AIBOA vs AIBOC

ON  06.01.2011  AIBOC  presented on the following issues pending with the IBA/Govt. for favourable disposal.

a)         2^ND OPTION ON PENSION INCLUSION OF:

i)                    CPF Optees retired under Bank level VRS.

ii)                  CPF Optees resigned after 20 years of service, in absence provision for VRS in OSR.

iii)                Compulsory retirees.

iv)                Commutation to family members of CPF Optees died before 27.04.2010 and allowing them notional commutation.

v)                  I.T exemption on contribution to Pension Fund etc.

b)         STAFF LOANS:

            Enhancement in ceiling on Staff Housing Loan and Conveyance Loan, at concessional rate of interest.

c)         FESTIVAL ADVANCE:

            Revision in maximum ceiling on festival loan.

d)         COMPASSIONATE APPOINTMENT SCHEME:

            Follow-up with the Government of India for approval of draft Compassionate       Appointment Scheme, evolved at IBA level in consultation with the UFBU.

e)         FITMENT FORMULA:

WHETHER AMOUNT DEDUCTED FROM WAGE ARREARS FOR PENSION FUND IS EXEMPTED FROM INCOME TAX OR NOT?

IT IS A PATHETIC SITUATION ,THAT BANK EMPLOYEES ARE GOING TO PAY INCOME-TAX FOR THE AMOUNT WHICH THEY HAVE NOT ACTUALY RECEIVED.

UFBU SHOULD TAKE INITIATIVE IN WRINTING TO IT DEPT. AND GET CLARIFICATION.
ALTERNATIVELY MORE  AND MORE BANK EMPLOYEES SHOULD WRITE INDIVIDUALY TO IT DEPT, SO AS TO MAKE IT DEPT ITSELF COME OUT WITH A CLARIFICATION.
HERE IS FORMAT LETTER TO BE SENT TO INDIVIDUAL BANK H.O. FOR EXEMPTING DEUCTION OF TAX ON RECOVERED AMOUNT TOWARDS PENSION COST.

TAX ON RECOVERY OF PENSION COST
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HERE IS A QUESTION &ANSWER PUBLISHED IN
THE HINDU DATED 06.02.2011
Could the amount deducted towards corpus pension fund be salary?
S. RAJARATNAM
 QUESTION: I am an officer of a public sector bank. I am getting an amount of about Rs.2.80 lakh as arrears on pay revision from which Rs.40,000 is deducted towards provident fund contribution.

“SPECIAL BALANCING ALLOWANCE"

WHAT   IS   “SPECIAL BALANCING ALLOWANCE"  FOR SBI EMPLOYEES?
WHY IT IS GIVEN TO THEM?
HERE IS THE DETAILS AS EXPLAINED BY SBI OFFICERS'S ASSN,(HEDERABAD):
DATED 28.01.2011
Revised salary and allowances are paid to workmen employees and officers with effect from 
1.11.2007, in terms of industry level Settlement and Joint Note respectively, dated 27.04.2010.