RDG Study Center

The Public Provident Fund is a saving as well as tax saving instrument in India. It was introduced by National Savings institute of the Ministry of Finance in the year 1968. This scheme is fully guaranteed by the central government. A person in a year can deposit to the maximum of Rs 1.5 lakhs and the minimum deposit in a year is Rs 500 but if any contribution of minimum amount in any year is not invested then the account will be deactivated and to activate the same the investor has to bear penalty for each inactive year. Any amount deposited in excess of Rs 1.5 lakhs in a year won't earn any interest. The deposit in the amount can be made in lump sum but subject to a maximum of 12 installments in a year. The interest rate is compounded annually and paid on 31st march every year. The interest rate is fixed by the government and the current interest rate ( July 2019 - December 2019) is 8%. The duration of the scheme is 15 years but it can be extended for more in blocks of

RBI has issued a circular on TAT harmonisation and customer compensation in case of failed transactions. The Reserve Bank of India (RBI) has issued a circular dated September 20, 2019, on the harmonisation of Turn Around Time (TAT) and customer compensation in case of failed transactions. This means that if the bank does not reverse the money debited from your bank account due to a failed transaction within a specified time period, then they would have to pay a penalty to the customer. The penalty has to be paid on a per day basis for delaying the credit of money into the customer's account. As per rules, your bank has to pay a penalty to you if it delays reversing debits of failed financial transfers from your account. Therefore, knowing the time allowed for reversal beyond which you can get compensation for different types of transactions such as failed cash withdrawals from ATMs, failed e-commerce payments etc is important. This would be beneficial for customers as whenever

Powers of Income Tax Authorities 1.    Power relating to Discovery, Production of evidence, etc:       The Assessing Officer, The Joint Commissioner, the Chief Commissioner or the Commissioner has the powers as are provided in a court under the code of Civil Procedure, 1908, when trying to suit for the following matters: (a) Discovery and inspection; (b) To enforce any person for attendance, and examining him on oath (c) Issuing commissions; and (d) Compelling the production of books of account and other                 document. 2) Power of Search and Seizure:  Today it is not hidden from income tax authorities that people evade tax and keep unaccounted assets. When the prosecution fails to prevent tax evasion, the department has the to take actions like search and seizure. 3) Requisition of Books of account, etc:  Where the Director or the Director-General or Commissioner or the Chief Commissioner in consequence of information in his possession, has reason to bel