An income of Rs.400 per month taxable in the year 2011-2012, courtesy SAIL!
I feel pained since I cannot respond to PM’s call for giving up cooking gas subsidy. The reason is:
I, like, 30 thousand employees of SAIL took voluntary retirement (VR) from Steel Authority of India Ltd. (SAIL) in 1999 on quarterly compensation basis for a period of 12 years / up to retirement age, whichever was earlier.
Tax benefit of Rs.5 lakh as per Section 10(10C) of income tax rule was not given. Some people went to court for this benefit and Calcutta High Court directed SAIL / Income Tax Authorities to give this benefit considering total income to be received over 12 years (verdict on Case No. MAT No.1695 of 2000).
Tyranny of Income Tax
As per “Basic Income Tax Concept” with “Ashok Stambha” emblem, Income Tax is yearly tax on yearly income and cut-off date is positively 31st March and the rate of income tax has to be as per Finance Act passed by Parliament for the “Income Year”. Also Law is formulated and passed by Parliament, not even by Supreme Court.
Court acts as protector of law and punishes those who violate law AS PER LAW, that law too is passed by Parliament.
To implement the Calcutta High Court verdict Income Tax Department in association with SAIL concluded, “Since the scheme (VR) postulates an onetime payment in consideration of ten / twelve years or till the age of retirement whichever is earlier, in quarterly payment in advance, it is deferred payment of benefit receivable under the voluntary retirement scheme.
Such being the case the entire amount receivable as voluntary retirement over ten / twelve years shall be chargeable to tax for the year in which the date of retirement falls. (Refer Income Tax Department letter G.I.R. No.ADICPB 4819 R ACIT Cir -19/Kol Dt. 20.11.2007 of Sri Alok Nag Code No. WBGC 119(1).
As per this fraudulent income tax assessment violating “Basic Income Tax Concept”, an income of Rupees five thousand per year (four hundred Rupees per month) becomes taxable in the year 2011-2012. It may be noted that the VR people went back to their home towns and became isolated from each other and have been easy victim as they are aged also.
Thirty thousand people have been looted in this way. Many helpless people became paupers and had to abandon education of their children, postpone marriage of daughter, could not treat their family members and they died due to lack of medication, many had to give up their flats because they could not pay the EMI, many became mentally ill.
Being unable to sustain this tyranny of income tax, some people in Durgapur even committed suicide. Due to this income tax tyranny many helpless families have been completely ruined. This crime committed by Income Tax Department in association with SAIL is more heinous than “Bhopal Gas Tragedy”, because that was merely an accident, but this income tax tyranny is the result of “Sadistic Pleasure” of people in chair. Since the victims are senior citizens spread over India and became pauper due to income tax looting, this did not get media attention and people of India do not know this.
Against this tyranny I had filed Case in Calcutta High Court in August, 2010 (Case No.W.P. 17884 (W) of 2010 asking VR payment in line with the income tax assessment done.
Till date many times dates for hearing were noticed but hearing not held. Twelve times benches have changed. I do not know whether at all the case will be heard in my life time!
In this regard I remember my days in service. Whenever a file used to come, we used to read the file thoroughly and prepare properly to take decision. I am sure; High Court Judges also must be reading the case files properly so that they could give verdict properly. In that case the sincere efforts eleven judges have been wasted.
I feel the main reason for delay in disposal of cases in our country is frequent changes of Benches; the efforts of Hon’ble judges are wasted due to frequent changes.
I, like many of my fellow friends who have suffered due to tyranny of income tax have decided to response to the call of our Hon’ble PM once my case is heard and Court accepts that income tax cannot be levied on an income of Rs.400/- per month in the year 2011-12.
By Hara Lal Chakraborty
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