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Pension- Frequently Asked Questions

Sl. No.

QUESTION

ANSWER

    1

Which rules govern the grant of pension to employees of the Government of Meghalaya?

The Meghalaya Civil Service (Pension) Rules, 1983

   2

Who is the Pension Sanctioning Authority?

The Head of Office where a government servant last served is the pension sanctioning authority.

   3

What should a government servant do to claim his pension?

The Head of Office is required to undertake the work of preparation of pension papers in Form No. 4 of  Meghalaya Civil Service (Pension) Rules, 1983 two years before the date on which a government servant is due to retire on superannuation. Eight months prior to the retirement date, a government servant is required to furnish certain information (e.g. joint photo with spouse, family details, name of the Treasury Officer through which he desires to draw his pension etc.) to his Head of Office .After complying with the requirements of Rules 65 and 66 of the MCS Pension Rules, 1983, the Head of Office has to forward to the  Accountant General’s Office Form 3 and Form 4 duly completed with a covering letter in Form 5 along with service book of the government servant duly completed up-to-date and any other documents relied upon for the verification of service, not later than six months before the date of retirement of the government servant.

   4

Who is to authorize the pension?

On receipt of pension papers from Head of Office, these will be checked/verified in Pension Section of the Accountant General’s office. If the papers are found in order, the amount of pension payable will be assessed and thereafter the Pension Payment Order (i.e. disburser’s portion and pensioner’s portion) will be dispatched by registered post to the Treasury Officer from where the government servant has opted to draw his pension.

   5

What is to be to done in case the pensioner finds that his pension has not been authorized correctly?

The pensioner’s portion of the Pension Payment Order will show the details of the monthly pension payable. If it is found that pension has been fixed incorrectly, the pensioner should write to the Pension Section of AG’s office giving the particulars of his case. The pensioner should send this letter through the Treasury/Bank from where he is drawing his pension.

   6

Is the Dearness Relief payable on original basic pension OR on reduced pension after commutation? 

The Dearness Relief is payable on original basic pension before commutation.

   7

Is there any restriction on commutation of pension?

Yes. Rule 9 of the Meghalaya Civil Service (Pension) Rules, 1983 stipulates that no government servant against whom departmental or judicial proceedings have been instituted before the date of his retirement or the pensioner against whom such proceedings are instituted after the date of retirement, shall be eligible to commute a fraction of his provisional pension authorized under Rule 64 of the Pension Rules or the pension, as the case may be, during the pendency of such proceedings.

   8

Is there any limit on commutation of pension?

A government servant is entitled to commute for a lump sum payment up to one-third  of his pension.

   9

What will be the effective date of reduced pension?  

The reduction in the amount of pension on account of the commutation shall be operative from the date of receipt of the commuted value of pension or at the end of three months after issue of authority by the AG’s office for the payment of commuted value of pension, whichever is earlier. 

  10

How does the period of 15 years for restoration of commuted portion of pension reckon?

Rule 30 of the Meghalaya Civil Service (Commutation of Pension) Rules, 1992 stipulates that the 15-year period for restoration is to be reckoned from the date of retirement itself.   

  11

Whether the family of a pensioner can be given the benefit of commuting the pension in a case a pensioner dies before exercising this option?

Government of Meghalaya has clarified that the option to commute a portion of pension cannot be extended to the family.

  12

Is any authority required from the AG for restoring the commuted portion of pension?

No. Restoration of commuted portion of pension after 15 years (from the date of retirement) or as fixed by the Government of Meghalaya from time to time is to be done automatically by Treasury Officer/ Bank on receipt of application in prescribed format (Form-10 of the Commutation of Pension Rules, 1992) from the eligible pensioner.

  13

Whether retirement gratuity/death gratuity, commuted value of pension is taxable ?

Retirement/death gratuity and the lump sum amount received on account of commutation of pension is not taxable under Income Tax Act.

  14

Can the deduction of income tax at source be made from pension payments?

Yes. The Treasury Officer/Bank will be responsible for deducting income tax at source from pension payments in accordance with the rates prescribed from time to time. While deducting such tax from pension payments the Treasury Officer/Bank will also allow deduction on account of relief available under the Income Tax Act from time to time on production of proper and acceptable evidence of eligible savings by pensioners. The Treasury Officer/Bank will also issue the pensioner in April each year a certificate of tax deducted in the form prescribed in the Income Tax Rules.

  15

Can the excess payment of pension, if any, cre-dited to the pensioner’s account be recovered by the bank?

Before commencing payment of pension the paying Bank is required to obtain a written undertaking from the pensioner that in the event of any excess payment, the same can be recovered by the Bank. On the strength of this undertaking the excess payment, if any, credited to the pensioner’s account can be recovered by the paying Bank.

  16

What should a family member eligible for the grant of family pension do to get the family pension?

Normally, family pension is sanctioned and authorized at the same time as pension and this fact is indicated in the Pension Payment Order. Family pension is to be drawn after the death of the pensioner.

In case of a government servant dying while in service, the widow or widower has to make a claim in Form 8 to the Head of Office who will sanction and authorize the family pension through the AG’s office. Where the deceased government servant is survived only by a child or children, the guardian (in case of minor child/children) or such child or children may submit a claim in Form 8 to the Head of Office for sanction and authorization through the AG’s office for family pension. 

The application for family pension in Form 8 must be accompanied with a copy of the death certificate of the deceased pensioner (i) to the Pension Disbursing Authority if, the amount of family pension is already indicated in the Pension Payment Order (ii) to the Head of Office for sanction of family pension in all other cases.

  17

Up-to which period is family pension payable?

Family pension is payable to one member of the family at a time in the order and for the period as under: 

a) In the case of a widow or widower, up to the date of death or remarriage, whichever is earlier. 
b) In the case of minor son, until he attains the age of 18 yrs.

c) In the case of an unmarried daughter, until she attains the age of 21 yrs or marriage or starts earning Rs. 2550/- p.m. which ever is earlier.

d) After (a) (b) & (c) above; for the lifetime to any unemployed son/daughter who is suffering from any disorder or disability of mind (including mentally retarded)or physically crippled or disabled.

  18

How is the family pension payable to twin children?

Where the family pension is payable to twin children, it will be paid to such children in equal shares provided that when one such child ceases to be eligible his/her share shall revert to the other child and when both of them cease to be eligible, the family pension shall be payable to the next eligible single child/twin children.

  19

Is family pension payable to a spouse judicially separated?

Yes, family pension is payable to a spouse judicially separated but not to a spouse judicially separated on the ground of adultery.

  20

Whether family pension is sanctioned to a handicapped child during the lifetime of a pensioner who has no wife or any other children?

No. Family Pension in this case is sanctioned only when the contingency arises. However, the particulars of the handicapped are to be recorded in both halves of the Pension Payment Order issued by the AG’s office.                                                       The pensioner having a handicapped child is advised to ensure that the required formalities for making the child eligible for family pension are done well before his/her retirement.

  21

How long is  enhanced family pension payable?

Enhanced family pension is payable upto the attainment of 65 years of age of the pensioner had he survived or upto 7 years from the date of death of pensioner whichever is earlier.

  22

What is the formula for revising the pension of pre-1987 pensioners/ family pensioners?

The notional pay will be fixed as on 01/01/1987 as if for a serving employee. The pension payable on this notional pay will then be worked out and thereafter consolidated in terms of Government of Meghalaya, Finance Department O.M. No. F(PR)-102/97/pt/35 dated.29/10/98.

  23

What is the minimum/maximum pension?

Minimum pension shall not be less than Rs.1220/-  and maximum not more than Rs. 8500/- per month. Pension and family pension shall also not be less than 50% and 30% of the minimum, of the revised scale of pay effective from 01/01/96 of the post held by the pensioner.

  24

Is there any ceiling on gratuities and if so what is the maximum amount admissible?

Yes. Ceiling on all gratuities is  R.3.5 lakhs effective 01/04/2005.

  25

What is the medical allowance for pensioners?

Rs.350/- per month.

  26

When can pension be withheld or withdrawn?

Future good conduct is an implied condition of every grant of pension and its continuance under the Pension Rules, 1983. 

The pension or a part there of can be withheld or withdrawn in such cases where a pensioner is convicted of a serious crime or found guilty of a serious or a grave act of misconduct/negligence after retirement, or during the period of service, including the service rendered upon re-employment after retirement.

  27

Are the employed family pensioners and the re-employed pensioners entitled to Dearness Relief on their family pension/pension?

No.

  28

When is Death-cum-Retirement Gratuity withheld?

In case the pensioner is occupying a government quarter or a vigilance case is pending against him, authorization/ payment of DCRG can be withheld on the advice of pension sanctioning authority.

  29

What is reduced pension?

Reduced pension is the part of pension which is payable after deducting commuted portion of the pension.

  30

When can a government servant apply for voluntary retirement?

A government servant can apply for voluntary retirement after completion of 20 years of government service.

  31

To whom should I apply for revision of pension?

You have to apply for revision of pension in a prescribed format with necessary enclosures to your pension sanctioning authority/Head of Office from where you retired.

  32

Why is my Death-cum-Retirement Gratuity not authorized to me in full and when is the balance released?

A portion of your DCRG is withheld when Refund Advices/ No Demand Certificates/Last Pay Certificate in your case have not been received in AG’s office from your Head of Office. The balance DCRG withheld is released  on receipt of these documents.

  33

Can parents get family pension?

No.

   34

What is the meaning of the following terms?   (a) Pension Disbursing Authority

(b)Pension Sanctioning Authority

(c)PPO Issuing Authority

(a) Pension Disbursing Authority: Your Pension paying branch Bank/Treasury Officer.

(b) Pension Sanctioning Authority: The authority who sanctioned your pension before forwarding the case to the AG’s office.

(c) PPO Issuing Authority: Accountant General (A&E) Meghalaya, Shillong