Expectations of Bank employees

 

                   BUDGET EXPECTATIONS OF BANK EMPLOYEES

 

           Most of the bank employees have only salaries as their total income.

The Finance Minister should either increase the Income-Tax exemption limit

to at least Rs.2,00,000 or allow a Standard Deduction of Rs.50,000. In the

past, separate deductions were allowed to salaried tax-payers in respect of

expenditures incurred on purchase of books,publications etc.for purposes of

duties, travelling for the purpose of employment, and payment for any other

purpose in connection with performance of duties etc. which were substituted

by a Standard Deduction.The former Finance Minister P. Chidambaram was

particularly unfair to salary earners when he discontinued Standard Deduction

meant for employment-related expenses.No one can earn salary income

without spending some money for discharging their duties.The present Finance

Minister Pranab Kumar Mukherjee should rectify this harsh measure.

 

        The present limit of Income-tax rebate does not give enough incentives

for salaried classes to save maximum amount.The F.M. should increase the

rebate to at least Rs.1,50,000 to promote savings, investment and economic

growth by individuals through restriction of consumption.

 

        As per Basel II norms, many banks require more capital.In stead of selling

Governement stake in public sector banks, thereby making them private banks,

the Govt.being the largest share-holder, the F.M. should recapitalise the PSBs,

which will help them serve society better.

 

       To help mobilise more deposits, the F.M. should exempt bank interest

from income tax.

 

      The F.M. should take steps to simplify Income-tax laws and simplify the

tax return form. Today even a well-educated bank employee finds it difficult

to fill up the tax return.

 

 

S. RAGHUNATHA  PRABHU

STATE BANK OF TRAVANCORE

PUNNAPRA-688004

ALAPPUZHA.

 

 

S. Raghunatha Prabhu

Amaraavathy Cottage

Thiruvampady

Alappuzha-688002