Sarva Haryana Gramin Bank

Transcription

1 TO ALL OFFICES DATE: HRD Department Circular No. 02 /2016 Reg: Revision of Pay & Allowances Payment of House Rent Allowance. The Board of Directors in its 17 th Meeting held on , has approved the implementation of House Rent Allowance on Rent Receipt basis/ Capital Cost basis w.e.f Provided that if an officer produces a rent receipt, the House Rent Allowance payable to him/her shall be the actual rent paid by him/her for the residential accommodation in excess over 0.75% of Pay in the first stage of the Scale of Pay in which he/she is placed with a maximum of 150% of the House Rent Allowance payable as per rates mentioned in the Circular No. 37/2015 dated The detailed guidelines are as under: A. FIXED HRA - Officers will be paid HRA on the basis of their place of duty and not on the basis of their place of residence, - No requirement of submitting any certificate of having incurred expenditure on rent. - This fixed HRA is also payable to an officer who stays in the accommodation provided, if any, by the bank to his/ her spouse without reference to the rent actually paid. B. HRA ON RENT RECEIPT BASIS - It may be allowed in all cases where the officer produces the receipt for having paid the rent irrespective of the relationship of the officer with the land lord. - The rent receipt of the first month and undertaking of not changing of house without intimation to be produced. - It is clarified that for the purpose of calculation of maximum HRA payable to Officers who are producing rent receipts the HRA shall be calculated as per rate applicable at the place of his posting, subject to maximum HRA (i.e. 150% of the HRA payable at that center) and lower of the rent as per the receipt or HRA so calculated would be paid. -The Sanctioning Authority for Officers working at Head Office, Regional Office and Branch Offices will be Chief Manager-HRD, Regional Manager and Branch Manager respectively. C. HRA ON CAPITAL COST BASIS (Format is annexed) (i) Officers residing in their own accommodation are eligible for payment of HRA on Capital cost basis. The facility is also available to those officers who have purchased houses on Power of Attorney basis by treating the house as self owned subject to the following conditions: - a) The facility of allowing HRA on capital cost basis shall be available to all officers who have purchased houses/flats on Power of Attorney basis, whether first or subsequent basis.

2 b) The Housing Board or Development Authority or any other Govt. Agency as the case may be, should have a scheme for conversion of leasehold property into free hold property. (II) The Sanctioning Authority before allowing HRA on capital cost basis in respect of such houses should ensure that: a) There is evidence that full purchase consideration has been paid to the seller. b) The officer who purchased the house is in possession of the premises. c) Agreement to sell, irrevocable Power of Attorney and all other original papers pertaining to the property, i.e. allotment letter, lease deed, if any etc. have been handed over to the purchaser. (iii) HRA on the basis of enhanced capital cost can be considered from the date of submission of the details of additional capital cost to the bank, subject to the bank being satisfied about the additional expenditure incurred by the officer in this regard. The competent authority should be satisfied about the proof of additions made in the house and the source of funds for such additions. Usually such funds should have been raised either from the Bank or from PNB Housing Finance Ltd., Housing Development Finance Corporation, Provident Fund Trust, Life Insurance Corporation of India. The Competent Authority can also peruse the statement of Assets and Liabilities submitted by the concerned officer for the relevant period in which such loan was raised by the officer should be reflected. The Sanctioning Authority for Officers working at Head Office, Regional Office/Branch Offices will be Chief Manager-HRD, Regional Manager respectively. D. CHANGE IN OPTION Officers claiming HRA on capital cost basis / rent receipt basis may change the option for availing HRA on fixed basis. E. HRA ON MID TERM TRANSFER - An officer, on transfer can retain the house at the former place of posting for a period of one year or till the end of academic year, whichever is earlier. - The officer may be allowed HRA on fixed / rent receipt / capital cost basis as the case may be for the period as mentioned above at the transferee place. In that case no mid academic transfer allowance will be paid.. - The facility is not applicable for request transfer cases F. OWN ACCOMODATION For the purpose of payment of House Rent Allowance only such houses which are owned by self, spouse or dependent child shall be treated as own accommodation. Officers residing in houses owned by their mother / father or any relation other than spouse or dependent child will be treated at par with those living in rented houses subject to the condition that rental value of such houses or portion of the house occupied by the officer shall be assessed as under:- Rent as shown in the house rent receipt issued by the relation of the officers owning the house for the portion occupied by the officer;

3 OR Rental value of the portion of the house occupied by the officer as assessed by the Architect approved by the Bank at the cost of the officer; OR Limit for taking house on rent applicable to the officer whichever is lower. G. FACILITY TO KEEP FAMILY AT THE PLACE OF CHOICE OF OFFICERS ON THEIR TRANSFER. All those confirmed as officers of the bank, on their transfer/promotion, may be permitted to keep their families at a place of their choice anywhere in India, subject to the following conditions: - This facility is for keeping family but the officer has to stay at the place of posting and inform his address at the station. - Officers who own residential accommodation at their place of posting in their name or in the name of their spouse or dependant children will not be eligible for this facility excepting with the permission of the Board. - Officers who opt to keep their family at the place of their choice other than the place of posting, the accommodation taken by the bank on perpetual lease or owned by the bank, if any, will not be provided to the family. - Rental ceilings (for the facility of Leased Accommodation) applicable will be lower of the place of posting and place where family is kept. However, HRA, if applicable, will be paid as per the entitlement of the officer as per his place of posting. - The officer will not be provided accommodation at the place of posting except as during his mid-academic year transfer where he is entitled to the facility of lease rental/hra (on fixed/rent receipt/capital cost basis, as the case maybe) as per entitlement at the place of posting till the end of academic session or 1 year, whichever is earlier, in addition to leased accommodation/hra at the transferee place as also in cases covered as above. - Officers who do not vacate the leased accommodation on expiry of the lease period or get the lease renewed on time will be liable for disciplinary action. H. HOUSE RENT TO OFFICERS ON SUSPENSION. 1. Where an officer has been placed under suspension and where Bank's accommodation has already been provided, if any, the facility may be continued on payment of 10% of subsistence allowance. 2. However, in the event of reinstatement of such an officer with full pay and allowances, difference of the house rent recovered on the basis of subsistence allowance and house rent due on the basis of emoluments ultimately drawn shall be recovered from him. 3. These rules shall also be applicable in the case of those officers where the accommodation is leased in their favour.

4 I. HRA CALCULATION WHERE HUSBAND AND WIFE BOTH ARE EMPLOYED - If both the officers are at our bank, one will be provided residential accommodation. If the other does not share the same accommodation, he /she may be provided at the bank s discretion, another accommodation or HRA on fixed/rent receipt basis. - If one is officer and another is clerk at our bank, both are entitled to HRA as per respective guidelines. - If one is officer at our bank and the other is employed in outside organization, the officer will be paid HRA as per guidelines. The contents of the circular got noted by the concerned. GENERAL MANAGER

5 BO Regional Office FORMAT FOR RELEASE OF HRA ON CAPITAL COST BASIS TO THE OFFICERS 1. NAME OF THE OFFICER UID No. 2. a) DESIGNATION a) SCALE 3. PRESENT PLACE OF POSTING 4. STATUS OF THE BRANCH 5. REGION 6. ESTIMATED COST OF THE BUILDING ( As per the estimate submitted to the Authority at the time of availment of HBL ) 7. LOAN TAKEN FROM THE BANK AS HBL (Copy of sanction letter to be enclosed ) 8. ADDITIONAL AMOUNT INVESTED IN THE HOUSE, IF ANY 9. BASIC PAY ( As on the date of application) 10. HRA PAYABLE TO AREA WHERE BRANCH IS SITUATED 11. DATE WHEN THE BUILDING/FLAT HAS BEEN PUT INTO USE. SIGNATURE OF THE OFFICER Recommended that HRA to be Released on Capital cost basis With effect from For Head Office/Regional Office Capital cost of the building : Rental valuation of the building / flat : BRANCH MANAGER

6 HRA calculation for Officers HRA is calculated as per the rate agreed in the Bi-partite settlement and there are 5 categories/options of calculating and paying HRA for Officers. The categories are: i. Declaration Basis ii. Rent Receipt Basis iii. Living in Own House iv. Leased Accommodation v. Living in Bank Quarter Calculation of HRA is as follows: i. Declaration Basis HRA is calculated as per the rate agreed upon in the Bi-partite for the area in which the Officer works. ii. Rent Receipt Basis If an Officer produces a rent receipt, the HRA payable to his/her shall be the actual rent paid by him / her for the residential accommodation in excess over 0.75% of pay in the first stage of the Scale of Pay in which he / she is placed with a maximum of 150% of the House Rent Allowance payable as per the agreed rate in the Bi-partite settlement. Example No.1 Say a Scale I Officer, whose revised Basic Pay is Rs.45950/-, is working at Area I Branch. He pays Rs.8000/- p.m. as rent for his house and has produced the undertaking letter obtained from his house owner to the Branch. STEP 1: Rent Rs Less: 0.75 % of his initial Basic Pay in Scale I (23700) Rs Rs STEP 2: His present basic pay Rs.45950/- (Area 1) (Eligible 8 % of pay ) Rs % of eligible HRA under certificate basis Rs i.e., 150% x 3676 Eligible HRA under Rent Receipt Basis is Rs least among Step 1 & Step 2

7 Example No.2 Sarva Haryana Gramin Bank Say, a Scale III Officer whose revised Basic Pay is Rs.48570/- and receives revised PQA I, Rs.670/- as on He is working at Major A Class Branch. He pays Rs.10000/- p.a. as rent for his house and has produced the undertaking letter obtained from his house owner to the Branch. STEP 1: Rent Rs Less: 0.75 % of his initial Basic Pay in Scale III (42020) Rs Rs STEP 2 :His present basic pay Rs.48570/- + PQA Rs.670/- (Major A Class) (Eligible HRA under Certificate Basis) = Rs x 9% Rs % of eligible HRA under certificate basis Rs i.e., 150% x Eligible HRA under Rent Receipt Basis is least amount Rs among Step 1 & Step2 iii. Officer living in his own House The claims of Officer Employees for House Rent Allowance linked to the cost of their ownership accommodation shall also be restricted to 150% of House Rent Allowance as hitherto. Example: For an officer working in Major A Class city 1. Capital cost of accommodation inclusive of land Rs. 8,00, Annual Corporation Taxes paid Rs. 1, Annual rental value taken for assessment by Corporation Rs. 1,20, Calculation of Notional monthly rent: A. Aggregate of 1. Taxes paid Rs. 1, % of Capital Cost Rs ADD Rs Divided by 1/12 Rs B. Rent assessed by Corporation Rs.1,20, Rs. 10, Therefore, the monthly rent to be taken for calculation of HRA as per the same basis for production of rent receipts - calculation to be made as in the case of (ii) stated above. i.e. higher of A and B Rs. 10, (NotionalMonthly Rent)

8 Note: Sarva Haryana Gramin Bank The following are to be produced for claiming HRA under this head: 1. Valuation Certificate including land cost 2. Municipal / Corporation tax receipts 3. Municipal / Corporation assessment order for the annual rental value of the accommodation. iv The House Rent Allowance will not be paid to the officer availing leased accommodation facility or living in Bank s Quarter. xxxxxxxxxxxxxxxxxxxxxxxxxxxxx

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