Detailed explanation of TAX INFORMATION NETWORK (TIN)

The Income Tax Department has been regularly introducing few measures to unearth black money. Tax on cash withdrawals and the annual information returns (AIR) are only few to be named. Now it has come up with TIN - Tax Information Network. Though it was announced in the Union Budget 2003-04, this is the second phase of the proposed system. We will look into the features of TIN, the objectives and the benefits to the government.

Features of TIN

• The banking system will be linked to the TIN central system.
• The banks will be providing online accounting information on tax paid by various entities to the TIN central system.
• TIN also provides direct uploading by deductors through a web interface.
• TIN design provides TIN Facilitation Centres for different entities having different computer skills.

Objectives of TIN

• The demat of TDS/TCS certificates will enable paperless filing of I-T returns by assessees.
• The cross verification of the TDS and the TCS by the various organisations (deductors) with the credit claimed by the respective assessees will also help in eliminating TDS frauds.
• e-filing of TDS returns by the Government and corporate employer organisations will eliminate the need to enclose copies of challans and other documents and thus lead to a marked reduction in the cost of tax compliance.
• The computerisation of AIRs on high value transactions will result in eventual widening and deepening of the country's tax base.

Benefits to the Government from TIN

• Tax deducted at source (TDS) and advance tax payments are to be monitored through TIN.
• The network will process data on tax payers filing returns on the basis of their permanent account number (PAN).
• Amendments to the Prevention of Money Laundering Act and the setting up of Financial Intelligence Unit will also aid in tracking down tax offenders.
• Investigation and audit are also to be strengthened to boost collections.

TIN Facilitation Centres

National Security Depository Ltd. (NSDL) has established TIN Facilitation Centers for receiving, digitisation and upload of e-TDS returns, TAN & PAN Applications to the TIN central system.

TIN Facilitation Centers are setup at 252 locations specified by the Income Tax Department (ITD) across the country to facilitate deductors furnish their e-TDS returns.

Activities carried out by TIN Facilitation Centres

• Receive e-TDS returns from deductors and upload them to the central TIN central system.
• Receive Form 49B (application for issuance of TAN ) from deductors.
• Receive Form 49A (application for issuance of PAN ) from applicants.
• Receive Request for New PAN card and / or Changes or Correction in PAN data from applicants.

What are the different types of Assessment ?

Basically assessment is estimation for an amount assessed while paying Income Tax. It is a compulsory contribution that is required for the support of a government. It is generally of the following types.

Self assessment
The assessee is required to make a self assessment and pay the tax on the basis of the returns furnished. Any tax paid by the assessee under self assessment is deemed to have been paid towards regular assessment.

Regular assessment
On the basis of thereturn of income chargeable to tax furnished by the assessee intimation shall be sent to the assessee informing him about the tax or interest payable or refundable to him.

Best judgement assessment
In a best judgement assessment the assessing officer should really base the assessment on his best judgement i.e. he must not act dishonestly or vindictively or capriciously. There are two types of judgement assessment :

1. Compulsory best judgement assessment made by the assessing officer in cases of non-co-operation on the part of the assessee or when the assessee is in default as regards supplying informations.
2. Discretionary best judgement assessment is doen even in cases where the assessing officer is not satisfied about the correctness or the completeness of the accounts of the assessee or where no method of accounting has been regularly and consistently employed by the assessee

Income escaping assessment or re-assessment
If the assessing officer has reason to believe that any income chargeable to tax has escaped assessment for any assessment year assess or reassess such income and also nay other income chargeable to tax which has escaped assessment and which comes to his notice in course of the proceedings or any other allowance, as the case may be.

Precautionary assessment
where it is not clear as to who has received the income, the assessing officer can commence proceedings against the persons to determine the question as to who is responsible to pay the tax. 

What is CMMI?

CMMI stands for "Capability Maturity Model Integration". It's the integration of several other CMMs (Capability Maturity Models). By integrating these other CMMs, it also becomes an integration of the processes and practices within the model. The CMMI is a framework for business process improvement. In other words, it is a model for building process improvement systems. In the same way that models are used to guide thinking and analysis on how to build other things (algorithms, buildings, molecules), CMMI is used to build process improvement systems.

CMMI is meant to help organizations improve on their capability to consistently and predictably deliver the products, services, and sourced goods their customers want, when they want them and at a price they're willing to pay. From a purely inwardly-facing perspective, CMMI helps companies get from estimates to actuals in the black, keep customers happy, and purchase the right things the best way.

Without some insight into and control over their internal business processes, how else can a company know how well they're doing before it's too late to do anything about it? And if/when they wait until the end of a project to see how close/far they were to their promises/expectations, without some idea of what their processes are and how they work, how else could a company ever make whatever changes or improvements they'd want/need to make in order to do better next time?

CMMI is just a model, it's not reality. Like any other model, CMMI reflects one version of reality, and like most models, it's rather idealistic and unrealistic -- at least in some ways. When understood as *just* a model, people implementing CMMI have a much higher chance of implementing something of lasting value. As a model, what CMMI lacks is context. Specifically, the context of the organization in which it will be implemented for process improvement. Together with the organization's context, CMMI can be applied to create a process improvement solution appropriate to the context of each unique organization.

Putting it all together: CMMI is a model for process improvement from which (astute) organizations will abstract and create process improvement solutions that fit their unique environment.

How to stop Employee Poaching

1. Move Fast. Unless a contract states otherwise, employers are not required to let a departing employee work out a notice period. When an employee has announced an intention to compete, there may be little advantage to having them stay for the duration of the notice period. Use caution to insure you are not “financing” the employee’s transition to a competitor.

2. Conduct an Exit Interview. If you have reason to believe the employee will compete, an exit interview may be even more important than usual.

·         Remind the employee of post-employment obligations concerning confidential or trade secret information. Provide copies of any signed non-solicitation or confidentiality agreements. In the case of former owners or those falling within Business & Professions Code section 16601 (Sale of Good Will), discuss and confirm in writing the details of any non-compete obligations.

·         Inventory all returned company information and property, including copies of any original documents. Advise the departing employee not to download, copy, transfer, forward, or manipulate company information or data on any computer or other electronic device. Document an averment to that effect. Determine a mechanism for the deletion of “duplicate” confidential information on home computers, laptops, cell phones and PDAs.

·         As for a description of the employee’s new position, job duties, nature of business, and address and phone number of the new employer. Be polite, the departing employee may not be obligated to give you this information.

3. Investigate.

·         If a high value employee who poses a significant threat to the operation of the company leaves, conduct an investigation to determine what information the employee may have taken or copied prior to departing.

·         Conduct the investigation within the confines of the company’s policies and procedures. Most companies have polices that make clear that an employee does not have a right to privacy in any company information, including emails, computer files, computer usage histories, voice mails, and the like.

·         Consider immediately limiting or terminating the departing employee’s access to company offices and information networks and equipment. Absent a valid contractual provision preventing it, employees have a right to work for the competition. While it is fair and appropriate for the company to protect its business’ confidential and proprietary information, it should not unnecessarily offend a departing employee.

4. Be Careful What You Say, But Say a Lot. Be sure your customers know that service will not decline as a result of the employee’s departure. Waiting to contact customers may compound the effect of a departure. Don’t bad mouth the departing employee but immediately notify customers that the employee no longer has authority to act on behalf of your company. If you hear from customers or prospects about an employee violating an employment obligation, take action quickly.

5. Prompt Legal Action.

If you determine that a former employee has acted wrongfully you have several options, including:

• Send a Cease and Desist Demand Letter

• File a Lawsuit

• Seek a Temporary Restraining Order/Preliminary Injunction

A single employee taking customer lists or other information related to his former employer’s business is a common cause for litigation. California law protects the rights of employees to sell their services in a free marketplace, and protects employers against unfair competition and the misuse of proprietary, confidential or trade secret information by competitors or former employees. While California law makes clear that employees can lawfully “prepare to compete” against their current employer, it is less clear when those lawful preparations cross over into a breach of the employee’s duty to his/her current employer.

Claims against a former employee (and possibly their new employer) for misappropriation of trade secrets must be brought within three years of the date a plaintiff has reason to suspect the factual basis of a claim of misappropriation of trade secrets.

B. 5 Things to Know and Do When Hiring Your Competitor’s Employees.

1. Beware of “team.” When a manager, officer or employee of another company speaks on behalf of other employees of that company, i.e., “my team,” “my group,” “my office,” he/she may be breaching a fiduciary or other duty to their current employer. An officer breaches a fiduciary duty to his current employer if he solicits his current employer’s employees to go to work for a competitor. In most cases, these duties end when the employment ends. Barring the most unusual circumstances, an employee does not breach any duty to his employer in discussing his or her own future plans for employment.

2. Determine whether employees-to-be are “at-will” or have a contract with their existing employer. Make sure you understand any limitations on the employee’s ability to work for a competitor. Enforceable restrictions can include a contract for a specified term. A company that interferes with another company’s employment contracts with its employees can be exposed to civil liability. Sellers of “good will” or an equity interest in a company may also be prohibited from working for competitors.

California courts will also act to prevent a former employee from utilizing a former employer’s trade secrets to the disadvantage of the former employer.

3. Make employment offers in writing. The offer should include a statement that the employee bring nothing with them from any former employer and that everything they need to perform their job will be provided by the new employer. Require the employee to represent and warrant that he or she is free to accept the employment with your company and that he/she has not taken anything from his/her former employer.

4. Employees who wish to “follow.” Recruit for open positions from multiple sources. Avoid “targeting” only employees of a competitor. Advertise positions, get applications and resumes, interview and conduct salary negotiations directly with individual applicants. Document all of these steps.

5. Announce the news. California law permits former employees of a company to announce that they are no longer with their former company and are with a new place of business. In some circumstances, however, an employee may be prohibited from soliciting customers of his former employer. Announcements of employee acquisitions should bear this legal distinction in mind and should be

reviewed by legal counsel prior to making such arrangements.

Contrast between HRM and IR

HRM - Human Resource Management 

                    

IR - Industrial Relations

1)  HRM - There are only two important parties viz., employee and employer.

     IR - These are four important parties’ viz., employees, employer, trade unions and government

2)  HRM - Formulation of objectives, policies, procedure and programs of human resources and  

     implement them

     IR - The implementation of HRM policies results in IR.

3)  HRM - Reformulates the objectives, policies etc, based on industrial conflicts which are the 

     outcome of unsound industrial relations.

    IR- The sound IR contributes to the organizational goals. The unsound IR result in industrial 

    conflicts demanding for change and reformulation of HRM objectives and goals

4) HRM - Individual employee contacts with the immediate superior.

    IR - Employees contact even the top management as a group.

5) HRM - Grievance and disciplinary procedures are resorted to, to solve the employee-employer 

    conflicts.

    IR - Collective bargaining and forms of industrial conflicts are resorted to ,to solve the 

    problems,

CONCLUSION:

HRM is the overall management of all resources including workers, staff, , executives, Top management and even suppliers and customers. Industrial Relations in practice means the relations between actual work force and management of the organization. Therefore I am giving below some of the salient features of IR.

• Industrial relations are governed by the system of rules and regulations concerning work, workplace and working community.
• The main purpose is to maintain harmonious relations between employees and employer by solving their problems through grievance procedure and collective bargaining. 
• Trade Unions is another important institution in the Industrial relations. Trade unions influence and shape the industrial relations through collective bargaining. 
• Industrial relations are the relations mainly between employees and employers. These relations emphasis on accommodating other parties’ interest, values and needs. Parties develop skills of adjusting to and cooperating with each other.

Difference between OD and HR

It is important to say that there is much debate and a number of alternative views relating to the differences between OD and HR and in many organisations, OD is combined with the HR function, with the Head of Department or Director having a dual role and title, as in “Head/ Director of OD and HR” (and vice versa) while in others, the HR department has a strategic role which implicitly but not explicitly includes OD.

Some believe that HR and OD are gradually merging, while others see them as necessarily distinct and different disciplines and believe that merging them is positively unhelpful and can lead to conflicts of interest.

For the purposes of this topic, I have attempted to provide a traditional explanation of difference, based on historic research and writing.

Human Resource Management
HR management (as opposed to development) is associated primarily with the more traditional personnel type functions, most of which tend to be characterised by specific and sometimes very detailed processes, legislation and regulation. Most of these processes were designed to ensure that things ran smoothly for the organisation, while at the same time ensuring that people got a fair deal, were adequately rewarded, had the opportunity for personal development, were happy and motivated at work and were well managed.

These processes include recruitment and selection, employment legislation, the development and management of the employment contract and associated legislative Acts, codes and regulations, pay strategies and mechanisms, appraisal, performance management (including capability and disciplinary processes), HR systems and databases, compensation and benefits, appraisal procedures, talent management and a whole array of other processes and functions.

As discussed above, modern, strategic HR has begun to address many of the issues with which OD was historically associated and uses as its starting point for the development of HR policy and strategy the strategic goals and plans of the organisation.

Arguably, though, the difference that still exists today is the basis of each individual discipline.

Organisation Development
Organisation Development, as seen from the previous history section and definitions, is, at its very core, rooted in behavioural science – psychology, sociology and anthropology – and is concerned with applying that knowledge to help organisations develop and improve.

There are few OD “processes” that are bound by legislation or set in stone, because the majority of the processes would be custom-designed to meet the aims of the OD strategy; and the starting point for development of an OD strategy would always be a system-wide diagnosis, including at least a review of the organisation’s mission or purpose, vision and values, to ensure that the direction of travel agreed following the diagnosis is aligned and consistent with the Purpose, Vision and Values.

CONCLUSION: It seems likely that the debate is set to ramble on for some considerable period of time and, as strategic HR progresses and HR is seen as more and more of a strategic and necessary function at Board level, the boundaries may very well continue to blur. What is critical, though, is that OD does not in the process lose some of its independence of thought and application of the knowledge of behavioural sciences, the understanding of which significantly benefit the organisation and the people within it.

Define BEI and how is it used while conducting an Interview?

BEI refers to Behavioral Event Interviewing. 


Employers consider at least seven key performance skill areas when conducting a Behavioural Based interview: 

1. ability to influence others; 
2. interpersonal skills and competence; 
3. ability to grow and adapt; 
4. communication skills; 
5. level of commitment and motivation; 
6. organizational ability; and 
7. problem solving and decision making 

Behavioral Based Question Examples are as follows:

• Your ability to influence others: Tell me about a time when you were able to overcome resistance to your ideas. Describe the situation. Who was involved? What was the outcome? 
• Interpersonal skills: Tell me about the most frustrating person with whom you have worked. What made this experience difficult? How did you resolve the situation with this person? 
• Ability to grow and adapt: Tell me about the last time you were criticized by a supervisor/professor? How did you respond to the criticism? Do you feel the criticism was valid? What did you learn from the situation? 
• Communication skills: Tell me about a time when you had to work hard in order to fully understand what another person was saying to you. What was the situation? What was the outcome? 
• Level of commitment and motivation: Describe a time when you faced obstacles in reaching your objectives. What were the obstacle you encountered? What did you do to go around or remove them? 
• Organizational ability: What do you do to ensure that you meet project deadlines? How do you monitor and track your progress? How satisfied are you with your system of controls? 
• Problem solving and decision making: Tell me about the most difficult problem or decision you have faced at work. What was the situation? How did you decide what action to take? What was the outcome?