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PAYMENT OF ARREARS OF PAY & DIFFERENCE OF LEAVE
ENCASHMENT :
Payment of arrears of Pay and Allowances and difference of Leave
Encashment has been made to
the
bank account held in records of Naval Pay office
(where last payment of PF finalization/ Leave Encashment
etc. was done) and
not the Pension Account in case of Officers. For Sailors,
Release Centre would make the Payment based on Payment Authority
forwarded by NAVPAY and the amount will
be credited into the Sailor's Bank( PNB) account held by Release
Centre .
CHANGE OF BANK ACCOUNT:
It is
recommended that
the bank account held
in records of Naval Pay office
be kept active. Changes in bank account
/residential addresses be intimated at the earliest.
PAYMENT OF PENSION : Respective
PDAs will credit your revised pension into your Pension Account
based on the corrigendum PPO issued by the PCDA (Pension Cell)
INCOME TAX ON ARREARS: As a thumb rule, disbursement of arrears
of pay commission have been subjected to 30% Income Tax slab specially
in case of Officers.The balance amount of
arrears, post IT deduction, has been
actually disbursed. By and large no Income Tax has been deducted
on arrears paid to Sailors. Only in certain cases viz.
MCPOs Income Tax
has been deducted as per the lowest slab.
DISPATCH OF ANNUAL SALARY STATEMENT (FORM16):
Form 16 would be dispatched
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