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The Father of Trainee IAS Officer Puja Khedkar Confirms Her Eligibility for the OBC Non-creamy Layer Category

Puja Khedkar, accused of faking OBC and disability certificates for the IAS exams, has been defended by her father, who emphasises that she had proper permissions and falls within the non-creamy layer status. She faced allegations of misusing power in Pune by using an Audi with a VIP number plate and was abruptly transferred to Washim following a gun dispute. A panel is re-examining her documents after she missed AIIMS Delhi verification due to COVID-19. Her mother, Manorama, is also implicated.

On Sunday, her father, Dilip Khedkar, a former Maharashtra government employee who contested the Lok Sabha elections and declared property worth ₹40 crore in his affidavit, defended her actions in an interview. He argued that her non-creamy layer status was legitimate and that her actions in Pune were all with proper permission.

The police confiscated her Audi, and allegations emerged that she had used a senior official’s ante-chamber without proper authority. Dilip refuted these claims, stating that she had all necessary permissions.

Regarding the misuse of disability certificates, Dilip mentioned that she met the government’s criteria and that some check-ups were missed due to the COVID-19 pandemic. A committee is currently re-examining her submitted documents.

Dilip also defended his wife, Manorama, over an old video allegedly showing her threatening individuals with a gun, explaining that she acted in self-defense and holds a gun license.

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Petrol Pump Owners Announce Shutdown Of Pollution Under Control Centres

The Delhi Petrol Dealers’ Association (DPDA) has announced a strike starting Monday, potentially leading to the closure of several Pollution Under Control Centres (PUCC) at fuel stations across the national capital. With around 8 million registered vehicles in Delhi, this shutdown could have significant consequences, possibly increasing vehicular pollution. Vehicles without a valid PUCC certificate face a fine of ₹10,000.

The strike is a response to the Delhi government’s recent proposal to raise the rates for pollution certificates, which the DPDA considers inadequate. The proposed hike, ranging from  ₹20 to  ₹40, will be implemented once the government notifies it. Nischal Singhania, president of the DPDA, pointed out that the last rate revision occurred 13 years ago. Since then, staff salaries have increased by 300%, and operational costs have risen significantly. According to Singhania, the proposed increase is insufficient to sustain operations.

Delhi has approximately 400 PUC centers at various petrol and diesel stations. Last week, the government increased the charges for PUC certificates. The new rates for two and three-wheelers running on petrol, CNG, or LPG (including bio-fuel) have been raised from  ₹60 to  ₹80. For four-wheelers and above in the same fuel category, the rates have increased from  ₹80 to ₹110. Diesel-powered vehicles will see rates rise from ₹100 to ₹140.

The certificate confirms that a vehicle meets emission standards. The Motor Vehicle Act stipulates that vehicle owners caught without a valid PUCC can face imprisonment of up to six months, a fine of up to  ₹10,000, or both. The Central Motor Vehicles Rules require every motor vehicle, including those conforming to BS-I/II/III/IV and those running on CNG/LPG, to possess a valid PUC certificate one year after the date of registration. The validity period is one year for four-wheeler BS-IV-compliant vehicles and three months for others.

In Delhi, the PUC certification process is conducted in real-time and integrated with the vehicle registration database. The DPDA noted that rates were last revised in 2011 after a six-year gap, with an increase of more than 70%. ‘The current rate hike, announced after 13 years, is merely 35%, while our operational expenses have increased multiple times, with wages alone tripling from 2011 to 2024,’ it said. 

Additionally, the DPDA highlighted that Oil Marketing Companies have started charging substantial rents from PUC centres, amounting to 10-15% of total revenue, which was not previously the case. Other operational costs for PUC centres have also drastically increased over the past 13 years.

The announcement by the Delhi Petrol Dealers’ Association (DPDA) to shut down Pollution Under Control Centres (PUCCs) highlights the pressing need for adequate rate revisions and operational support. As the city faces potential increases in vehicular pollution due to this strike, it is crucial for stakeholders to seek professional assistance to navigate such regulatory and operational challenges.

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The Centre Revokes the FCRA Registration of the NGO Centre for Financial Accountability.

In a recent report, the Centre for Financial Accountability (CFA) highlighted that projects approved in a Special Economic Zone operated by the Adani Group in Gujarat’s Kutch region would exacerbate environmental hazards and increase health risks for residents. On Wednesday, the Ministry of Home Affairs (MHA) revoked the Foreign Contribution Regulation Act (FCRA) 2010 registration of CACIM (India Institute for Critical Action Centre in Movement), the parent entity of the CFA, which scrutinises financial institutions’ roles in development, human rights, and environmental impact.

In December 2023, the CFA held an online meeting with the All-India Bank Officers Confederation (AIBOC) to discuss challenges faced by public sector banks. Joe Athialy, Executive Director of CFA, told The Hindu that they had been informed online of the FCRA cancellation, allegedly due to incorrect filings for financial years 2018 and 2019. He suggested the government’s action was a response to the CFA’s critical work, aiming to suppress dissenting organisations.

Athialy emphasised that the CFA would persist in its efforts, seeking alternative funding through domestic donations. Earlier in January, the MHA also revoked the FCRA registration of the Centre for Policy Research (CPR). Since 2015, the FCRA registrations of over 16,000 NGOs have been cancelled for violations, leaving 15,946 active FCRA-registered NGOs as of Wednesday. Nearly 6,000 NGOs lost their FCRA status starting  1 January 2022, due to non-renewal or refusal of their applications by the MHA.

The recent revocation of the FCRA registration of the Centre for Financial Accountability (CFA) underscores the need for NGOs and similar organisations to ensure strict compliance with regulations to continue their impactful work. If your organisation faces similar challenges or requires assistance in navigating the complex regulatory landscape, Vakilsearch offers comprehensive legal support tailored to your needs.

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KRERA Directs Refund ₹82 Lakhs to a buyer Due to Possession Delays

The Karnataka Real Estate Regulatory Authority (KRERA) has ordered Ozone Group to refund the full amount invested by a homebuyer due to the developer’s failure to pay pre-EMI (Pre-Equated Monthly Instalments) on a delayed apartment project in Bengaluru. The developer was required to pay the pre-EMI, which covers only the interest and not the principal, until the project’s handover, which was scheduled for December 2022. 

“The developer is directed to pay ₹53.1 lakh towards the refund, with interest calculated at the Marginal Cost of Funds based Lending Rate (MCLR) plus an additional 2 percent from May 2017 to April 2023,” stated the order dated July 26. 

The buyer, GY Rajasekhar, had booked an apartment in Ozone Urbana, a project by Ozone Group, for ₹62.3 lakh under the interest subvention scheme in 2019.

The recent KRERA directive for Ozone Group to refund ₹53.1 lakh plus interest to a homebuyer due to possession delays underscores the importance of understanding and complying with real estate regulations. If you’re a developer or a homebuyer facing similar issues, having expert legal guidance can make all the difference.

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UP-RERA Instructs Authorities Not to Issue Temporary Occupancy Certificates

The Uttar Pradesh Real Estate Regulatory Authority (UP-RERA) has directed authorities to stop issuing temporary completion certificates (C.C.) or occupancy certificates (O.C.) as they are not allowed under current laws.

UP-RERA has also required all industrial and housing development authorities to clearly specify the names of the towers or blocks for which a part-C.C. or O.C. is issued. They must list the names of all towers or blocks within the project or project phase.

The authority noticed that some part-C.C. or O.C. documents did not match the project details provided by promoters during RERA registration or in sale agreements with homebuyers.

Sanjay Bhoosreddy, Chairman of UP-RERA, stated, ‘It has come to our attention that the names of completed towers, blocks, or units listed in part-C.C.s or O.C.s issued by some planning authorities do not match the names given by promoters to UP-RERA at registration. This discrepancy creates doubts among homebuyers and the regulatory authority. With due diligence at the planning authorities’ level, this issue can be easily resolved.’

These mismatched certificates cause homebuyers to question the completion status of their units or towers when executing conveyance deeds and taking possession. To avoid these issues, UP-RERA advised planning authorities to obtain the marketing names of the project, its towers, and blocks, along with the number of units from the promoter. This information should be included in the application for map sanctioning and when granting completion or occupancy certificates. This approach aims to eliminate any doubts regarding the project’s or its towers’ and blocks’ completion status.

Navigating the complexities of real estate regulations can be challenging for both developers and homebuyers. With UP-RERA’s new directives aimed at enhancing transparency and accuracy in documentation, it’s crucial to stay compliant and informed.

Vakilsearch offers expert legal services to help you adhere to these updated guidelines seamlessly. Whether you’re a developer needing assistance with proper documentation or a homebuyer seeking clarity and protection, our experienced team is here to support you.

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ITR Filing: How to Correct Discrepancies in AIS, TIS, and 26AS Before the Deadline

Individual taxpayers must file their Income Tax Returns (ITR) before July 31, 2024, to avoid penalties. As the deadline approaches, it’s crucial to ensure that all tax-related documents, such as the Annual Information Statement (AIS), Taxpayer Information Summary (TIS), and Form 26AS, are accurate. Correcting any discrepancies in these documents is essential for a smooth tax filing process.

Importance of Accurate ITR Filing

Discrepancies in your AIS, TIS, and Form 26AS can lead to complications in your ITR filing. It’s vital to check and correct these documents to reflect your financial transactions and income accurately.

Understanding AIS, TIS, and Form 26AS

‘The Annual Information Statement (AIS) summarises financial transactions, tax payments, and refunds,’ explains CA (Dr.) Vijay Kumar Gupta, Member NIRC (ICAI). ‘The Taxpayer Information Summary (TIS) simplifies AIS details for taxpayer comprehension, while Form 26AS serves as a tax credit statement, displaying details of TDS and TCS.’

Identifying Discrepancies

Access your AIS, TIS, and Form 26AS from the e-filing portal and compare the information across all three documents. Look for any disparities in income sources, TDS entries, and tax payments to ensure all reported income is accurately reflected.

Correcting Discrepancies

  • Submit Feedback on the AIS Portal
  • Log in to the portal and select ‘Annual Information Statement (AIS)’ under the ‘Services’ tab.
  • View Part A and Part B of AIS, identify the incorrect information, and select ‘Optional’ to submit feedback.
  • From the drop-down menu, choose the relevant option:
  • Information is correct
  • Transfer is not like a sale
  • Income is not taxable
  • Information is not fully correct
  • Information relates to other PAN/Year
  • Information is duplicate/included in other information
  • Information is denied
  • Click ‘Submit’ to send your feedback.

Self-Assessment/Advance Tax Issues in 26AS

‘If your Self-Assessment or Advance Tax deposits are not shown, verify the challan number and PAN to confirm their accuracy,’ advises Garima Tripathi, Partner at V Sahai Tripathi & Co., Chartered Accountants.

Mismatch in TDS

‘In case of a TDS mismatch, inform your employer or deductor promptly,’ suggests Garima Tripathi. ‘They should file a revised TDS return to rectify the discrepancy.’

Conclusion

Ensuring that your AIS, TIS, and Form 26AS are accurate before filing your ITR is crucial for a hassle-free tax filing process. By identifying and correcting any discrepancies, you can avoid potential complications and ensure compliance with tax regulations. Don’t wait until the last minute—review and correct your documents today.

Big Relief for Taxpayers: Government Announces TDS/TCS Reduction, No More Double Tax Deduction

In a major relief for taxpayers and businesses, the government has announced a significant change in the rules regarding TDS (Tax Deducted at Source) and TCS (Tax Collected at Source). The Revenue Department of the Finance Ministry issued a circular on Tuesday exempting taxpayers from the double deduction rule if their PAN (Permanent Account Number) becomes inactive.

Key Announcement

The circular confirms that there will no longer be a double tax deduction on inactive PANs, providing much-needed relief to taxpayers. This exemption is effective immediately and will continue until May 31, 2024. Transactions completed by March 31, 2024, are also exempt from the double deduction rule.

What is TDS?

TDS is a method through which the government collects taxes on various sources of income, such as salaries, interest, or commissions on investments. Specific rules set by the Income Tax Department govern the deduction of TDS. Typically, it is the responsibility of the payer or the organisation making the payment to deposit TDS into the government account. Those who deduct TDS are known as deductors, and the recipients of the payments after tax deduction are called deductees.

TDS Rates

TDS rates range from 1% to 30%, depending on the type of income. For instance, TDS on salaries is usually 10% of the total income, according to the income slab. On the maturity of fixed deposits (FDs), up to 10% TDS is charged, and if the PAN card information is not provided to the bank, the TDS rate increases to 20%.

What is TCS?

TCS, or Tax Collected at Source, is a tax collected by sellers, dealers, vendors, and shopkeepers on high-value transactions. It is an additional amount collected along with the sale price of goods and services.

Conclusion

This new circular brings significant relief to taxpayers by preventing double deductions on inactive PANs and ensuring a smoother tax deduction process. Taxpayers and businesses can now breathe easier, knowing that the government’s latest measures aim to simplify and streamline tax compliance.

Demonetisation, GST, and Covid Cost Informal Sector ₹ 11.5 Trillion

The combined effects of demonetisation, GST rollout, and the Covid-19 pandemic have resulted in a staggering loss of ₹ 11.5 trillion, or 4.3% of FY23 GDP, for India’s informal sector, according to an analysis by India Ratings.

The unorganised sector, which saw the closure of an estimated 6.3 million units between 2015-16 and 2022-23, faced severe impacts from these economic disruptions. This led to a significant economic loss and about 16 million job losses in the informal sector.

In FY23, the size of the informal sector was ₹ 15.4 trillion, growing at an annual rate of 4.3% from FY16 to FY23. This is a stark contrast to the annual growth rate of 12.9% recorded between FY11 and FY16. Had the sector not been hit by these disruptions, its size would have been ₹ 26.9 trillion in FY23, translating to a cumulative economic loss of ₹ 11.5 trillion or 4.3% of FY23 GDP.

Demonetisation was announced in November 2016, followed by the GST rollout in July 2017, and the Covid-19 pandemic, which caused havoc from April 2020 through October 2021.

However, this period also saw the rise of the formal economy, leading to robust tax collections. ‘The rise in formalisation of the economy has resulted in robust tax collections,’ said Sunil Kumar Sinha, Principal Economist at India Ratings.

The agency analysed trends in the share of the unorganised sector in the overall economy, long-term trends in real gross value added (GVA) of these units, sectoral composition of jobs and enterprises, and estimated the economic and operational loss to the sector due to these shocks.

The unorganised sector contributes over 44% to the GVA and employs nearly 75% of the workforce in non-agricultural enterprises as of the Periodic Labour Force Survey (PLFS) 2022-23. About 90% of the agricultural sector workforce falls under the informal sector. The latest National Sample Survey data on informal enterprises suggests their real GVA in FY23 stood at about ₹ 9.51 trillion.

‘Though real GVA grew 6.9% year-on-year in FY23, it was still 1.6% lower than the levels attained in FY16. A long-term view of their real GVA gives a better picture of the deleterious impact of the shocks on the sector,’f added Sinha.

Labour Ministry Intervenes in Paytm Layoff Dispute: Employee to Receive Notice Period Payment

The Ministry of Labour and Employment successfully resolved a layoff complaint filed by a Paytm employee. On Wednesday, the ministry announced that Paytm’s management had agreed not to reclaim the joining bonus and to pay the notice period amount to the employee.

The resolution came after the Regional Labour Commissioner (Central) in Bengaluru issued a notice to Paytm in response to the employee’s grievance over alleged forced termination. A representative from Paytm appeared before the Commissioner and agreed to the employee’s demands.

Sources revealed that the employee accepted Paytm’s exit offer in the presence of the Regional Labour Commissioner, resolving the dispute to the satisfaction of both parties.

‘The representative of Paytm’s management agreed not to recover the joining bonus and to pay the notice period amount,’ the ministry confirmed.

The situation for other staff remains unclear, as more employees have reportedly expressed dissatisfaction with Paytm’s handling of terminations.

Earlier this year, Paytm Payments Bank Limited (PPBL) faced regulatory scrutiny when the RBI ordered it to stop accepting new deposits and digital wallet transactions due to ‘material supervisory concerns’ and rule non-compliance. This led to significant restructuring, including employee layoffs.

Asian Paints and Berger Paints Raise Prices After Extended Hiatus

Asian Paints Ltd., India’s largest paint company, has announced a price hike of 0.7-1% across its portfolio, sources told CNBC-TV18 on Wednesday, July 10. This marks the first price increase in 12 to 15 months.

Berger Paints has also confirmed a similar price hike, effective from July 22. Both companies cite rising input costs as the reason for the increase.

Over the past year, declining crude and input prices led paint companies to slash prices to boost demand. This created a significant gap between value and volume growth. Now, companies are reversing this trend with the latest price hikes, typically seen before the festive season but occurring ahead of the monsoon this year.

Asian Paints, often a trendsetter in the industry, reported a 10% volume growth in its decorative business for the March quarter. The company’s net profit for the quarter was ₹1,275 crore, with revenue at ₹8,731 crore. Despite this, weak demand and downtrading in the premium segment affected revenue.

MD and CEO Amit Syngle expressed optimism about demand picking up, supported by a favorable monsoon forecast. The company had previously slashed prices by 3.7% in the March quarter.

Shares of Asian Paints Ltd. were up 1.40% at ₹2,945.75, while Berger Paints saw a 3% rise to ₹529.55 on the NSE during afternoon trading.

‘This price adjustment is necessary to counterbalance the inflation in input costs,’ noted industry analysts. As Asian Paints leads the way, other companies are expected to follow suit in the coming months.