Anti Money Laundering & Tax Evasion - - How to Stop Through Banking process.....................

If we want to avoid tax evasion & AML. Banks can play vital role. Bank can check accounts. Is it saving a/cs use for business purpose. Bank can stop this malpractice. It ensure pan card updating in a/cs. Challenge is advance technology how can find such type of a/cs branch staff can effort in that way. Many challenges but bank is important medium to kick out tax evasion & AML practice. RBI must play as strict master & hunting to banksBottom of Form

IF Banks have to monitor number of transaction in every saving account and current account and also check how many different accounts have one person.

It will be check where money come from and check through profile of customer but it is a not easy task. It is a hard process because banks have large no. of accounts like SBI have approx 22.5 crore accounts in pan India. 

So, here technology can play vital role to find out suspicious accounts. We can find out large transaction account holder and verify all transaction

But at the same time some chartered accountants play role as a commission agent they make forge papers to safe the black money and also convert in to white money.

Some banks also protect to a/c holders make forge profilers of large transaction account holder for making branch strength.

But there is contradiction private banks always make pressure for business how to catch the business it is not easy so, they make rose financial bed for suspious customers.

So, there is contradiction. It can not possible to find out and erase all Anti Money Laundering &  Tax Evasion done by account holders.

So, we can stop Anti Money Laundering & Tax Evasion when banks have to make will power and chartered accountants play as financial consultant only. Banks try to find out best technology for doing such kinds of this process and senior management make high level of will power.   

Bad Obama........Bad Obama.......Obama Statement about Indian Economy

I have read Obama  statement "worried situation of Indian economy due to restriction of FDI like in retail" at NDTV India channel.

what we can understand about this statement.......................

he want to say that In India, libearlisation should be. why.........

we can not forget recession. Indian economy have became save due to strong and protective regulation. if we can open Indian economy like European & american economy. we can not save Indian economy.

casino capitalism exist in  European & american economy. we can not follow that way. we support creative capitalism. Obama statement referred that increase the growth rate of  american economy with the help of Indian economy  because growth rate of american economy is low,,,, 1.9% in first quarter of 2012 over the previous quarter.


so, he want support from Indian economy but we can never go and follow casino capitalism. we always try to make strong Indian economy. we can make strong  domestic market. we want  always Indian economy depend on domestic market. 


so, i urge to Indian economist that they make strong economic policy and always assure to make safe to Indian economy from foreign countries's economy. 


economic policy should be increase the demand in domestic market and always make habit to Indian people i.e. "saving"......






written by


Ajay Kumar

E-Mail - ajay.mrim@gmail.com






  

Mismanagement......Mis- Selling... in Private Banks & Insurance Companies

Mismanagement means

1.  खराब व्यवस्था
2.  अव्यवस्था (f)
3.  कुप्रबंध (m)
4.  कुप्रबन्ध
5.  बिगाड़ (m)
6.  बद इन्तजामी                                                                                                                         

 i think effective and strong management open new door of business. effective and strong management should be at bottom to top level. we can see in tata group. this is the success of tata group. many organisation expanding business but deficiency is no management at bottom level. senior management always think and imagine without effective link to bottom level. we can see mismanagement particularly in financial services like insurance and banking sector. 

data said, India have big potential for financial market in next ten years  because domestic market is big in India. income of Indian people rising due to good economic growth. plan of financial inclusion is big challenge for financial sector particularly banking and insurance sector. public sector banks and insurance companies have strong potential due to higher rate of consumer confidence, good past history, good management etc......

but private banks and insurance companies fail to increase consumer confidence due to mismanagement, mis -selling (high pressure of sales), bad marketing strategy, inadequate of good and strong financial products. if one customer missale by bank & insurer then it will make bad image in another group of people. Decreasing rate of  good employee is another big reason in private banks & insurance companies.

Private Insurance companies particularly life insurer have lost consumer confidence due to  mismanagement, mis -selling (high pressure of sales), bad marketing strategy, inadequate of good and strong financial products. so, it will be difficult to gain again consumer confidence foe private life insurer.

similar pattern adopting by private banks from past few years.

so, i can say this is a alarming situation for private banks & insurance companies.......................

make effective & strong management

stop mis selling

retain good employees

do not make high sale pressure ( high sales pressure = mis selling)

make good and need based product

make effective marketing strategy

next many years waiting for financial market in India. 

written by ajay kumar

E-Mail id - ajay.mrim@gmail.com 

  

  

GAAR - General Anti-Avoidance Rules

General Anti-Avoidance Rules is a tool of government which prevent the practice of  tax evasion....................

Indian Government is trying to give powers to income tax authorities as implementation of GAAR provides tremendous powers to deny tax benefit to an entity if a transaction has been carried with the sole intention of tax avoidance. Due to powers in the hand of taxmen, now innocents may be harassed by them.

FII & FDI money coming to India through Mauritius route will now become taxable.

Increased litigations.

To make it easier to understand GAAR; we can say that suppose a person or a company is setting up business in Gulf Country and its clear intention is to claim exemption from capital gains tax, in such a scenario Indian govt has the right to deny the legitimate claim for exemption provided under DTAA as it falls under tax avoidance and Indian govt is trying to plug the loopholes.

Foreign investors may be relieved over the controversial gaar tax proposals being pushed back by a year but another new taxation framework could make their India investments riskier and expensive. 
The proposals that are a part of the Finance Bill. They state that capital gains arising from the transfer of shares or interest in a non-Indian company -- in case the share or interest derives directly or indirectly its value substantially from assets located in India -- will be taxable in the country. 

by

ajay kumar

ajay.mrim@gmail.com

NPS - NEW PENSION SYSTEM

PENSION is a necessity of any person who will face old age. so, government has launched NPS i.e. new pension system.

Their is

Main Features and Architecture of the New Pension System

• The new pension system would be based on defined contributions. It will use the existing network of bank branches and post offices etc. to collect contributions. There will be seamless transfer of accumulations in case of change of employment and/or location. It will also offer a basket of investment choices and Fund managers. The new pension system will be voluntary.

• The system would, however, be mandatory for new recruits to the Central Government service (except the armed forces). The monthly contribution would be 10 percent of the salary and DA to be paid by the employee and matched by the Central Government. However, there will be no contribution from the Government in respect of individuals who are not Government employees. The contributions and returns thereon would be deposited in a non-withdrawable pension account. The existing provisions of defined benefit pension and GPF would not be available to the new recruits in the central Government service.

§         In addition to the above pension account, each individual can have a voluntary tier-II withdrawable account at his option. Government will make no contribution into this account. These assets would be managed in the same manner as the pension. The accumulations in this account can be withdrawn anytime without assigning any reason. 

• Individuals can normally exit at or after age 60 years from the pension system. At exit, the individual would be required to invest at least 40 percent of pension wealth to purchase an annuity. In case of Government employees, the annuity should provide for pension for the lifetime of the employee and his dependent parents and his spouse at the time of retirement. The individual would receive a lump-sum of the remaining pension wealth, which she would be free to utilize in any manner. Individuals would have the flexibility to leave the pension system prior to age 60. However, in this case, the mandatory annuitisation would be 80% of the pension wealth.

• There will be one or more central record keeping agency (CRA), several pension fund managers (PFMs) to choose from which will offer different categories of schemes.

• The participating entities (PFMs, CRA etc.) would give out easily understood information about past performance & regular NAVs, so that the individual would able to make informed choices about which scheme to choose.

Source - www.pfrda.org.in

by

Ajay Kumar

ajay.mrim@gmail.com

  

Debt Finance Economy - Economy of America

America is number one debt finanace economy. Approximate fiscal deficit is 17% of GDP. Recently we have seen economy of greece is going to default due to high fiscal deficit of GDP. so any economy of country can be default. recently i heard that consent of member on incresing debt finanace bill in senate. we can understand that indication in american economy is negative. Economy of america have option cut on expenses and increse limit of debt. So, quick action has taken by president obama is increse debt limt.we know that metropolitan and other instituion drive by debt money.

so, question is that how american economy being sustain till now. i think first american economy have fleet currency ie. Dollar ($). Still, most of the trade is being in $ in aprroximate across the world.second is american economy is very big economy approximate 30 trillion $ compratively china 5 trillion $ and india 1.5 trillion $ economies.so, rate of investment is high by investors of diffrent part of the world. american economy is favourate for investors.

but now situation of american economy is complex. Their is some challenges first to protect credibility of american economy at global level. Second challenge is to increse growth rate. Third is to increase demand of american product.

we are being see value of $ is going down, earlier value of 1 $ is Rs. 50 at present approx. 44 Rs. recently china devaluate its currency "yuan" that hampered $. In BRIC (Brazil, russia, india & china) conference, member countries want to make unique currency for bilateral trade. So, it will indirect hamper to $.

But if value of dollar will be down it will make competitive currency so, it will create high demand of american product. It will assist to recover or strengthen to American economy.

But it will concern of future we will wait to see what will happen in financial market at global platform. American economy can maintain credibility and value

BY AJAY KUMAR
ajay.mrim@gmail.com

No Ethics................

Now a day, we can not find ethics anywhere like education, medical, society, politics, corporate, industry, etc...

Why? Because our pattern of education is not emphasing to moral education. We were see in Virginia Tech. University that one south Korea student killed many student as well as one professor. It shows that student was taking only technical education not moral education.

I have visited to BHU hospital. I have seen that young medical students have not good behavior to patients and his/her family member. They have no any sensitivity regarding patients. Of-course, they always see patients and stay with patients, it will deteriorate sensitivity, compassion but we are human being without sensitivity and compassion we can not human being. Doctors are only making money through high fees, commission from test and medicine. They do not care to the position

We have seen only make money through anyway is first priority in corporate sector. Their is no ethics. Their is no sensitivity & emotion towards subordinate by boss. Ego is key problem of people who acquire higher post. Corporate houses want to acquire first position any way.

I have seen no ethical values in teachers in school, college & university. Teachers want higher post through flattering. Teachers are using students for writing of books, journals etc. Teachers always claim students do not give respect but teachers forget that they will teach students about ethics & moral values.

I have seen that now a day politics is without ethics. Mussel & money power is the main tool for entering in politics. Politicians are corrupt & criminals. Only, main aim is reach to “satta”, position through any way.

No ethics in administration. Police & bur crates (IAS, IPS etc.) are corrupts. They are using power for making money and tolerate people. They flattering politicians for good position. It arises question of selection process of Police & bur crates. Police are not providing security but they are providing insecurity.

Society is without ethics because they only care which acquire success & money through any way. They only provide support to rich & strong man. Society always empowers the people but now a day, it is not empower.

At last, where we can find ethics? Can we survive without ethics? What, how, why ethics?

Who will give answer………………………….

Written by Ajay Kumar

ajay.mrim@gmail.com