Dear Friends,
As you must be aware that pre-budget consultations are taking place. The All India Confederation of the Blind has submitted the representation to the Ministry of Social Justice & Empowerment in response to their call. Many of you sent some useful comments which have been included in the list suggestions. Copy of the suggestions forwarded to the Ministry is enclosed for your ready reference. With Kind Regards k. srinivas [email protected] All India Confederation of the Blind Suggestions For Financial Benefits For Persons With Disabilities To Be Taken Up During Pre-Budget Consultation/Discussion 1. Benefits under Income Tax Act: 1.1 Introduction of a new Scheme of IT benefits in place of rebate under 80U of IT Act for in-service persons with disabilities: It is suggested that in place of the existing provision of rebate granted to persons with disabilities under Section 80U of the IT Act, a new regime may be put in place or for persons with disabilities, while they are in service. Thus, under this suggested arrangement, persons with disabilities, while in-service, may be granted 50% exemption in Income Tax at all slabs. The existing benefit of granting rebate may be done away with. Thus, persons with disabilities may be required to pay Income Tax at all slabs at the following rates: · 5% for income upto Rs. 5,00,000/- (instead of the prevailing 10%) · 10% for income upto Rs. 10,00,000/- (instead of the present 20%) and so on. This will be in line with the spirit of the proposed Direct Tax Code (DTC) which discourages across the board rebates in income tax. It also helps to mainstream persons with disabilities with regard to payment of taxes like others and at the same time, provides them necessary benefits also. 1.2 Exemption from Income Tax for senior citizens with disabilities: It is proposed that income from pensions for senior citizens with disabilities (above 60 years of age) may be made fully exempt from income tax, as a measure of relief to the elderly disabled citizens. 1.3 Exempting the entire transport allowance from income tax: At present, persons with disabilities in service are given exemption from income tax only on the initial transport allowance allowed to other employees as well. They do not get the benefit of such exemption for the double transport allowance granted to them by the 6th CPC on account of their disability. It is, therefore, suggested that the entire amount of transport allowance paid to an employee with disability may be made exempt from income tax. 2. Transport allowance granted to employees with disabilities by the 6th Pay Commission: 2.1 The 6th Pay Commission granted to persons with disabilities double transport allowance, meaning thereby that an employee with disability will draw transport allowance double than that of his non-disabled counterpart. In view of the steep increased in the transportation costs, during the last about 6 years, it is suggest that the rates of transport allowance per month for employees with disabilities may be increased by 100%. Thus, the rates may be as follows: Rs. 1600, Rs. 3200 and Rs. 6400. 2.2 Transport allowance may be made admissible to the Govt. pensioners with disabilities as well. They may be granted such allowance at the same rates as applicable to them at the time of their superannuation. This allowance is in keeping with the Government's policy of providing additional welfare measures for senior citizens with disabilities who have to face severe mobility problems and have to incur much greater expenses on transportation from place to place as also because of their increased dependence on others due to age. 2.3 Bank employees with disabilities may be allowed transport allowance and children's allowance at the same rates as applicable to their other counterparts with disabilities serving in Govt. departments/Ministries. At present such benefits are denied/restricted in quantum for such bank employees. 3. Customs related benefits: 3.1 Spare parts/accessories for items, goods, machinery and equipment listed under serial Nos. 388 and 488 of the Ministry of Finance, Department of Revenue Notification No. 12/2012-Customs dated 17th March, 2012, may also be made exempt from all customs and additional duties. This exemption assumes importance since a number of organizations have today with them costly equipment like high speed Braille embossers etc. imported from outside. However, such equipment tend to remain idle for long because of worn-out parts/accessories. At present, such spare parts/accessories attract heavy duty. It is suggested that, wherever applicable, items pertaining to spare parts/accessories of the equipment imported for persons with disabilities and covered in the said Notification, may also be treated as exempt from customs. 3.2 Amendment in the earlier Notification from the Ministry of Finance, Department of Revenue regarding exemption from Customs for equipment for persons with disabilities: It is relevant to mention here that Govt. of India Notification No. 152/94-Cus. Dated 13.07.1994 lays down certain conditions for grant of exemption from customs duties for goods and items listed in the said Notification relating to persons with disabilities. The major conditions mentioned therein are: i) The goods be imported by an institution ii) The goods be obtained through donation from a foreign source. It is our submission that the Ministry of Finance, Department of Revenue Notification of dated 17th March, 2012 referred to in 3.1 above, is silent on whether these conditions would still apply. As such, the customs authorities are still interpreting the latest Notification in terms of the conditions laid down in the earlier Notification of 13.07.1994. We, therefore, submit that it may please be made absolutely clear that exemption from customs duty in respect of goods and items indicated under serial Nos. 388 and 488 of the Notification dated 17th March 2012 is not subject to any conditions and that the conditions laid down earlier are no longer applicable. 3.3 Waving of custom duties for products which are of general use but can be of immense use as accessibility aids for persons with disabilities, when imported into the country by registered disability organizations: This is necessary given the fact that certain accessibility aids when imported are levied a duty even though they would be used for persons with disability to help promote accessibility. This could include but not be limited to Augmentative & Alternative Communication (AAC) devices, devices which have speech output, Portable and Desktop magnifiers, Assistive Listening Aids, certain special Switches, Adaptive keyboards, EyeGaze Solutions, Adaptive Input systems, adaptive games, video magnifier, talking MP3 players, talking devices. The exemption may be granted when such equipment is imported into the country by registered disability organizations only. 4. Exempting Braille paper from Vat/CST: Braille paper used by Braille presses for production of Braille books/journals may be exempt from all taxes and duties such as Vat/CST. Such exemption may be granted to organizations running Braille presses. 5. Exempting disability NGOs from payment of service tax: Working for the disabled registered under Societies Registration Act may be exempt from payment of service tax. In respect of services availed by these NGOs such as audit, advocacy, consultancy. This exemption is suggested in view of the heavy financial liabilities of the concerned NGOs for running need-based services which have to be provided to beneficiaries free of cost and the very limited quantum of Govt. support. 6. Extension of Niramaya Health Scheme to other disabilities as well: The benefits of Niramaya Health Insurance applicable at present to persons covered under the National Trust Act may be extended to persons with other disabilities as well. These benefits have proved extremely useful for persons with disabilities covered hitherto and would be equally beneficial for other categories of disabled persons as well. 7. Issue of LPG Cylinders at subsidized rates: 7.1 NGOs working for persons with disabilities were earlier getting LPG cylinders (14.2 kg.) at the rate of Rs. 399/- per cylinder. However, subsequent to the recent Govt. of India decision removing subsidy on LPG cylinders, these NGOs have to pay an exorbitant rate of Rs. 1120/- for each such cylinder. This, naturally, puts the concerned NGOs to a severe disadvantage posing a serious threat to related services for NGOs providing free board and lodging facilities. It is, therefore, suggested that disability NGOs running hostels for children/adults with disabilities may be provided LPG cylinders at the earlier rates only, viz. Rs. 399/- per cylinder. It is relevant to mention here that hostel services including food etc. are provided to beneficiaries with disabilities by NGOs free of cost. 7.2 Women consumers with disabilities may be spared the present high cost of LPG cylinders, in view of their vulnerable socio-economic conditions. It is, therefore, suggested that these women consumers may be provided at least 12 LPG cylinders at subsidized rates per year. 8. Benefits relating to Railways: 8.1 The Ministry of Railways may be persuaded to take urgent steps to allow the facility of concessional fares to persons with disabilities on e-booking of tickets as well. The Hon'ble High Court of Delhi has already issued necessary directions in the matter to the Railway Board which need to be implemented forthwith. 8.2 Persons with disabilities may be allowed the facility of concessional fares on tickets booked under Tatkal service as well. They would, of course, pay admissible Tatkal charges in full. What we seek is that the benefit of railway concession fares be made applicable to tatkal tickets also for passengers with disabilities. 8.3 A separate quota may be earmarked for persons with disabilities in AC 2 tier/3 tier classes. The quota may consist of lower berths only. Register at the dedicated AccessIndia list for discussing accessibility of mobile phones / Tabs on: http://mail.accessindia.org.in/mailman/listinfo/mobile.accessindia_accessindia.org.in Search for old postings at: http://www.mail-archive.com/[email protected]/ To unsubscribe send a message to [email protected] with the subject unsubscribe. 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