Prajna Capital

Filing a vehicle insurance claim
Earning up to Rs 5 Lacs Salary? No Need to File Returns
How to get an online EPF pass book?

Posted: 07 Dec 2012 03:42 AM PST

In case of theft, inform the insurer immediately after lodging an FIR

RISING number of accidents and incidents of motor theft make it imperative for a car insurance policyholder to be fully aware of the important terms of their policy, one of them being the time limit available for filing a claim.

While most motor insurance policy wordings say that the claim should be registered immediately for quick processing, the word immediately is not defined.

Immediately, in English means right after or straightaway, while it might be difficult for policyholder to register a claim soon after an accident, it also puts extra burden on him. Defining the time periods clearly on the policy wordings would certainly help policyholders in timely registration of claims without hassle, and also provide a guideline for people who delay claim registration unnecessarily. While an insurance company reserves the right to reject a claim if the claim intimation is delayed, informing policyholders how late is actually too late would definitely be a step in right direction.

In the past, there have been instances of insurers rejecting claims due to delay in intimation or document submission. However, last year in September, the insurance regulator Irda (Insurance Regulatory and Development Authority) issued guidelines to instruct insurers not to reject claims simply on the basis of delay in intimation or document submission. Even the consumer courts are not always disposed towards insurance companies when they reject claims due to just a delay in intimation. In October 2012, a district consumer disputes redressal forum of Delhi ordered a public sector insurer to honor a claim for a stolen motorbike. In this case, the insurer had earlier rejected the claim due to delay in intimation, however, the forum observed that the bike owner had called the police control room immediately, lodged an FIR and also informed the insurance company orally soon thereafter. But the written claim was made three months later and so the claim was rejected. The consumer court's ruling stated, Any delay on the part of the complainant in intimating the insurance company... is of no consequences when the investigating agency was put into action immediately after the theft occurred.... Since the factum of the insurance cover has not been denied the fact of theft is established from the judicial papers the insurance company cannot escape from his liability by taking the plea that the information was given belatedly.

Insurance companies accept cases where the claims seem genuine even if there is significant delay in intimation. Informing insurers about accident or dam age may not be on the top of a policyholder's mind and insurers have to understand that

In case of accidents, however, the delays should be due to valid reasons and should not be taken casually as the claim might be rejected if later it is found that the extent of damage to the vehicle has increased over a period of time.

In case of thefts, the insurance company should at least be informed on the phone right after you inform the police. The

written intimation can follow later.

Happy Investing!!

We can help. Call 0 94 8300 8300 (India)

Leave your comment with mail ID and we will answer them

You can write back to us at PrajnaCapital [at] Gmail [dot] Com

---------------------------------------------

Invest in Tax Saving Mutual Funds ( ELSS Mutual Funds ) to upto Rs 1 lakh and Save tax under Section 80C.

Invest Tax Saving Mutual Funds Online

Tax Saving Mutual Funds Online

These links can be used to Purchase Mutual Funds Online that are regular also (Investment, non-tax saving)

Download Tax Saving Mutual Fund Application Forms from all AMCs

Download Tax Saving Mutual Fund Applications

These Application Forms can be used for buying regular mutual funds also

Some of the best Tax Saving Mutual Funds available ( ELSS Mutual Funds )

ICICI Prudential Tax Plan Invest Online

HDFC TaxSaver Invest Online

DSP BlackRock Tax Saver Fund Invest Online

Reliance Tax Saver (ELSS) Fund Invest Online

Birla Sun Life Tax Relief '96 Invest Online

IDFC Tax Advantage (ELSS) Fund Invest Online

SBI Magnum Tax Gain Scheme 1993 Invest Online

Sundaram Tax Saver Invest Online

Edelweiss ELSS Invest Online

Earning up to Rs 5 Lacs Salary? No Need to File Returns

Posted: 07 Dec 2012 01:52 AM PST

Buy Gold Mutual Funds

Invest Mutual Funds Online

Download Tax Saving Mutual Fund Application Forms

Call 0 94 8300 8300 (India)

Individuals with annual income up to . 5 lakh are now exempted from filing personal income tax return for the current financial year. This relief was proposed in the Union Budget last year. However, a circular from the Central Board of Direct Taxes (CBDT) last week indicates that this relief has been extended for this financial year. An individual can now file tax returns for this financial year by July 31, 2012. However, the exemption comes with some terms and conditions, which determine the eligibility of an individual to seek the exemption from filing returns.

WHO CAN SEEK THIS EXEMPTION?

As per the Notification, only individuals who satisfy the following conditions are eligible for exemption from furnishing the tax return for the tax year 2011-12:
a) Total income does not exceed . 5,00,000. b) Total income consists only of income under the following heads:

Ø Salaries

Ø 'Income from other sources' by way of interest, not exceeding . 10,000, from a savings bank account

Ø Apart from the above conditions, an individual should also fulfill the following conditions to avail an exemption from furnishing tax return with the authorities:

Ø Report his Permanent Account Number (PAN) to his employer

Ø Report savings bank account interest income to his employer and the employer should withhold tax on such interest income

Ø Employer provides tax withholding certificate (Form 16) to employee which mentions the PAN, details of income and taxes withheld

Ø There should be no further tax payable by the employee by way of advance tax or self-assessment tax

Ø No refund claim for the relevant tax year

The employee should receive salary from only one employer for the tax year Apart from the above mentioned conditions, an individual should keep in mind that the exemption under this notification is restricted to voluntary filing of tax return and does not apply to tax return to be furnished in response to notice issued by the tax authority for regular assessment or reassessment or assessment pursuant to search/ survey proceedings.

Who Are Not Eligible For This Exemption

An individual cannot claim an exemption to file the tax return under this notification in the following cases: The individual has total income under any head other than 'Salaries' and 'Income from other sources'

   The individual has total income exceeding . 5,00,000 for tax year 2011-12
   The Individual has not submitted his PAN to his employer
   The individual has interest income other than savings bank account interest income

The individual has not reported interest income from savings bank account to his employer and discharged his tax liability by way of advance tax or self assessment tax

The individual has refund claim in the return of income
The individual has received salary income from more than one employer
Similarly, a person cannot claim benefit of non filing of tax return under this notification where he is required to file the same by a notice issued by the tax authorities. The withholding tax certificate (Form 16) issued by the employer to the employee which mentions the PAN, details of income and taxes withheld would be treated as proof for payment of taxes.

The most important factor is that individuals seldom report their savings account interest to their employer. "Even for those who want to report the same to the employer, the difficulty arises from the fact that often the interest for the later part of the year is credited in the month of February or March. Most large employers freeze their payroll declarations as early as in the month of January. Many small employers are reluctant to accept declaration of other income.

The other practical factor is, despite this notification, many banks still continue to ask for copies of tax return while processing loan applications. Further, sometime tax return copies are required to be filed along with VISA applications. Keeping these in mind, the individual who is eligible to claim this exemption might still decide to file his return of income.

Restrictive Circular?

The intention of the government in issuing the notification is to reduce the compliance burden on small tax payers who have income under the heads 'Salaries' and 'Income from other sources'. In those cases, the Form 16 issued to salaried employees will be the sole proof for taxes paid. Hence, the conditions are restrictive to ensure that the notification is beneficial only to small tax payers whose information/ details are disclosed in the Form 16.

This circular addresses those salaried tax payers whose entire tax liability is discharged through tax withholding and whose complete details are reported by the employer as part of the withholding compliance. However, tax payers need to carefully examine compliance of exemption conditions in their cases before deciding not to file the tax return.

But the clause on that non-disclosure of savings account interest to their employer itself would eliminate a lot of individuals from seeking this exemption.
At least this exemption should be extended to individuals of this income category who also hold fixed deposits, recurring deposits, NSC, PPF etc.

A similar notification was issued last year applicable for tax year 2010-11. Since the current notification has been issued before the end of the financial year 2011-12, individual tax payers will have sufficient time to disclose their savings bank account interest income to their employers.

---------------------------------------------

Invest in Tax Saving Mutual Funds ( ELSS Mutual Funds ) to upto Rs 1 lakh and Save tax under Section 80C.

Invest Tax Saving Mutual Funds Online

Tax Saving Mutual Funds Online

These links can be used to Purchase Mutual Funds Online that are regular also (Investment, non-tax saving)

Download Tax Saving Mutual Fund Application Forms from all AMCs

Download Tax Saving Mutual Fund Applications

These Application Forms can be used for buying regular mutual funds also

Some of the best Tax Saving Mutual Funds available ( ELSS Mutual Funds )

HDFC TaxSaver
ICICI Prudential Tax Plan
DSP BlackRock Tax Saver Fund
Birla Sun Life Tax Relief '96
Reliance Tax Saver (ELSS) Fund
IDFC Tax Advantage (ELSS) Fund
SBI Magnum Tax Gain Scheme 1993
Sundaram Tax Saver

Happy Investing!!

We can help. Call 0 94 8300 8300 (India)

Leave your comment with mail ID and we will answer them

You can write back to us at PrajnaCapital [at] Gmail [dot] Com

---------------------------------------------

Best Performing Mutual Funds

Largecap Funds Invest Online

DSP BlackRock Top 100 Fund

ICICI Prudential Focused Blue Chip Fund

Birla Sun Life Front Line Equity Fund

Large and Midcap Funds Invest Online

ICICI Prudential Dynamic Plan

HDFC Top 200 Fund

UTI Dividend Yield Fund

Mid and SmallCap Funds Invest Online

Reliance Equity Opportunities Fund

DSP BlackRock Small & Midcap Fund

Sundaram Select Midcap

IDFC Premier Equity Fund

Small and MicroCap Funds Invest Online

DSP BlackRock MicroCap Fund

Sector Funds Invest Online

Reliance Banking Fund

Reliance Banking Fund

Tax Saver Mutual Funds Invest Online

ICICI Prudential Tax Plan

HDFC Taxsaver

DSP BlackRock Tax Saver Fund

Reliance Tax Saver (ELSS) Fund

Gold Mutual Funds Invest Online

Relaince Gold Savings Fund

ICICI Prudential Regular Gold Savings Fund

HDFC Gold Fund

How to get an online EPF pass book?

Posted: 06 Dec 2012 10:42 PM PST

How to get an online EPF pass book?

Employees Provident Fund (EPF), generally known as PF is a retirement benefit scheme available to the salaried class in India, wherein both the employer and employee contribute an equal amount towards the fund. This year, the EPFO (Employees Provident Fund Organization) has introduced an e-passbook facility for members, which enables them to check their PF account online.

What is an EPF e-passbook?
The EPF e-passbook is an online version of the employee's provident fund account. Transactions are recorded date-wise and these can be tracked easily by the member. You can check your EPF balance online anytime you wish to.

How to register online?
Registration on the EPFO website is necessary to avail the e-passbook facility. The following steps need to be followed to register online -

Visit the EPFO members site - http://members.epfoservices.in/

Click on the "Register" at the bottom of the page or "Click here to Register" button under the Login area.

You will reach the registration page, where you will have to enter your mobile number mandatorily. You will also need to enter your date of birth, email id and select one of the eight documents (PAN number, Aadhar (UID), NPR (National Population Register), bank account number, voter ID card, driving license, passport number or ration card number) along with its unique number and your name as it is in the document. On entering a six digit unique text character, you will have to click "GET PIN" to get a four digit authorization PIN on your mobile.

Once you receive the PIN on your mobile, you will have to enter this PIN in the box provided at the bottom of the page. Check the "I agree" box and click on "Submit" button.

After clicking on "Submit", your registration will be complete and you will get a confirmation message on your mobile.

This completes the registration process on the EPFO member website.

How to generate e-passbook?
After successful registration, you will need to login to your account in the member login area to generate the e-passbook. The following steps need to be followed.

Log in to your account by selecting your document, entering the document number and your mobile number that you entered on the Registration page and click on the "Sign In" button.

When you successfully login, you will see your name on the right hand side of the page. This is the page on which you can edit your personal details and also download your EPF e-passbook.

When you click on "Download E Passbook" link, you will be prompted to select the state under which your establishment is covered.

On selecting the state, you will be asked to choose the EPFO office. If you are unaware about the EPFO to which you belong, you can use the establishment search facility to get these details.

When you have selected the EPFO office, you should now enter your EPF account number. The next step is to enter your name, which should exactly match EPF records.

Click on "Get PIN" to receive the PIN on your mobile and email. Do not close this page till you receive the PIN on your mobile/email.

When you receive the authorization PIN, you will need to enter this in the "Enter Authorization PIN" box, check the "I Agree" button and then click on "Get Detail".

You will then be able to download the PDF.

Points to remember while using EPFO's e-passbook facility:

Only one mobile number can be used for one registration. However, your mobile number details can be edited subsequently.

You can view details of only one EPF account under one establishment. If you wish to view details of all your EPF accounts under a single establishment, then you will have to first transfer one EPF to another.

You can view a total of 10 EPF accounts under different establishments. You can view your accounts any number of times and transfer old EPF accounts to existing ones too.

You will not be able to view details of inoperative accounts and also EPF accounts which have been settled.

If you have left your job before March 2012, then you will not be able to see details online. However, you can place a request for the same on the website and it will be uploaded in a few days.

For logging into your account you just need your mobile number, document name and document number.

You can use multiple ids to register by using different document types.

The EPFO's e-Passbook facility is a welcome move which will enable employees in managing their EPF accounts in a better manner. The success of this facility depends on the efficiency of the EPFO in managing the website and handling requests from the members.

Happy Investing!!

We can help. Call 0 94 8300 8300 (India)

Leave your comment with mail ID and we will answer them

You can write back to us at PrajnaCapital [at] Gmail [dot] Com

---------------------------------------------

Invest in Tax Saving Mutual Funds ( ELSS Mutual Funds ) to upto Rs 1 lakh and Save tax under Section 80C.

Invest Tax Saving Mutual Funds Online

Tax Saving Mutual Funds Online

These links can be used to Purchase Mutual Funds Online that are regular also (Investment, non-tax saving)

Download Tax Saving Mutual Fund Application Forms from all AMCs

Download Tax Saving Mutual Fund Applications

These Application Forms can be used for buying regular mutual funds also