PM Narendra Modi has a special request for Anushka Sharma

Three years after Prime Minister Narendra Modi's pet project Swachh Bharat Abhiyan was launched, the movement is set to become bigger. PM Modi is reaching out to celebrities and inviting them to be a part of Swachhata Hi Seva, a campaign which will "encourage widespread support for, and participation in cleanliness initiatives across India" in the days leading up to the birth anniversary of Mahatma Gandhi.

Anushka Sharma was one of the celebrities he reached out to, and the actor took to Twitter to announce her association with the campaign. Along with the picture of the letter, she wrote, "Happy Birthday to our honourable PM @narendramodi ji. Thank you Sir for the invitation to join the #SwachhataHiSeva movement. I am honoured to be a part of #SwachhBharat campaign and will do my best for the noble initiative of #SwachhataHiSeva."

On the work front, Anushka was last seen on the big screen in Imtiaz Ali's Jab Harry Met Sejal. She is currently working on her production, Pari, which she will also star in. Apart from this, she will be seen in Rajkumar Hirani's Sanjay Dutt biopic, Aanand L Rai's film in which Shah Rukh Khan will play a dwarf as well as a Yash Raj film titled Sui Dhaaga - Made in India.

Don't fret over PF deduction on salary slip, it can make you a crorepati

Don't fret over PF deduction on salary slip; it can make you a crorepati

While you may frown every time you look at your salary slip carrying mandatory deduction in the name of provident fund, you may be surprised to know that this little deduction every month has potential to make you a crorepati. Literally! Employees' Provident Fund (EPF) is a retirement saving product available to all salaried employees. While 12% of basic salary is deducted every month as your EPF contribution, your employer chips in with 3.33% of your salary into it. The remaining 8.67% goes towards pension. While the interest rate offered on EPF is not too high (8.65% p.a), what works in the favour of this investment product is the annual compounding. So even if you start at a modest salary of Rs 15,000 a month, you could accumulate a whopping Rs 2 crore by the time you retire with a 10 per cent salary hike every time (see graphic). However, to help you make a crorepati, this investment needs an unwavering commitment from you. So you need to stay invested in it till you hang your boots.

What if you switch jobs?

If you really want to become crorepati with EPF, then do not withdraw from it upon switching jobs. Instead, transfer the balance to the new account with the new employer to take advantage of the interest and the compounding. It can easily be done by registering on the EPF member portal with your Unified Account Number

Save tax too

Your EPF contributions are a great tax saver too. Contributions up to Rs 1.5 lakh can be claimed as deduction per year under section 80 C. You could actually end up with more money when add up the amount of money you have saved every year through this instrument.

Build your debt portfolio with it

In an age of low-yielding fixed deposits, your EPF can single-handedly account for the tax-efficient debt portion of your financial portfolio. Moreover, you can boost the debt portion of your portfolio with voluntary increases in your contribution.

North Korea launches missile over Japan

North Korea has fired a ballistic missile over northern Japan for the second time in less than a month, South Korea's Joint Chiefs of Staff said Friday.

The unidentified ballistic missile was launched from the district of Sunan in the North Korean capital of Pyongyang, home to the country's main airport, the South Korean military said.

The missile flew about 3,700 kilometers (2,300 miles) and reached an altitude of 770 kilometers (480) miles. It landed in the Pacific Ocean, South Korea said.

The US Pacific Command said its initial assessment indicated that North Korea had fired an intermediate-range ballistic missile. There were conflicting reports from Japan on the type of missile fired, though the government stressed that analysis was ongoing.

In response to North Korea's launch, South Korea carried out a "live fire drill" that included a missile launch which the South Korean Joint Chiefs of Staff said was capable of striking the Sunan airport launch site near Pyongyang used for today's launch.

The South Korean missile, which was launched from the country's east coast, was "a show of force in response to North Korea's latest provocation," a South Korean official told CNN.

The weapon that makes N. Korea more dangerous 01:12

A government warning, known as the J-Alert, said that "a missile" had passed over Hokkaido, northern Japan, before landing in the Pacific, NHK reported. "The government is advising people to stay away from anything that could be missile debris," the broadcaster said.

Japan's Coast Guard said no damage has been reported by the fallen object.

Speaking to reporters Friday, Japanese Prime Minister Shinzo Abe said the launch was "totally unacceptable" and went against "the international community's strong, united will for a peaceful solution."

The international community needs to unite and send clear message after North Korea's dangerous provocation," he said. "We must let North Korea understand there is no bright future for North Korea if it continues in this way."

He said the Japanese government tracked the launch of the missile and "took all possible measures."

South Korean President Moon Jae-in held a National Security meeting following the launch, according to an official at his office.

North Korea's last missile test, on August 29, was also fired from near the Pyongyang airport and overflew northern Japan.

US President Donald Trump has been briefed on the launch. When asked by a pool reporter about the launch Thursday evening Washington time at a dinner reception, Trump did not comment.

In a statement, US Secretary of State Rex Tillerson said the missile test was the second time the people of Japan "have been directly threatened in recent weeks."

"These continued provocations only deepen North Korea's diplomatic and economic isolation," Tillerson said.

"United Nations Security Council resolutions, including the most recent unanimous sanctions resolution, represent the floor, not the ceiling, of the actions we should take. We call on all nations to take new measures against the Kim regime."

He singled out Chinese oil supplies and Russia's use of North Korean migrant workers as two areas in which the two countries could take "direct action" against North Korea.

Japan and the US have requested the UN Security Council hold "urgent consultations" at 3 p.m. ET Friday, according to the Ethiopian Mission to the UN. Ethiopian Ambassador Tekeda Alemu is the current UN Security Council president.

First launch since nuclear test

The launch came just hours after the rogue nation responded to the United Nations Security Council's unanimous approval of additional sanctions by threatening to "sink" Japan and reduce the US mainland into "ash and darkness."

Those sanctions were prompted by North Korea's sixth nuclear test that occurred on September 3, which Pyongyang said was a successful test of a hydrogen bomb.

That explosion created a magnitude-6.3 tremor, making it the most powerful weapon Pyongyang has ever tested.

The nuclear test prompted discussions inside South Korea about the the redeployment of US tactical nuclear weapons in the country, an idea that the majority of the country's citizens approve of, according to recent polls.

But on Thursday, South Korean President Moon Jae-in dismissed the possibility, warning it could "lead to a nuclear arms race in northeast Asia."

"We need to develop our military capabilities in the face of North Korea's nuclear advancement," he told CNN in his first televised interview since the nuclear test. "I do not agree that South Korea needs to develop our own nuclear weapons or relocate tactical nuclear weapons in the face of North Korea's nuclear threat. To respond to North Korea by having our own nuclear weapons will not maintain peace on the Korean Peninsula and could lead to a nuclear arms race in northeast Asia."

South Korea has been conducting its own military drills since the September 3 nuclear test. As the missile was launched Friday, the South Korean military was carrying out its own live-fire drill that involved launching a ballistic missile.

A rapid pace

2017 has been a year of rapid progress for North Korea's missile program.

Less than six years into his reign, Kim Jong Un has tested more missiles than his father and grandfather combined. And this year has been no exception.

Prior to its most recent launch, the country has fired 21 missiles during 14 tests since February, further perfecting its technology with each launch.

There's also a political aspect to the tests, analysts say.

"This new missile test ... is both a reaction to the stringent UN sanctions of Monday evening and a wake-up call about the limits of sanctions and military threats as a way to change North Korea's behavior," said George A Lopez, a former member of the UN Security Council panel of experts for sanctions on North Korea.

He said Trump should use his speech to the UN General Assembly next week to "demonstrate US leadership in loyalty to all allies in the region and state our commitment to developing new and vibrant security guarantees for all states, including (North Korea), that are not based on the threat or use of nuclear weapons."

Peaceful pressure

Moon's strategy toward North Korea has drawn the wrath of US President Donald Trump, who accused the South Koreans of "appeasement" of their northern neighbors following the nuclear test.

The White House has been pursuing a strategy of what it calls "peaceful pressure" in dealing with North Korea -- trying to build a global coalition to squeeze North Korea's revenue and isolate it diplomatically so it will eventually put its missiles on the negotiating table.

China has been key to that strategy, as Beijing accounts for nearly 90% of all of North Korea's imports, according to recent data from the United Nations.

Hours before the launch, Trump touted his relationship with Chinese President Xi Jinping and their collaboration in addressing North Korea's rapidly escalating missile and nuclear programs.

"We have a very good relationship with China and with the President of China. We are working on different things," Trump said. "I can't tell you, obviously, what I'm working on. But believe me, the people of this country will be very, very safe."

"I think that a lot of effort is being put into this," he added.

Big relief for drivers: Order to carry original driving licence put on hold, but deadline looms

The Madras High Court today directed the Tamil Nadu government not to implement till September 5 its notification making it mandatory for drivers of all vehicles to carry original driving licence. Justice M Duraiswamy issued the order after recording the submission of Advocate General Vijay Narayan that authorities shall not implement the notification as per which drivers of all vehicles, including two-wheelers, were required to carry the original driving licence while driving from today.

Earlier, the Judge asked the AG to consider the hardship of drivers, particularly two-wheeler riders, and said that any law should not cause hardship to the public. He was hearing a petition by Tamil Nadu Lorry Owners Federation seeking to forbid the authorities from insisting that the motorists carry their original driving licence.

He later tagged the petition to a public interest litigation (PIL) on the same matter listed before a division bench for hearing on September 4. “The submission of AG is recorded and it is made clear that the authorities shall not implement the notification till September 5. Post the writ petition along with the PIL before the Division Bench,” he said in his order.

Calling the state transport commissioner’s notification “improper”, the counsel for the petitioner submitted that Rule 139 of Motor Vehicle Rules did not mandate the drivers to carry the original driving licence with them. He said usually the original driving licence would be deposited by the drivers with their employers and they carry a true copy while plying the vehicles. He said it would lead to a chaotic situation in transport industry.

The advocate general said as per Section 130 of Central Motor Vehicle Act, a person who drives the vehicle shall carry the driving license issued by the competent authority and not a photocopy of it. He submitted that a Supreme Court-appointed committee which had gone through various aspects had come to the conclusion that drivers should carry the original licence.

When the judge said if a two-wheeler rider carries the original licence in his pocket it can get wet during rain, the AG said the licence may be kept in a plastic cover.

Anitha who filed case against NEET commits suicide

Anitha had scored 1,176 out of 1,200 marks in Class XII and had a cut off of 196.75 for medicine.

A 17-year old Scheduled Caste girl, S. Anitha, who had scored 1,176 out of 1,200 marks in her Class XII State Board examinations but was unable to join the MBBS course due to poor scores in NEET, ended her life in Ariyalur district on Friday.

The daughter of a daily wage labourer, hailing from Kuzhumur village near Sendurai here, had impleaded herself as one of the respondents in a Supreme Court case challenging NEET.

Medical aspirant S. Anitha's mark sheet. 

Her death triggered strong reactions from political parties and social activists who had been seeking exemption for the State from NEET. Condoling her death, Chief Minister Edappadi K. Palaniswami offered a solatium of ₹7 lakh from the CM’s Relief Fund to her family and a job offer to one of the family members.

If medical admissions had been held on the basis of Plus Two scores as was in vogue for the past decade, Anitha, having scored centum in Physics, 199 in Chemistry and 194 in Biology (she also scored centum in Mathematics), would have secured a cut-off of 196.75 out of 200.

'She had a good chance of securing medical seat'

Considering that the MBBS cut-off for Scheduled Caste candidates last year was only 191.25 last year, she would have, in all probability, bagged a seat in a sought after Government medical college.

However, as admissions were conducted solely on the basis of NEET scores, Anitha did not qualify, as she had scored just 86 marks out of 720 in the test.

When she had gone to New Delhi to implead herself as a respondent in the NEET case in the Supreme Court, she had told journalists, “I want to be a doctor and I will be assured of a seat if the admission is based on Plus Two marks.”

Family grieves

“Her dream had crumbled and Anitha took the extreme step dejected over failing to secure a medical seat because of NEET. Her father and brothers supported the girl to the hilt to realise her ambition, but everything has gone waste,” said a sobbing S. Bhuvaneswari, the girl’s niece, also residing at Kuzhumur village.

Anitha had lost her mother at an early age and her father T. Shanmugam, a load man at the Gandhi Market in Tiruchi, could not afford special coaching for her daughter to prepare for NEET. She is also survived by her four brothers. “The girl seemed to be worried for the past one week although she did not express her emotions. Anitha was a very soft natured girl and was always very calm,” said Ms. Bhuvaneswari, adding that the government should at least now exempt T.N. from NEET.

According to her family, Anitha hung herself inside her house apparently using a saree. The girl’s father Shanmugam and grandmother were away when she took the extreme step. Her grandmother, T. Periammal, who returned home in the afternoon, found the girl hanging inside the house, Ms. Bhuvaneswari said.

Protests

As the word spread, angry villagers thronged her house and also staged a road roko at the village for over an hour assailing the State and Central governments for failing to get the state exempted from NEET thereby “crushing the dreams of lakhs of State board students.” The protestors raised slogans demanding immediate withdrawal of NEET.

A section of protesters set on fire an effigy of Prime Minister Narendra Modi. As the protests turned intense, a police contingent was moved to the village.

District Collector G. Lakshmi Priya along with Superintendent of Police Abhinav Kumar visited the house of Anitha and consoled the near ones of the girl.

The body of Anitha was later sent for post mortem to the Ariyalur Government Hospital. Police sources said the case would be investigated by a Deputy Superintendent of Police rank officer.

Medical college admissions in Tamil Nadu were conducted solely based on the Plus Two examination marks until last year. Though the Central government introduced NEET last year, Tamil Nadu was exempted from it. This year too, the State government sought exemption and the Legislative Assembly passed amendments to continue the existing practice in medical college admissions.

Union Minister Nirmala Sitharaman earlier said the Central government would support Tamil Nadu's ordinance, but in the Supreme Court the Centre changed its stand. The Supreme Court on August 22 directed the Tamil Nadu government to complete counselling process for medical admissions in the State on the basis of the NEET merit list by September 4.

The State's health helpline 104 and Sneha’s suicide prevention helpline 044-24640050 offer counselling for those in distress.

False hope was given to medical aspirants

Delayed tactics adopted by the government and politicians, and a setback in the apex court over National Eligibility and Entrance Test (NEET), depleted the confidence level of Dalit medical aspirant Anitha, which forced her to commit suicide, said S. Ilango, President, Indian Public Health Association on Friday.

Talking to media persons here, he said the confidence level of students who scored more than 1,700 marks in HSC examination was high, as they were sure of getting a medical seat in government colleges.

Anitha had a 196.5 cut-off mark.

Denial of seat to such a meritorious student had driven her to depression, he pointed out.

Initial activities of the State Government – repeated appeals to the Centre for exemption to NEET, State ministers meeting with Central Ministers and the latter’s assurance — had given false hope to medical students. Denial of exemption to NEET by the Supreme Court was a great set back to students of Tamil Nadu.

Even the last-minute efforts to get exemption at least for this year too fizzled out.

This depressed the medical aspirants.

More than 1,200 students, who got more than the eligible (189 to 192+) cut-off marks to get admission in medical colleges in the State could not get admission this year.

But students who scored less marks in HSC and got 250 out of a total 700 in NEET got admission, he pointed out.

The Government could have deputed counsellors to identify meritorious students in rural areas and given counselling about other prospective courses, or give assurance on admission next year by offering free training for the National Eligibility and Entrance Test , he added.

Aadhaar, PAN linking: Just 48 hours left, here's how to do it fast using e-Filing portal and via SMS

By this time you must have filed your income tax return for the Financial Year 2016-17 and most of you also have linked your Aadhaar number with the PAN card, as directed by the Income Tax Department. However, if you have still not linked the two cards for some unavoidable reasons, then it is time to do so as the deadline for linking Aadhaar with PAN, ie. August 31, is only two days away.

It may be noted that earlier the deadline for filing income tax return as well as linking Aadhaar with PAN was July 31st. However, in order to facilitate the e-filing of return, the government had extended the deadline for tax filing from July 31 to the 5th August, 2017, and had also extended the last date for the linking of PAN with Aadhaar to August 31.

The government had said that for filing one's tax return on the income tax website, it would be sufficient to quote one's Aadhaar number or Aadhaar enrolment ID and linking the two was not required for those who hadn't already done it.

Still, you are required to link your Aadhaar number with the PAN card till August 31 because if you fail to do so, your income tax returns will not be processed. "The returns will not be processed until the linkage of Aadhaar with PAN is done," CBDT had earlier said.

Although there was some confusion in view of the recent Supreme Court verdict on privacy. However, UIDAI CEO Ajay Bhushan clarified that "taxpayers will have to link their PAN with Aadhaar by the stipulated deadline, which is 31st August, as the Supreme Court verdict on privacy has no bearing on the requirement."

No need to mention that taxpayers have to link their Aadhaar number with the PAN card by August 31. Thankfully, linking your Aadhaar number with your PAN card has now been made very easy. You can link your Aadhaar number with PAN by any of the two ways: Using SMS facility and using facility on e-Filing portal - http://incometaxindiaefiling.gov.in.

1. Linking Aadhaar number with PAN using SMS facility:

Taxpayers who wants to link their Aadhaar number with PAN are required to send SMS to 567678 or 56161 in the following format:

Example of SMS to 567678 or 56161:

UIDPAN 111122223333 AAAPA9999Q

Aadhaar number will be linked with PAN if the name of the taxpayer is identical to Aadhaar and PAN.

2. Linking Aadhaar number with PAN using e-Filing portal:

# With your Aadhar and PAN card handy, go to the Income Tax e-Filing portal and register (if you haven't done yet). Registered members can log in using their ID, password, and date of birth.

# Usually, a pop-up window prompting you to link PAN with Aadhaar card appears, but if you have activated a pop-up blocker, then you need to click on "Link Aadhar".

# Submit your details including PAN, Aadhaar number, and name as per Aadhaar. Verify the captcha and click "Link Aadhaar" button.

# Upon successful validation of your Aadhaar, it will be automatically linked to your PAN.

# A pop-up will verify that the linking has been successfully processed.

For Social Benefits, Government Extends Aadhaar Deadline To December 31

Aadhaar details will have to be furnished to benefit from any welfare schemes till the end of the year, the government said in court today, extending the original deadline of September 30. Whether the state can compulsorily link Aadhar - a 12-digit unique number assigned to every Indian - to various programs and all financial transactions has been challenged in the Supreme Court with the petitioners alleging that it violates the right to privacy.

Last week, a rare nine-judge bench ruled against the government to declare that privacy is a fundamental right.

Separately, judges will rule in early November on whether the government's linking of Aadhaar to tax returns, direct cash transfers to beneficiaries of welfare schemes, and bank loans violates that fundamental right. The government has said that privacy as in intrinsic right comes with reasonable limits - like those on freedom of speech, for example - and that Aadhaar is a secure form of digital identification for citizens which can be used for government services while streamlining welfare benefit payments and reducing wastage.

The Aadhaar data base has already recorded the biometrics of more than a billion Indians. The government has argued that Aadhaar information is carefully protected. Campaigners against it say it allows the states unqualified powers of surveillance.

The program to collect the iris scans and fingerprints of all Indians was launched in 2009 by the former Congress-led government. Critics point out that it was launched as a voluntary programme that is now being imposed on everything from travel to securing bank loans

Government has no plans yet to reissue Rs 1,000 currency notes

Rumours of government bringing back Rs 1,000 currency notes were put to rest with Ministry of Finance denying any such plans.

"There is no proposal to reintroduce 1,000 rupee note" said Economic Affairs Secretary Subhash Chandra Garg in a tweet.

Reports of Rs 1,000 currency bills being reintroduced started doing the rounds shortly after the Reserve Bank of India issued new 200 rupee notes for the first time ever on August 25. Rs 1,000 currency notes were scrapped in demonetisation of high denomination notes back in November last year. Modi government had announced the withdrawal of old Rs 500 and Rs 1,000 currency notes to put a check on black money, influx of counterfeit notes and terror financing.

The RBI had issued Rs 2,000 notes along with new Rs 500 bills, with additional security features.

The central bank also launched Rs 200 notes to ease pressure on lower-denomination currency bills and also fill the "missing link" between Rs 100 and Rs 500 currency. Besides the bright yellow 200 rupee notes, Rs 50 currency bills in fluorescent blue with revised designs and security features was also introduced earlier this month. Both new notes were issued with new Mahatma Gandhi series and signature of RBI Governor Urjit Patel.

The RBI has already announced that it would be ramping up the supply of Rs 200 notes.


The optimal system of denominations of currency (coins and notes), the RBI had said, is one that would minimise the number of denominations and concurrently increase the probability of proffering exact change.

"So, what should be the optimal mix of currency denominations? Many countries have opted to use a near variation of the Renard Series, i.e., 1:2 or 1:2.5 ratio between adjacent denominations of currency, which means that the denomination should be twice or two and half times of its preceding denomination," the central bank had said.



Such a ratio allows exchange of value ordinarily in a maximum of three denominations, it added.

Amidst new and revised notes being issued, Finance Minister Arun Jaitley had clarified last week that Rs 2000 notes in circulation will continue to be legal tender. The RBI, however, has reportedly stopped printing new Rs 2000 notes.

New Rs 200 note image leaked, may reach ATM near you next week; here is how it looks like

The Union Government on Wednesday morning confirmed that it will soon be releasing the new Rs 200 notes. The new currency notes will be issued by the Reserve Bank of India (RBI). While no immediate date was made known, the new denomination could well hit ATMs and banks as early as next week."In exercise of the powers conferred by sub-section (1) of section 24 of the Reserve Bank of India Act, 1934 and on the recommendations of the Central Board of Directors of the Reserve Bank of India, the Central Government hereby specifies the denomination of bank notes of the value of two hundred rupees," an official government notification said.

Since there are no denomination notes between Rs 100 and Rs 500, the RBI is expecting the new Rs 200 currency note to be an instant hit among the people. As soon as the new Rs 200 note was confirmed by the RBI, an image of it has gone viral on the internet. However, FinancialExpress.com cannot verify the authenticity of the image.

The new Rs 200 note will help in day-to-day transactions and will replenish the reduction in Rs 500 notes following the demonetisation move by the Union government on November 8 last year. "The new 200 notes will carry advanced security features. The authorities are taking extra precaution to prevent counterfeiting," an official aware of the printing schedule had said, as per the Indian Express report.

Along with the new Rs 200 note, the government has also confirmed a new Rs 50 note. The earlier Rs 50 notes will continue to remain legal tender. The new Rs 50 notes are in the Mahatma Gandhi (New) Series, bearing the signature of Dr Urjit R. Patel, Governor, Reserve Bank of India. The new note has the motif of Hampi with Chariot on the reverse, depicting the country?s cultural heritage.

RBI stops printing Rs 2000 notes, focus now on new Rs 200 notes

RBI hasn’t printed Rs 2000 notes for five months now, even as its Mysuru printing press stepped up printing of Rs 200 notes that are likely to be introduced next month

The Reserve Bank of India (RBI) introduced Rs 2000 notes after the 8 November demonetisation move that invalidated high denomination currency notes. Photo: Pradeep Gaur/Mint

The Reserve Bank of India (RBI) stopped printing Rs 2000 notes about five months ago and is unlikely to print more in the current financial year, said people aware of the development. The central bank, however, has stepped up the printing of other denominations, including new Rs 200 notes, the people added on condition of anonymity.

About 3.7 billion Rs 2000 notes amounting to Rs 7.4 trillion have been printed, said one of the people cited above. That more than compensates for the 6.3 billion Rs 1000 notes that were withdrawn after Prime Minister Narendra Modi’s demonetisation move on 8 November 2016.

“Most of the printing that’s being done, about 90% is only Rs 500 notes. Nearly 14 billion pieces of new Rs 500 notes have been printed so far,” this person said.

That is also close to the 15.7 billion of old Rs 500 notes (amounting to Rs 7.85 trillion) withdrawn from circulation after 8 November.

RBI data shows that currency in circulation stood at Rs 15.22 trillion as on 14 July, eight months after demonetization. This is about 86% of the Rs 17.7 trillion that was in circulation on 4 November.

Separately, RBI’s printing press in Mysuru has also started printing the new Rs 200 notes, which are likely to come into circulation next month, according to a second person.

“Initially, around a billion Rs 200 notes are expected to hit the market,” this person added.

The central bank did not respond to an email seeking comment.

The new batches of Rs 500 notes are expected to ease the shortage of Rs 2000 notes in circulation that is being reported in certain parts of the country. The Economic Times first reported this shortage on 20 July.

“The cash crunch which existed till two months ago has now eased with RBI increasing supply of Rs 500 notes over the last 40 days,” said Neeraj Vyas, deputy managing director, State Bank of India (SBI). “But we have also seen a sharp drop in the supply of Rs 2000 notes during this period.”

RBI is possibly keeping the supply of Rs 2000 bank notes low because the central bank wants to get the right mix, according to SBI chief economist Soumya Kanti Ghosh. In the initial days of remonetisation, RBI had focused on Rs 2000 notes to quickly increase currency in circulation.

A 19 July report from SBI’s economic research wing showed that cash on hand with banks is high at 5.4% of currency in circulation compared with 3.8% pre-demonetisation. This shows that there is excess cash lying in ATMs or bank branches, most of which could mostly be Rs 2000 notes, concluded the report.

“Although we haven’t see any drop in supply of Rs 2000 notes, we expect it to be moved out of ATMs once Rs 200 notes hit the market,” said Radha Rama Dorai, country head, ATM and allied services, at ATM service provider FIS.

Using A Credit Card Regularly? Here Are 10 Important Things That You Should Know

The use of plastic money has increased over the years, especially post demonetisation. According to a recent media report, by the end of Mar 2017, there were 29.8 million active Credit Cards in India. Despite the credit aspect and associated interest charges, people have been transacting in large sizes through Credit Cards. The easy availability, advantage of paying through EMI, and rewards and discounts are the major attractions. However, lack of financial discipline and careless usage can cost a hefty price.

Let’s explore 10 smart ways in which you can avoid getting into a debt or distress due to Credit Card usage.

Pay Due Amount On Time

If you do not pay the outstanding amount on or before the due date, you are charged with an interest rate, which ranges between 24% and 48% p.a. On failing to pay the minimum due amount repeatedly, your CIBIL score would get negatively impacted. So, make sure you pay the outstanding amount on time to avoid paying interest and penalties.

One way of doing it is by setting a reminder on phone. You can also set an auto debit instruction with your online banking account for making payment of the Credit Card bill on a specific date after the bill is generated.

Maintain Low Card Utilisation Ratio

It is important that you do not exhaust the complete Credit Card limit on a regular basis as it increases your credit utilisation ratio, impacting your credit profile negatively in the long term. Banks and financial institutions identify you to be credit hungry if your credit utilisation ratio is high. A credit utilisation ratio of around 40% is advisable.

Don’t Withdraw Cash

When you withdraw cash using a Credit Card, you do not get an interest-free period on it. You are charged with an interest of around 24% to 48% p.a. from the day of withdrawal. It’s best to stick to Debit Cards, when it comes to withdrawal of cash, and save the unnecessary interest outgo.

Use The Interest-Free Period Smartly

The easy accessibility of Credit Cards often leads to spending beyond means. Remember, it is not a borrowing tool. If you are in a real need to borrow, look for alternatives such as Personal Loan or other secured loans. The interest rates on these loans are lower than that of Credit Cards.

Make Good Use Of Reward Points

Credit Cards come loaded with benefits such as cashbacks, discounts, etc. Do watch out for such offers and save up on your expenses while shopping. You can also earn reward points on specific merchandises.

Use The Credit Card And Wallet Combination

Some e-wallet companies have tied up with banks to offer interest-free credit period on transferring money to mobile e-wallet. You can save up a lot more by availing the benefits offered by both Credit Card and e-wallets.

Use Multiple Credit Cards In Rotation

If you have multiple Credit Cards, use them in rotation to keep the utilisation ratio in control. It would also help you to keep all your accounts open and cards active in the long-term.

Get The Right Card That Suits You

There are many types of Credit Cards available in the market with some offering benefits on flight bookings while some offering cashback on fuel etc. You must pick the one that suits your needs best.

Redeem Credit Card Reward Points On Time

The reward points that you accumulate over time on merchandises can be redeemed to avail discount on transactions. However, these reward points have a validity period. If you do not redeem the Credit Card reward points before the expiry date, your accumulated reward points get wasted. The validity period usually varies from one year to three years.

Read Your Credit Card Statement Regularly

Your Credit Card statement carries all the charges, interest and penalties levied by the Credit Card company. You must read this document without missing a detail. If there is an unaccounted element, you must immediately report to the Credit Card company.

Smart use of the Credit Card not only saves your money, but also improves your credit profile along with adding to your financial reputation.

Traders with turnover below Rs 20 lakh per annum will have to register for GST, says Centre

The revenue secretary will be holding ‘masterclasses’ on the new tax regime for six days in Delhi to clear any doubts.

The Centre on Thursday announced that traders who have a turnover below Rs 20 lakh per annum will have to register for the Goods and Services Tax, reported ANI. Revenue Secretary Hasmukh Adhia said that such traders will have to apply for GST if they want to do business with other states.

The GST Council had in 2016 decided that businesses in the Northeastern and hill states with annual turnover below Rs 10 lakh would be out of the GST net, while the threshold for the exemption in the rest of India would be an annual turnover of Rs 20 lakh. “For GST, the exemption threshold is fixed at Rs 20 lakh,” Council Chairperson and Union Finance Minister Arun Jaitley had said.

Adhia had on Tuesday said the GST regime had been successfully implemented and that the price and supply situation was being closely monitored. A central monitoring panel will meet every Tuesday, the revenue secretary had said, adding that manufacturers will have to advertise the change in the prices of their products.

Adhia would also be holding “masterclasses” on GST for six days at the National Media Centre in New Delhi to clear any doubts about the new tax law. “The government is committed to make the GST an all-out success and not let the lack of any clarity or information act as a hurdle,” a senior government official said.

Here’s how to link your Aadhaar with PAN card

As many as 2.07 crore taxpayers have already linked their Aadhaar with PAN. There are over 25 crore PAN card holders in the country while Aadhaar has been issued to 111 crore people.

Aadhaar is mandatory for filing income tax returns

The government has made it mandatory to link existing Aadhaar numbers with PAN of taxpayers with effect from July 1.

Amending income tax rules and notifying the same, the government has made quoting of the 12-digit biometric Aadhaar or the enrolment ID a must at the time of application of permanent account number (PAN).

As many as 2.07 crore taxpayers have already linked their Aadhaar with PAN. There are over 25 crore PAN card holders in the country while Aadhaar has been issued to 111 crore people.

While Aadhaar is a biometric authentication issued by the UIDAI, PAN is a 10-digit alphanumeric number alloted by the I-T department to individuals and entities.

To link your Aadhaar with PAN:

*Go to the e-filing website and click on the tab ‘Link Aadhaar’ on the left-hand side of the website.

*Fill your PAN and Aadhaar number

*Then enter your name exactly as mentioned in Aadhaar and then submit it.

After verification of details from the Unique Identification Authority of India (UIDAI), the linking will be confirmed.

If you are already registered on the e-filing website:

*You can link your Aadhaar after logging-in to the e-filing website.

*Just click on the Aadhaar linking option under profile settings.

*The details as per PAN will be pre-populated and you only need to enter your Aadhaar number and name exactly as mentioned in Aadhaar.

*Once you link your Aadhaar with PAN, you will be able to e-verify your income tax return using OTP sent to your mobile.

*If your Aadhaar name is completely different from your name in PAN, then the linking will fail and the taxpayer will be prompted to change the name in either Aadhaar or PAN database.

Making corrections in PAN and Aadhaar :

For making corrections in your PAN or Aadhaar, you log on to National Securities Depository Ltd (NSDL) website and UIDAI portal, respectively.

Over 60% Indians satisfied with Modi govt, says study

Three out of five Indians are satisfied with Narendra Modi government’s performance even though a majority finds it sliding on most parameters measuring their economic well-being, a survey conducted by LocalCircles indicates.

Tuesday, May 16, marks the third anniversary of the NDA’s victory in the Lok Sabha elections. Over 40,000 respondents registered on the LocalCircles website that received 2,00,000 votes from over 200 cities.

The NDA government, in the first three years of its tenure, either met or exceeded expectations of 61% of the people while 59% were of the view that it is well on track to fulfil pre-poll promises.

This was despite the negative sentiments people had about the government’s performance on crucial parameters, including job creation, prices of essential commodities and cost of living, healthcare facilities and services, crime against women and children, cleanliness in cities and the effect of demonetisation in reducing corruption.

Of the missions the government has launched, direct benefit transfer (DBT) got the highest approval (47%) and Make in India the lowest (8%).

The areas in which the Modi government scored high in the survey were foreign policy, especially vis-à-vis Pakistan, handling of issues relating to communalism, infrastructure development and performance in Parliament in terms of delivery on key bills.

While 81% respondents felt that India’s image and influence in the world had improved, 64% respondents approved of the way the government has dealt with Pakistan, a significant increase since last year when this figure stood at 34%.

About 51% said that the government’s demonetisation exercise, which scrapped high-value banknotes of Rs 500 and Rs 1,000 in November last year, was successful in cracking down on black money.

 

The fact that a majority of citizens expressed satisfaction with the performance of the government despite their poor rating of schemes that have a direct bearing on their daily life seemed to reflect the trust people still repose in Prime Minister Modi. The survey report came as an indictment of parliamentarians, with 69% citizens saying that their elected MPs did not engage in addressing issues of their constituencies.

This was the third annual survey on the government’s performance by LocalCircles. Compared to last year, there was a marginal fall in the percentage of people who said the NDA government met their expectations — from 46% to 44% — while dissatisfaction rose by 3% to 36%. “Overall, as change hasn’t come fast enough for most people, there is a decline in citizens’ rating of the government in most areas compared to last year,” stated LocalCircles.

Only 28% of the citizens believed that the prices of essential commodities came down for them, as against 38% last year. “This means there is a difference between citizens’ perception and official inflation indicators,” said the survey agency. 

Why CBI raided premises linked to P Chidambaram, son Karti: All you need to know

The Central Bureau of Investigation (CBI) officials today raided multiple premises linked to former Union Finance minister P Chidambaram and his son Karti in Tamil Nadu as well as other states. The raids were conducted in connection with alleged favours granted in FIPB clearance to a firm, according to PTI. Official sources told the agency that the raids were carried out in Mumbai, Delhi, Chennai, and Gurugram. The raids were also carried out at Chidambaram's Chennai residence in Nungambakkam, they added. Some reports said that raids were also carried out at Chidambaram's hometown Karaikudi.

  

Why CBI carried out the raids?

CBI has not issued any official statement about the reason of the raids. ANI quoted reports as saying that the raids were a part of an investigation into the Aircel-Maxis case. Reports also said that the raids may have been carried out in connection with the clearances given to INX media, which was once owned by Peter Mukerjea, according to ANI.

The probe agency had recently filed a case regarding Foreign Investment Promotion Board (FIPB) clearance given to a company, which received alleged favours when Chidambaram was India's Finance minister.

Karti is facing alleged money laundering charges in connection with the Aircel-Maxis deal. His offices were raided in past as well.

What is Aircel-Maxis case?

Foreign Investment Promotion Board (FIPB) clearance was given to Aircel-Maxis by Chidambaram in 2006. On April 17 this year, PTI reported that Enforcement Directorate (ED) was probing several aspects of FIPB approval given to Aircel-Maxis including the role of Chidambaram under anti-money laundering laws.

In a statement, ED had said, "Investigations under the Prevention of Money Laundering Act (PMLA) are going on in respect of FIPB approval given to Aircel-Maxis by the then Finance Minister (Chidambaram)...In the case, foreign inflow was Rs 3,500 crore (approximately) whereas as per government policy and FIPB guidelines competent authority was Cabinet Committee of Economic Affairs for any inflow above Rs 600 crore.?

In a sealed cover, the ED recently filed before the Supreme Court a status report of its ongoing investigation in this case.

What is FIPB?

The Foreign Investment Promotion Board (FIPB) offers a single window clearance for applications on Foreign Direct Investment (FDI) in India that are under the approval route. According to the official website of FIPB (fipb.gov.in) the sectors under automatic route do not require any prior approval from FIPB and are subject to only sectoral laws.

FIPB comes under the Depart of Economic Affairs, Ministry of Finance. It is an inter-ministerial body, responsible for processing of FDI proposals and making recommendations for Government approval.

FIPB rules say, "Recommendations of FIPB in respect of the project proposals each involving a total investment of Rs 600 Crore or less would be considered and approved by the Industry Minister. The recommendations in respect of the projects each with a total investment of above Rs 600 Crore would be submitted to the Cabinet Committee on Foreign Investment (CCFI) for decision."

What Chidambaram said

ANI reported the former Finance Minister as saying that the government was trying to silence his voice with the raids. "Government by using CBI and other agencies is targeting my son and his friends. The government wants to silence my voice," he said, adding, "The government wants to stop me from writing as it has tried to with leaders of Opposition parties, journalists, columnists, NGOs and civil society."

The former Finance Minister further clarified that no wrongdoings were done under his watch in connection with the FIPB approval. "Every case was processed according to the law and approval granted or refused accordance with FIPB recommendations consisting of five Government of India Secretaries," ANI reported him as saying.

Worst Chemical gas attack in Syria reportedly kills dozens draws international outrage

The body of a child after a reported gas attack on Tuesday in the Syrian town of Khan Sheikhoun in Idlib Province.

One of the worst chemical bombings in Syria turned a northern rebel-held area into a toxic kill zone on Tuesday, inciting international outrage over the ever-increasing government impunity shown in the country’s six-year war.

Western leaders including President Trump blamed the Syrian government of President Bashar al-Assad and called on its patrons, Russia and Iran, to prevent a recurrence of what many described as a war crime.

Dozens of people, including children, died — some writhing, choking, gasping or foaming at the mouth — after breathing in poison that possibly contained a nerve agent or other banned chemicals, according to witnesses, doctors and rescue workers. They said the toxic substance spread after warplanes dropped bombs in the early morning hours. Some rescue workers grew ill and collapsed from proximity to the dead.

The opposition-run Health Department in Idlib Province, where the attack took place, said 69 people had died, providing a list of their names. The dead were still being identified, and some humanitarian groups said as many as 100 had died.

The government of Mr. Assad, who renounced chemical weapons nearly five years ago after a large chemical attack that American intelligence agencies concluded was carried out by his forces, denied that his military had been responsible, as he has done every time chemical munitions have been used in Syria.

A statement from the Syrian military accused insurgents of responsibility and said they had accused the army of using toxic weapons “every time they fail to achieve the goals of their sponsors.”

But only the Syrian military had the ability and the motive to carry out an aerial attack like the one that struck the rebel-held town of Khan Sheikhoun.

Russia offered another explanation. A spokesman for its Defense Ministry, Maj. Gen. Igor Konashenkov, said Syrian warplanes had struck an insurgent storehouse containing toxic substances to be used in chemical weapons.

Witnesses to the attack said it began before 7 a.m. Numerous photographs and graphic videos posted online by activists and residents showed children and older adults gasping and struggling to breathe, or lying motionless in the mud as rescue workers ripped off victims’ clothes and hosed them down. The bodies of at least 10 children lay lined up on the ground or under a quilt.

A few hours later, according to several witnesses, another airstrike hit one of the clinics treating victims, who had been sent to smaller hospitals and maternity wards because the area’s largest hospital was severely damaged by an airstrike two days earlier.

The scale and brazenness of the assault threatened to further subvert a nominal and often violated cease-fire that had taken hold in parts of the country since Mr. Assad’s forces retook the northern city of Aleppo in December with Russian help, emboldening the Syrian leader to think he could win the war.Photo

Victims receiving treatment at a makeshift hospital. 

The attack also seemed likely to dampen peace talks that have been overseen by the United Nations in Geneva and by Russia and Turkey in Astana, Kazakhstan.

Incredulous over the chemical assault, humanitarian groups demanded action from the United Nations Security Council, where partisan divides over who is to blame for the Syrian war have paralyzed its members almost since the conflict began in 2011.

On Tuesday night, Britain, France and the United States were pushing the Security Council to adopt a resolution that condemns the attack and orders the Syrian government to provide all flight logs, flight plans and names of commanders in charge of air operations, including those for Tuesday, to international investigators.

The draft resolution, negotiated among diplomats from the three countries on Tuesday, was later circulated to all 15 members of the Council. It could come up for a vote as early as Wednesday.

For Mr. Trump, who has repeatedly blamed what he has called President Barack Obama’s failures for the Syria crisis, the chemical weapons assault posed a potential policy dilemma and exposed some glaring contradictions in his own evolving positions on Syria.

The White House called the attack a “reprehensible” act against innocent people “that cannot be ignored by the civilized world.”Photo

Victims of the attack on Tuesday. It appeared to be the largest and most toxic chemical attack in Syria since August 2013, when more than 1,000 people were killed in the Damascus suburbs by the banned toxin sarin.

At the same time, Mr. Trump’s spokesman, Sean Spicer, denounced Mr. Obama for having failed to make good on his famous “red line” statement in 2012, suggesting he would intervene militarily in Syria if Mr. Assad used chemical weapons.

But in August 2013, Mr. Trump exhorted Mr. Obama not to intervene after a chemical weapons attack near Damascus that American intelligence attributed to the Syrian military killed more than 1,400 civilians, including hundreds of children, according to United States government estimates at the time. “President Obama, do not attack Syria,” Mr. Trump said on Twitter. “There is no upside and tremendous downside.”

Mr. Trump’s administration, which would like to shift the focus in Syria entirely to fighting the Islamic State, has in recent days described Mr. Assad’s hold on his office as a political reality — an assertion that has drawn strong condemnation from influential Republicans who say Mr. Assad must leave power.

Secretary of State Rex W. Tillerson, who had said that Mr. Assad’s fate “will be decided by the Syrian people,” struck a sharply different tone on Tuesday, urging Mr. Assad’s allies Russia and Iran “to exercise their influence over the Syrian regime and to guarantee that this sort of horrific attack never happens again.”

Mr. Tillerson added that “Russia and Iran also bear great moral responsibility for these deaths.”

Russia has insisted that it had no military role in the strike. But a State Department official who briefed reporters in Washington said Russian officials were trying to evade their responsibility because Russia and Iran were guarantors of the Assad government’s commitment to adhere to a cease-fire in the peace talks that the Kremlin had helped organize in Astana.

Rescue workers from the White Helmets civil defense organization said that many children were among the dead and wounded. Radi Saad, who writes incident reports for the group, said that volunteers had reached the site not knowing a chemical was present and that five of them had suffered from exposure to the substance.

While chlorine gas attacks have become almost routine in northern Syria, this one was different, medical workers and witnesses said. Chlorine attacks usually kill just a few people, often those trapped in an enclosed space, and the gas dissipates quickly.

This time, people collapsed outdoors, and in much larger numbers. The symptoms were different: They included the pinpoint pupils of victims that characterize nerve agents and other banned poisons. One doctor posted a video of a patient’s eye, showing the pupil reduced to a dot. Several people were sickened simply by coming into contact with victims.

The opposition minister of health, Mohamad Firas al-Jundi, said in a video that he had been in a field hospital at 7:30 a.m. when more than 100 people arrived wounded or sickened.

“The patients are in the corridors and on the floors of the operation rooms, the E.R.s and in the patient rooms,” he said. “I saw more than 10 deaths due to this attack.”

Symptoms included suffocation; fluid in the lungs, with foam coming from the mouth; unconsciousness; spasms; and paralysis, he said.

“It’s a shocking act,” he said. “The world knows and is aware of what’s happening in Syria, and we are ready to submit evidence to criminal laboratories to prove the use of these gases.”

A 14-year-old resident of the attacked town, Mariam Abu Khalil, said she had left home for her examination on the Quran — scheduled for early morning because fewer bombings were expected then — when the attack took place. On the way, she saw an aircraft drop a bomb on a one-story building a few dozen yards away. In a telephone interview Tuesday night, she described an explosion like a yellow mushroom cloud that stung her eyes. “It was like a winter fog,” she said.

Sheltering in her home nearby, she saw several residents arrive by car to help the wounded. “When they got out, they inhaled the gas and died,” she said.

The attack appeared to be the deadliest chemical attack in Syria since the August 2013 assault. Under threat of United States retaliation, Mr. Assad agreed to a Russian-American deal to eliminate his country’s chemical weapons program, which until that time it had denied having, and to join an international treaty banning chemical weapons.

But the operation took far longer than expected and raised questions about whether all the materials were accounted for. The head of the international monitoring body, the Organization for the Prohibition of Chemical Weapons, complained in an internal report about misleading statements from Damascus and expressed concern about possible undeclared chemical weapons.

Since then, the organization, working with the United Nations, has found that the Syrian government used chlorine gas as a weapon three times in 2014 and 2015, violating the treaty. Rebel fighters, doctors and antigovernment activists say there have been numerous other chlorine attacks, including at least two in the past week, in one case killing a doctor as he worked.

The Organization for the Prohibition of Chemical Weapons has also accused the Islamic State of using banned mustard gas in Iraq and Syria. The area around Khan Sheikhoun is not held by the Islamic State, but by other insurgents: Qaeda-linked militants and a variety of other rebel groups.

A chemical weapons attack, if carried out by the government, would be a brazen statement of impunity, coming during a major international meeting in Brussels where officials are debating whether the European Union and other countries will contribute billions of dollars for reconstructing Syria if it is presided over by a government run by Mr. Assad.

Indian economy to pick up once impact of note ban fades

India's economic growth is expected to pick up once the effects of cash shortages linked to the currency exchange initiative fade, the International Monetary Fund (IMF) has said. Prime Minister Narendra Modi on November 8 had announced scrapping of old Rs 500 and Rs 1000 notes, pulling out 86 per cent of the total currency in circulation.

 

Noting that India's fiscal deficit is expected to continue narrowing in the near-term, the IMF in its note titled 'Global Prospects and Policy Challenges' said, "Further subsidy reduction and tax reforms, including a robust design and full implementation of the Goods and Services Tax (GST), are necessary to attain medium-term fiscal consolidation plans."

It further observed that in some emerging economies like China and India reducing excessive corporate leverage and improving bank's balance sheets or adopting more prudent risk-management practices, including to reduce currency and maturity balance sheet mismatches, will help reduce vulnerabilities to global financial conditions, possible capital outflows, and sharp currency movements. The government last month pegged GDP growth at 7.1 per cent for 2016-17 despite the note ban. The Central Statistics Office (CSO) had put the figure for October-December at 7 per cent, compared to 7.4 per cent in the second quarter and 7.2 per cent in the first.

India's growth was higher than China's 6.8 per cent for October-December of 2016. The growth numbers were better than those projected by RBI (6.9 per cent) and international agencies like IMF (6.6 per cent) and OECD (7 per cent) in view of the cash recall. The Organisation for Economic Cooperation and Development (OECD) in February last year had projected the country's growth at 7.4 per cent for 2016-17. Buoyed by higher-than-expected growth, Finance Minister Arun Jaitley has also said a 7 per cent expansion in the third quarter belies the exaggerated claims of note ban impact on the rural economy.

10 allowances which form salary of an individual under the I-T Act

If you think that your entire salary is taxable, then that is not true. The overall package, which is termed as CTC, comprises many allowances. While calculating taxes, employees must know which allowance in the salary slip is actually taxable because there are certain other allowances which may be tax-free or fully or partially exempted in the hands of an employee.

Here are ten components which you generally see in your salary slip, but do not know the various tax implications occurring on the overall package. One should be aware of the exact taxable salary which he/she is drawing from one's respective employer.

Basic Salary

Your salary is divided into various components. Basic salary is one of the important components of a salary because various other components are dependent on it in terms of percentage or the other. It is a fixed component in your pay slip and forms the basic part of the salary. It forms a large portion of your total annual salary. HRA is mostly calculated as 40% /50% of the basic salary whereas PF is calculated at 12% of the basic salary.

House Rent Allowance

HRA, which is part of the basic salary, is fully or partially exempt from taxes. Salaried individuals who live in a rented house can claim HRA to lower their taxes. If you are not living in a rented house then your HRA is fully taxable.

Dearness Allowance:

Dearness Allowance (DA) is an allowance paid to employees as a cost of living adjustment allowance. The allowance is paid to the employees to manage the inflation. DA is fully taxable with salary. The income tax act clearly specifies that tax liability for DA will be calculated along with salary. It should be declared while filing your income tax returns.

Conveyance Allowance

You do not have to provide any document of conveyance allowance from your employer. The total amount of Rs1600 per month or Rs 19200 per annum can be claimed as tax exemption under this allowance. It is given to employees to meet their daily routine expenses travelling from your home to work. The limit was doubled in the budget 2015. Earlier it was Rs 800 per month.

Special Allowance

After doing all the allocation of your salary into various components, you may see a component as 'special allowance' which is fully taxable. This allowance can include any amount as it is taxable. This allowance is used by the company to formulate the salary of an employee.

Bonus

There are various kinds of bonuses like annual bonus, semi-annual bonus, performance bonus, festive bonus, etc. It is usually paid on the occurrence of an event, semi-annually or annually. Bonus, paid to the employee by any name, is fully taxable.

Medical Reimbursement

If your medical bills have not exceeded Rs.15000 in a particular financial year, then that particular reimbursement claimed by salaried employees are not taxable adhering to certain terms and conditions. For claiming reimbursement, you need to submit bills to your employer. The expenses as mentioned in the bill should be in relation to the consultation of doctor, medicines, medical tests etc.

Employee Contribution to PF

It is one of the important components where both employer and employee contribute 12% of the employee's basic salary every month toward employees provident fund. The higher the basic salary, the more EPF will be accumulated every month for your retirement. The accumulated money also earns compounded interest over it. This saving over a time period helps in generating good corpus or retirement.

Leave Travel Allowance

The exemption is provided for short distance trips mainly within the country itself. This allowance can be claimed for going on a trip with a spouse, children and parents, but not relatives or friends, etc. you need to submit the bills, tickets, all the actual expenses occurring during the journey to your employer to claim for this particular exemption.

Overtime Allowance

Nowadays most of the companies are running 24x7 where employees, sometimes or as per the employer's requirement, have to do overtime and for doing so they are being paid extra amount. This extra amount is showed as overtime allowance in the pay slip of employees working over and above the regular work hours. The allowance received through overtime allowance is fully taxable under the IT Act.