Fake house rent receipts may not work anymore to lower tax burden

Income Tax (IT) Department is going to be harsh against the people (taxpayers) who claim benefits/tax deductions under the House Rent Allowance (HRA). Reports suggest that following a recent judgement of the Income Tax Appellate Tribunal, the IT department may ask taxpayers to submit more proofs in relation to the HRA deduction and they are genuine tenant.

The case came in light while the ITAT Mumbai was hearing the HRA exemption claim of a salaried individual for rent paid to her mother.

The proof may include rent agreement, electricity or water bill, license agreement among others.

• Several salaried employees submit fake rent receipts signed by their relatives, even after residing in the house of their own or family.

• In case of actual tenants, there are chances where the amount mentioned in the receipt may vary from the actual rent he/she pays to the house owner.

As per a report in a leading newspaper, Sandeep Sehgal, the direct-tax and regulatory at Ashok Maheshwary & Associates, LLP, has said that “the Mumbai Tribunal in its recent judgement clearly spelt that only rent receipts in itself shall not be treated as conclusive document for claiming exemption for HRA and the tax authorities may ask for details to vouch that the claim for rent paid is genuine and reasonable”.

Issuance of PAN number:

The existing tax bracket says that every individual who claims the tax deduction by depositing rent receipts must provide a PAN number of his/her landlord, if he/she pays a rent above Rs 8333 per month. This submission of PAN will allow the tax department to have a look on the landlord that whether he/she has provided  the details of income via house rent in his/her tax return.

Scientists discover fungus that eats plastic

Researchers at the Chinese Academy of Sciences (CAS) have discovered a soil fungus Aspergillus tubingensis that can break down plastic materials using its enzymes.
This discovery could help solve the ever-growing problem of plastic waste that threatens to destroy our environment.

Key facts

• The plastic-eating fungus was discovered in Islamabad, Pakistan when the scientists in the hopes of finding an organism that could feed off plastic waste took samples of the soil and various pieces of rubbish.

• Scientists have identified that the fungus, which ordinarily lives in the soil, can also grow on the surface of plastic.

• The fungus in its process of growth secretes enzymes that can break the chemical bonds between the plastic molecules, or polymers when it grows on a plastic surface.

• With the use of advanced microscopy and spectroscopy techniques, the research team found that the fungus also uses the physical strength of its mycelia (the network of root-like filaments grown by fungi) to help break apart the polymers.

This is the first such discovery of its kind that could make plastic disposal in a safe manner a possible reality. Prior to this, all attempts to deal with plastic waste including burying, recycling, incineration have proved to be unsustainable, costly and hazardous to human health.

RBI clears proposal to introduce Rs 200 notes

The board of the Reserve Bank of India (RBI) has cleared a proposal to introduce banknotes of Rs200 denomination. The decision was taken at the RBI board meeting held in Mumbai on March 2017. 

The process of printing the new Rs 200 notes is likely to begin after June 2017 once the government officially approves the new denomination. 

Earlier in November 2016, RBI had announced the withdrawal of Rs 500 and Rs 1,000 currency notes, amounting to around 86% of currency in circulation of Rs 17.9 trillion. 
Since then, it has replaced these denominations with the new Rs 2,000 and redesigned Rs 500 bank notes. 

About RBI board: 
It has 14 members, including the governor and four deputy governors. The board also has an economic affairs secretary and financial services secretary as its members.

PM Narendra Modi inaugurates India’s longest road tunnel in Jammu & Kashmir

Prime Minister Narendra Modi inaugurated Chennai-Nashri Tunnel, country’s longest road tunnel that links Kashmir Valley with Jammu by an all-weather route. The 9-km-long tunnel passes through the lower Himalayan mountain range on Jammu-Srinagar National Highway 44. It cuts the distance between Jammu and Srinagar to around 250 km from the current 350 km.

About Tunnel
The 9-km long ‘Chenani-Nashri Tunnel has been built at an altitude of 1,200 meters. 
It is also Asia’s longest bi-directional highway tunnel. 
It has been built at the cost of Rs. 2,500 crore.
It is India’s first tunnel equipped with world class Integrated Traffic Control System (ITCS) through which ventilation, signals, fire control, communication and electrical systems are automatically actuated. 
It reduces travel time by three to four hours. 
The also reduces road distance between Chennai and Nashri to 10.9 km from earlier long route of 41 km. 
The tunnel will provide all-weather road connectivity to the Valley and avoid landslide-prone stretch.
It will help to boost the trade and commerce and tourism in the valley. 
It also boasts features like Video Surveillance System, FM Rebroadcast System, Entrance Detection-Control System and Active Firefighting System. 
It also features a state-of-the-art ABB ventilation system to ensure that users have access to fresh air as they drive through it. 
The tunnel will provide all-weather road connectivity to the Valley and serve as an alternative to the highway which is closed at the time of snow and rains.

Government launches BS-IV grade fuels

The government has formally launched Bharat Stage-IV (BS-IV) grade transportation fuel across the country to keep carbon emission in check. 
The launch came days after the Supreme Court banned sale and registration of BS-III vehicles from 1 April 2017. It sets the target of ushering in BS-VI fuel by April 2020 by skipping BS-V fuel.  
All state-run oil marketing companies will provide BS-IV-compliant fuel at their 53,500 retail fuel stations across the country.

About BS-IV Fuels
BS-IV fuels contain far less sulphur than BS-III fuel. Sulphur in fuel makes it dirtier and lowers the efficiency of catalytic converters, which control emissions.
The BS-IV compliant vehicles release fewer pollutants Carbon Mono-oxide (CO), Hydrocarbon (HC), Oxides of Nitrogen, Sulphur and particulate matter (PM) compared to BS III compliant vehicles.

India has joined IEA (International Energy Association )

India, world’s 3rd largest energy consumer has joined International Energy Association (IAE) as an associate member. India will also now have a greater say in global energy issues. With India as an associate member, IEA now formally covers 70% of the world’s energy consumption, thus increasing its relevance.

India will gain from IEA’s data gathering processes, survey methodologies and range of energy data, which will enable India in the near future to set up its own robust integrated database agency

It also gives an opportunity to India to be the voice of the developing world and represent the interests of the emerging markets. It will enable India to be involved in the key committees and dialogues of the IEA. 
About IEA

-The IEA was established to meet the industrial countries' energy organization needs in the wake of the 1973–1974 oil crisis.

-Established in 1974 as per framework of the Organisation for Economic Co-operation and Development (OECD) with Headquarters in Paris.

-The IEA acts as a policy adviser to its member states but also works with non-member countries, especially China, India, and Russia.

-Presently it has 29 member countries. India is a lone associate member of IAE.

Pakistani cricketer banned for Corruption for one year

Pakistani pacer Mohammad Irfan banned for one-year for breaching anti-corruption codes on 29 March 2017 after he admitted to his fault of failing to report a spot-xing approach by bookmakers during the Pakistan Super League (PSL).

Irfan confirming his suspension stated that he was aware that it was his fault that he failed to notify the board when the bookies approached him, especially when the Pakistan Cricket Board’s code of conduct makes it very clear that any such interaction should be reported immediately. The pacer further requested for the nation’s forgiveness and hoped that he will be pardoned. 

The most dramatic case in recent times occurred in 2010 when several Pakistani cricketers were found guilty of match-fixing in a single international game. Two young fast bowlers and the captain accepted bribes from newspaper journalists posing as bookmakers. A London court later found two guilty of conspiracy to cheat and conspiracy to accept corrupt payments at a court in London.