GOI-Canara Bank Rob Senior Citizens To Enriching Ambanis

GOI-Canara Bank Rob Senior Citizens To Enriching Ambanis

November06, 2012

 

Honorable Prime Minister

Dr. Manmohan Singh

South Block

New Delhi 110011

 

CC to The Chairman

Canara Bank

 

When Harassment of Senior, Super Senior Citizens is Profitable

 

Respected Sir,

While GOI has extended Tax Concessions to Senior Citizens and Super Senior Citizens but Nationalized Banks Harass and Rob senior citizens. 1. In 2012-13 Budget Income Tax Exemption limit for Senior and Super Senior Citizens was extended to Rs.2.5 lakh and Rs.5 lakh respectively. 2. Senior Citizens not having business income are ‘Exempt’ from paying ‘Advance Tax.’ 3. No Tax Scrutiny for Senior Citizens and small tax payers up Rs.10 lakh. Nothing is being Implemented by Nationalized Banks.

 

My 82+ mother is not in good health for few years and occasionally I have to take her to Banks, and other offices, represent her in courts.

 

Until then I had no idea why she has to visit Banks frequently when she was in good health. Sometimes Bank Computers are not working, some times Passbook printers are not working etc or some other procedure.

 

Canara Bank Robbery

 

1. Canara Banks ‘Don’t Send Notification to Fixed Deposit Holders’ before or after Maturity of ‘Fix Deposits’ even when deposits are in Rs. Lakh or more of senior citizens. They have phone numbers of account holders also.

 

2.  Super Senior citizen was allowed 8.75% and 9% interest on fixed deposits when other banks were offering up to 10.5% to senior citizens.

 

3.  There is 1% penalty clause also for early encashment. So Senior Citizen has 2.5% Loss in Banking with Canara Bank. This in her case comes to Rs.8,000 annually.

 

4.  To avoid penalty Canara Bank told her to wait for few more days for maturity of one FD and extended maturity of matured FD by few more days. Why can’t FD already matured for months and another maturing in 2-3 months can be encashed together without penalty?

 

Within minutes Canara Bank renewed the Matured FD.

 

5.  Canara Bank than asked for PAN card number and pretended Canara Bank didn’t have when I had given Canara Bank photo copy of PAN Card years ago. 

 

6.  Canara Bank then told Super Senior Citizen – she has to fill IT form 15H and WARNDED HER if she doesn’t than Bank Computer shall automatically deduct Advance Tax from Interest Income. Canara Bank said it could be Rs.16,000/-.

- I called my friend serving in a Bank – he told me the deduction from FD income is at a rate of 20% in case of FD holder has no PAN Card and 10% in case of FD holder has PAN card.

 

-  Canara Bank gave Super Senior Citizen ‘Difficult to Read Blank Two IT 15H Forms (No Photocopy)’ to fill up this time ‘Canara Bank Computers Didn’t Help in Filling The Details That are in the FD and with Canara Bank.’

 

-  Canara Bank doesn’t want Computers to Efficiently and Accurately serve Clients. (Copy of Blank Form Attached)

 

7.  What is most shocking – for 15 years Bank Accounts are opened with Photo I Cards that also mentions age and with Photo of the Clients– but for 6-7 years since PAN Cards are issued these have DATE OF BIRTH also. But Canara Bank doesn’t record either age or Date of Birth so that Senior Citizens or Super Senior Citizens get automatic upgrades in service.

 

8.  She has nominated me in her Canara Bank Accounts and FD but Canara Bank has neither asked for my PAN Card Number to speed up encashment of FD nor suggested Joint Account.

 

Prime Minister of India may please take note that People of India who fund India’s Progress, for mere 3% to 4% Interest Advantage over savings deposit, are systematically Harassed By Nationalized Banks ROBBED OF ALL ADVANTAGE. Majority invests in non banking options like Gold, Properties, and progress of India is retarded.

 

Nationalize Banks are Expected to Provide ‘Max Benefits With Security To All Senior Citizens.’

 

While GOI Rob Citizens of India through Nationalized Banks, GOI continues to allow Illegal Tax Concessions to Companies who already have Rs.10,00,000 crore cash in their accounts – more than All Farmers and All MSMEs put together. Yet another cause of slowing growth rate.

 

REMEDY

 

R1. Please order CAG Performance Review of Canara Bank.

 

R2. IT Department to Issue PAN Cards under ‘Business,’ ‘Senior Citizen No Business’ and ‘Super Senior Citizen No Business’ Classifications so as implement the spirit of the Budget2012-13.

 

R3. CAG Review of Tax Concessions to Cash Overflowing Corporate.

 

Thank you,

 

Ravinder Singh,

Y-77, Hauz Khas, NewDelhi-110016, India .

progressindia008@yahoo.com

Ravinder Singh* is a WIPO awarded inventor specializing in Power, Transportation, Water, Energy Saving, Agriculture, Manufacturing, Technologies and Projects.

 

Clippings of Tax Concessions to Senior Citizens

Tax benefits for senior citizens

As per Income Tax Act one who has Completed the Age of 60 years during the previous year or in a year Prior to that is a senior Citizen and one who has Completed the Age of 80 years during the previous year or in a year Prior to that is a super Senior Citizen.

 

1) The Income Tax Act identifies a senior citizen as a person who is 60 years of age or more at any time during the previous year. It provides for special benefits for such persons.

 

2) As per the IT Act, senior citizens who have an income up to Rs 2.5 lakh per annum are eligible for tax exemption.

 

3) Senior citizens receive a higher interest (up to 50 bps) on a 5-year fixed deposit, which is eligible for deduction from the total income under Section 80C.

 

4) Senior citizens can claim exemption on the tax deducted at source (TDS) on interest income earned on deposits. It can be done by submitting Form 15H under Section 197 of the IT Act.

 

5) Under Section 80D, the limit on the premium paid for medical insurance goes up to Rs 20,000 if the person covered under the policy is a senior citizen.

 

6) Senior Citizens not having Business Income Exempt From Advance tax payment. 

 

7) Senior citizen above the age of 80 years are entitled to higher exemption Limit of Rs. 5,00,000 from A.Y. 2012-13.

 

8) No Income Tax Scrutiny of Senior Citizens and Small Tax payers Having Gross Income less then 10 Lakh.

 

9. Higher Deduction u/s 80DDB

 

Section 80DDB provides deduction to an assessee in case of expense on medical treatment of specified ailments. Generally this deduction is available upto Rs 40,000. However, if the patient is a senior citizen, then deduction of Rs. 60,000 is allowable.

 

10. Reverse mortgage for senior citizens.

Reverse mortgage’ – a concept introduced by Finance 2007 -provides that a senior citizen will be able to avail of monthly income streams by mortgaging a house owned by him.