GOVERNMENT OF INDIA
MINISTRY OF FINANCE
DEPARTMENT OF EXPENDITURE
CENTRAL PENSION ACCOUNTING OFFICE
TRIKOOT-11, BHIKAJI CAMA PLACE,
NEW DELHI-110066
PHONES 25174596. 26174456, 26174438
CPAO/IT & Tech/Bank Performance/37( Val-II)/2016-17/14
19.04.2017
Office Memorandum
Subject:- Opening of joint Account by pensioner with first name of pensioner.
Attention is invited to Correction Slip No.1 dated – 08.02.2006 of
Scheme for Payment of Pensions to Central Government Civil Pensioners by
Authorized Ranks on crediting of pension in the Joint Account of
Pensioners with spouse (copy enclosed).
It has been reported that in some cases Banks are allowing the
pensioners to open their pension account as Joint Account with first
name of his/her spouse which may create difficulties for pensioner at
the time of filing the Income Tax Returns as the income tax is assessed
on the income of the pensioner and not of the spouse.
Heads of CPPCs/Government Account Divisions of all the banks are advised
to instruct their bank branches to facilitate the retiring employees
approaching them for opening their pension accounts before their
retirement. In case of Joint. Account, the same may be opened with first
name of pensioner only.
This issues with the approval of Competent Authority.
Encl:-As above
(Vijay Siingh)
Sr. Accounts Officer (IT & Tech)
Amendment to the Scheme for Payment of Pensions to Central Government
Civil Pensioners by Authorised Banks (Fourth Edition, 3rd December,
2004)
Correction Slip No.
The following lines may be added at the end of existing pars 4.1
Page-2: Paying branch may also credit in his or her joint account
operated by pensioner with his I her spouse in whose favour an
authorization for family pension exists in the Pension Payment Order
(FPO). The joint account Of the pensioners with the spouse could be
operated either by “Former or Survivor’ or ‘Either or Survivor’ basis
subject to the following conditions:-
(a) Once pension has been credited to a pensioner’s bank account, the
liability of the Government/bank ceases. No further liability arises,
even if the spouse wrongly drawn the account
(b) As pension is payable only during the life of a pensioner, his I her
death shall be intimated to the bank at the earliest and in any case
within one month of the demise, so that the bank does not continue
crediting monthly pension to the joint account with the spouse, after
the death of the pensioner. if, however any amount has been wrongly
credited to the joint account, it shall be recoverable from the joint
account and / or any other account held by the pensioners I spouse
either individually or jointly. The legal heirs, successors, executors
etc_ shall also be liable to refund any amount, which has been wrongly
credited to the joint account.
(c) Payment of Arrears of Pension (Nomination) Rules 1953 would continue
to be applicable to a Joint Account with Pensioner’s spouse. This
In-plies that if there is an ‘accepted nomination’ in accordance with
Rules 5 and 6 of these Rules, arrears mentioned in the Rules shall be
payable to the nominee.
Existing pensioners desiring to get their pension credited to a joint
account as indicated above are required to submit an application to the
branch bank, from where they are presently drawing pension in the
enclosed form that is i.e. Annexure XXIX. This would also be signed by
the pensioner’s spouse in token of having accepted the terms and
conditions laid down in this Office Memorandum. These instructions are
also applicable to the Govt. servants who will be retiring after the
issue of this Office Memorandum.
No comments:
Post a Comment