corporations, Air-India and Indian Airlines, to run international and domestic operations respectively. He was appointed Chairman of Air-India, which position he held till February 1978. To commemorate the 50th anniversary of Indian civil aviation, J.R.D. at the age of 78 re-enacted his inaugural flight of 1932 in a 50-year old De Havilland Leopard Moth on October 15, 1982 to instill a spirit of adventure among the younger generation. His simple minded devotion to every aspect of the airline was legendary.

J.R.D. Tata was the recipient of several awards for his contribution in the field of aviation. He was made honorary Group Captain of the Indian Air Force in 1948 and was elevated to honorary Air Commodore of the IAF in 1966. Several international awards for aviation were given to him - The Tony Jannus Award in March 1979, the Gold Air Medal of the Federation Aeronautique Internationale in 1995, the Edward Warner Award of the International Civil Aviation Organisation, Canada in 1986 and the Daniel Guggenheim Award in 1988.

Millions regarded J.R.D. as a symbol of integrity and forth righteousness as the country’s most distinguished and adventurous citizen. In 1943, J.R.D. spelt out the structure of industrial relations in Jamshedpur. He felt that companies took greater care of their machines than of their men. This resulted in the establishment of the Personnel Department of Tata Steel and because of the partnership between labour and management at various levels.

When J.R.D. took over the Chairmanship of Tata Sons, the Group had 14 companies, and when he completed his half a century at the helm on July 26, 1988, there were nearly 95 enterprises which Tatas had either started or had a controlling interest in. Under his stewardship the Group has expanded to cover a range of power, engineering, hotels, consultancy services, information technology, consumer goods, consumer durables and industrial products.

J.R.D. has over the years crusaded with causes which he believed to be in the national interest, such as family planning and population control. His contribution in the sphere of population control received due recognition when he was given the UN Population Award in September 1992. He also firmly believed that through the rapid spread of literacy and education, particularly among women and children, would help in raising the standard of living of the people of India. He is Founder Chairman of the Family Planning Foundation.

His interest in science is reflected in the pivotal role he played in the establishment of the Tata Institute of Fundamental Research of which he was the Chairman of the Governing Council. He has been a Member of the Atomic Energy Commission since its inception, and is President of the Court of the Indian Institute of Science, Bangalore. He was on the Governing Council and the Executive Committee of the Rajaji Institute of Public Affairs and Administration.

His broad concern for education is seen in the interest he took as Chairman of the J. N. Tata Endowment for the Higher Education of Indians and the Homi Bhabha Fellowships Council. He was the Chairman of the Sir Dorabji Tata Trust, the J.R.D. Tata Trust and the Jamsetji Tata Trust.

J.R.D. was the recipient of several national and international honours and decorations, including the Padma Vibhushan; French Legion of Honour (Commander); Order of Merit of the Federal Republic of Germany (Knight Commander’s Cross); Institute of Metals, London (Bessemer Medal); Dadabhai Naoroji Memorial Prize Fund (Dadabhai Naoroji Memorial Award) and Honorary Doctorates from the Universities of Allahabad, Benaras, Bombay and Roorkee.  J.R.D. was the recipient of the Bharat Ratna, the highest civilian honour bestowed by the Government of India on Republic Day, 1992.

Last 3 days to file I-T returns: 7 changes you must be aware of



Reuters
Reuters

 FP :Bindisha Sarang Jul 29, 2013

Change is inevitable – except from the vending machine, is a funny internet one-liner. But, at times a few minor changes do impact life, take for instance the ones in filing your income tax returns (ITRs). As usual, this year too the income tax (IT) department has brought about a few such changes which you have to be aware of while filing your ITRs. To know more, read on.
The most important change this year is with compulsory e-filing.
Filing returns online was compulsory for firms, companies and individuals earning more than of Rs 10 lakh last year. This limit has been brought down to Rs 5 lakh this year, that is assessment year 2013-14. “E-filing is compulsory for people earning more than Rs 5 lakh. This is total income i.e. income amount after claiming tax deductions such as Section 80 deductions,” said Archit Gupta, Founder, Cleartax.in, an online e-filing portal. So, if you fall in this category, you can e-file your ITRs at the tax department’s website or use portals like Cleartax.in, Taxspanner.com, or Myitreturn.com, to name a few.
Reuters
Another change is in the forms you have to fill. While choosing the form many choose the ITR 1 form, but going forward if you have exempt income exceeding Rs 5,000, you will have to choose the ITR2 form. Common examples of exempt income, is interest earned from Public Provident Fund (PPF), dividend earned from shares, interest earned form tax free bonds and the like. So, ensure you choose the correct form, you can get more info here.
Last year, the IT department had said that all those who hold foreign assets have to compulsorily e-file. You had to provide details of all foreign assets on the form and this was brought about with a new schedule in the ITR2 and ITR4 forms. This year, you will have to give details of all income earned from foreign countries on your relevant the ITR form. This is over and above the declaration of all foreign assets which you have to declare on your ITR form.
There is a change in the declaration of assets and liabilities for business people. “If you earn income from business or profession and your total income exceeds Rs 25 Lakh, you have to provide the details of all your personal and business assets and liabilities in the ITR form itself. This is for people filling in ITR-3 and ITR-4,” said Gupta.
The budget for 2011-12 had added a new section 80 TTA in tax rules, under which you will be able to get a tax benefit for interest income of up to Rs 10,000 from savings accounts in any bank. For this, you just need to declare you interest income. Keep in mind, it’s for savings account and not for savings-cum-FD accounts aka sweep-in accounts.
*Another minor, but important change comes in the bank account detail that you have to provide on the ITR form. From this year, you don’t need to provide the 9 digit MICR number, instead you will have to give your branch’s IFSC code. You can get this code from your bank’s website. Also, if you are eligible for a refund, you can also get it directly transferred (ECS) into your account. But you have to provide a 11 digit bank account number. If your bank account number is not 11 digits, then you will receive the refund via a cheque at your mailing address.
* And finally, from this assessment year, you can claim within the existing limit a deduction of up to Rs 5,000 for preventive health check-up. So if you have done any kind of preventive health check-ups, like blood tests and the like, keep the bills and you will be able to use the same to get a tax deduction. There is a good possibility you’ve missed claiming this deduction, make sure you make use it while filing returns.
These are a few changes you should be aware of while filing tax returns. The IT department is getting stricter by the day. We suggest you take the help of a tax professional or tax portal to ensure you get it right.

All lending banks have been advised not to accept any fresh Post Dated Cheques (PDC)/Equated Monthly Installment (EMI) cheques





RBI/2013-14/158
DPSS.CO.CHD.No./209/04.07.05/2013-14
July 24, 2013

The Chairman and Managing Director / Chief Executive Officer
All Scheduled Commercial Banks including RRBs /
Urban Co-operative Banks / State Co-operative Banks /
District Central Co-operative Banks/Local Area Banks

Madam / Dear Sir

Migration of Post-dated cheques (PDC)/Equated Monthly Instalment (EMI) Cheques to Electronic Clearing Service (Debit)

We invite a reference to our circular DPSS.CO.CHD.No.1622/04.07.05/2012-13 dated March 18, 2013 wherein all lending banks have been advised not to accept any fresh Post Dated Cheques (PDC)/Equated Monthly Installment (EMI) cheques in locations where the facility of ECS/RECS (Debit) is available and convert existing cheques in such locations into ECS/RECS (Debit) by obtaining fresh mandates.

2. However, instances of banks obtaining fresh cheques (both CTS-2010 and non CTS-2010 standard) in locations where the facility of ECS/RECS is available have been brought to our notice, thus necessitating a reiteration of our earlier instructions in this regard.

3. Accordingly, banks are advised to adhere to the following instructions with immediate effect:
No fresh/additional Post Dated Cheques (PDC)/Equated Monthly Installment (EMI) cheques (either in old format or new CTS-2010 format) shall be accepted in locations where the facility of ECS/RECS (Debit) is available. The existing PDCs/EMI cheques in such locations may be converted into ECS/RECS (Debit) by obtaining fresh ECS (Debit) mandates.

As indicated in our circular DPSS.CO.PD.No.497/02.12.004/2011-12 dated September 21, 2011, Section 25 of the Payment and Settlement Systems Act, 2007 accords the same rights and remedies to the payee (beneficiary) against dishonor of electronic funds transfer instructions under insufficiency of funds as are available under Section 138 of the Negotiable Instruments Act, 1881. Considering the protection available, there is no need for banks to take additional cheques, if any, from customers in addition to ECS (Debit) mandates.

Cheques complying with CTS-2010 standard formats shall alone be obtained in locations, where the facility of ECS/RECS is not available.

4. The above instructions are issued under section 18 of the Payment and Settlement Systems Act 2007 (Act 51 of 2007).


5. Please acknowledge receipt.

Yours faithfully

(Vijay Chugh)
Chief General Manager