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Why post GST Reduction, Restaurants have Increased Prices?

The main crux of the whole embezzlement is a non standardized billing system and non linking with GST server. More than 90% customers in restaurants are individuals, who don''t have GST registration, so they don''t file GSTR1, so if the restaurants collect taxes from customers and don't pay it to the Government, then who is going to catch them and how? 

So, it''s evident that 18% GST, which the restaurants collected from the customers were actually added in their earning. So, a reduction in GST rate has directly affected the huge amount of illegal earning of the restaurants, so now they have no other way but to increase the prices to match the extra bucks, which they had earned since GST implementation.

GST billing will be successful if a centralised billing system is used and a bill is generated with GST index no linked with their central server. This will make sure that restaurants who collect GST will be forced to pay it to the govt. 

Which is Correct Procedure for Nomination to Avoid Legal Hassle Post Your Death?

I wonder how many of us are aware of this legal twist. 

Will your Nominee get the money on your death ?

Did you think that your nominee is the person, who will get all the money legally from your Life Insurance Policy and Mutual funds investments? Ha! That is exactly what you think if you are not aware of the legal aspects. We assume a lot of things which sounds like they are obvious, but are not true from the legal point of view. Today, we all concentrate on nominations in financial products.
For whom are we earning? For whom are we investing? Who, do we want to leave all our wealth to, in case something happens to us? It might be your children, your spouse, parents, siblings etc., or just a subset of these. You also might want to exclude some people from your list of beneficiaries!. So you think you will nominate person X in your Insurance policy, and when you are dead and gone, all the money goes to person X and he/she becomes the sole owner? You are wrong, dude ! It does not work that way. Let us see how it actually does!

What is a nominee ?

According to law, a nominee is a trustee not the owner of the assets. In other words, he is only a caretaker of your assets. The nominee will only hold your money/asset as a trustee and will be legally bound to transfer it to the legal heirs. For most investments, a legal heir is entitled to the deceased's assets. For instance, Section 39 of the Insurance Act says the appointed nominee will be paid, though he may not be the legal heir. The nominee, in turn, is supposed to hold the proceeds in trust and the legal heir can claim the money.

A legal heir will be the one whose is mentioned in the will. However, if a will is not made, then the legal heirs of the assets are decided according to the succession laws, where the structure is predefined on who gets how much. For example, if a man during his lifetime executes a will. In the will, he mentions his wife and children as legal heirs, then after his death, his wife and children are the legal owners of his assets. It is essential that one needs to execute a will. It is the ultimate source of truth and replaces the succession law. Nominee can also be one of the legal heirs.

Important

·         Mention the Full Name, Address, age, relationship to yourself of the nominee.

·         Do not write the nomination in favour of wife and children as a class. Give their specific names and particulars existing at that moment.

·         If the nominee is a minor, appoint a person who is a major as an appointee giving his full name, age, address and relationship to the nominee.

Why is the concept of nominee ?

So you might be wondering, if the nominee does not become the sole owner, why does such a concept of a nominee exist at all? It  is pretty simple. When you die, you want to make sure that the Insurance company, Mutual fund or your shares should at least get out of the companies and go to someone you trust, and who can further help, in process of passing it to your legal heirs.
Otherwise, if a person dies and has not nominated anyone, your legal heirs will have to go through the process of producing all kind of certificates like death certificates, proof of relation etc., not to mention that the whole process is really cumbersome! (For each legal entity! The insurance company, the mutual funds, for the shares, for the real estate..) . So, to simplify, if a nominee exists, these hassles do not happen, since the company is bound to transfer all your money or assets to the nominee. The company the goes out of scene & then, it is between nominee and legal heirs.

Example of Nomination

Ajay was 58 years old who died recently in an accident. As his children were settled, he wanted to make sure that his wife is the sole owner of all the monetary assets. This includes his insurance policy and mutual funds. So during his lifetime, he nominated his wife as a nominee in his term insurance policy and mutual funds investments. However, after Ajay's death things did not turn up the way he wanted. The reason being Ajay did not leave a will. Though his wife was the nominee in all his movable assets, as per the law, his wife, along with children, were the legal heirs and all of them had equal right to Ajay's assets.

One simple step which could have saved the situation was that Ajay should have made a will which clearly stated that only his wife was entitled to get all the money and not his children.

Nomination in Life Insurance

A policyholder can appoint multiple nominees and can also specify their shares in the policy proceeds. Nomination in life insurance has one limitation, as insurance policies are bought to secure your financial dependents, your first choice of nominee has to be your family members. In case you want to nominate a non-family member like a friend or third party, you will have to show/PROVE the insurance company that there is some insurable interest for the person. This happens because of a Clause called PRINCIPAL OF INSURABLE INTEREST in insurance. Note that provision of nomination in life insurance is related to Section 39 of the Insurance Act.

Note that as per LIC website –

Nomination is a right conferred on the holder of a Policy of Life Assurance on his own life to appoint a person/s to receive policy moneys in the event of the policy becoming a claim by the assured's death. The Nominee does not get any other benefit except to receive the policy moneys on the death of the Life Assured. A nomination may be changed or cancelled by the life assured whenever he likes without the consent of the Nominee.

Make sure, you have a nominee for your policy for easy settlement of the claim, if you do not have any nominee mentioned in the policy, it can turn out to be a disaster for your dependents to get a claim.

Nomination in Mutual funds

In case of mutual funds, you can nominate up to three people, who can be registered at the time of purchasing the units. While filling in the application form, there is a provision to fill in the nomination details.

Even a minor can be a nominee, provided the guardian is specified in the nomination form. You can also change nomination later by filling up a form which is available on the mutual fund company website.

Nomination in mutual funds is at folio level and all units in the folio will be transferred to the nominee(s).

If an investor makes a further investment in the same folio, the nomination is applicable to the new units also. A non-resident Indian can be a nominee, subject to the exchange control regulations in force from time to time.

Nomination in Shares

Quiz for you . Now you know what a nominee means and who actually gets the money. So if there is a husband H, with wife W and nephew N, and he has nominated his nephew N to be the nominee of his shares in demat account, who will have the legal right to own the shares after husband's death? If you answer is wife, you are wrong in this case! In case of stocks, it does not work the usual way, if a will does not exist.

In the verdict, Justice Roshan Dalvi struck down a petition filed by Harsha Nitin Kokate, who was seeking permission to sell some shares held by her late husband. The Court noted that as she was not the nominee, she had no ownership rights over the shares. Ms Kokate's lawyer had argued that as she was the heir of her husband who had died intestate (without a will), she should have ownership rights of the shares, and be able to do anything with them as she wished. In this case, Ms Kokate's husband had nominated his nephew in favour of the shares. Justice Dalvi however noted that under the provisions of the Companies Act and the Depositories Act, Acts which govern the transfer of shares, the role of a nominee was different.

A reading of Section 109(A) of the Companies Act and 9.11 of the Depositories Act makes it abundantly clear that the intent of the nomination is to vest the property in the shares which includes the ownership rights there under in the nominee upon nomination validly made as per the procedure prescribed, as has been done in this case.

It means that if you have not written a will, anyone who has been nominated by you for your shares will be the ultimate owner of those stocks, The succession laws on inheritance will not be applicable but in case, you have made a will, that will be the source of truth.

Nomination in PPF

Let me give you some shock first. If you have Rs 10 lakh in your public provident fund (PPF) account and you have not nominated anyone for your PPF account, your legal heirs will get maximum of Rs1 lakh only! Yes, it is so important to have a nominee, now you get it . You can nominate one or more persons as nominee in PPF. Form F can be used to change or cancel a nomination for PPF. Also note that you cannot nominate anyone if you open an account for a minor.

Nomination in Saving/Current/FD/RD Account in Banks

FD's also come with nomination facility. While opening a new account, there is a column for nomination in the same form and you should fill it. You can nominate two persons with first and second option. Note that in case you have not done any nomination till now, you should request Form No DA-1 from your Bank which is used to assign a nominee in future. (Examples of ICICI Bank , HDFC Bank , Canara Bank) . In the same way to change/cancel the nomination you need to fill up Form no DA-2. Read about Corporate Fixed Deposits

As per a famous case, A Bench of Justices Aftab Alam and R M Lodha in an order said that the money lying deposited in the account of the original depositor should be distributed among the claimants in accordance with the Succession Act of the respective community and the nominee cannot claim any absolute right over it.

Section 45ZA(2)(Banking Regulation Act) merely put the nominee in the shoes of the depositor after his death and clothes him with the exclusive right to receive the money lying in the account. It gives him all the rights of the depositors so far as the depositors account is concerned. But it by no stretch of imagination make the nominee the owner of the money lying in the account, the Bench observed.

Conclusion

Now you know! Taking Personal finance for granted can be fatal Just investing knowledge, is not enough to have a great financial life. You also need to be well versed with basic legal aspects and make sure you carry out all due arrangement . Nomination is one important aspect you should seriously consider, when checking for the financial products you have bought or plan to buy in future.

Mistakes in Personal Finance

It's important to make sure that your loved ones do not face legal issues and only say and think lovely thoughts about you when you are not around, rather than crib & grumble.

Banks will come to doorstep for Jeevan Praman for Citizens above 70 years for Pension

USEFUL INFORMATION TO OUR SENIOR VETERANS-70YS AND ABOVE.


Reserve Bank has understood the difficulties and hardships faced by Senior Citizens of  above 70years of age, accordingly  RBI has instructed the Banks as under:


"BANKS ARE INSTRUCTED TO DISBURSE PENSION, AND OTHER BANKING TRANSACTIONS INCLUDING OBTAINING OF LIFE CERTIFICATE  TO SENIOR CITIZENS  OF 70 YEARS .AND ABOVE AT THEIR DOOR STEPS "


Banks are advised to implement these instructions by December 31, 2017 in letter and spirit.


AUTHORITY: Circular :DBOD No:BL BC 59/22.01.010/2006-2007 DT. 21-2-2007.

Our veteran brothers are requested to note the same and pass on to other Senior veterans.

How a Woman led to fall of Zimbabwe President Mr Mugabe?

Now, it's difficult to piece together what is going to become of Zimbabwe after now, however history  gives us a peek at the key actors in the drama currently playing out.

Now, this is the story you dont't know.

Mugabe the deposed President of Zimbabwe, Constantine Chiwenga the Head of the Zimbabwean Military  and Mnangagwa the sacked Vice President of Zimbabwe are all friends, very good friends, they are comrades.  The three men were in their 20's when they entered the bushes and took part in the liberation struggle to free  Zimbabwe from white rule. Mugabe who was initially the Sect General of ZANU PF, became the  head of state, the other two men were equally given plum positions of power and have continued as the 3 musketeers presiding over the destiny of Zimbabwe for 37 years.

Sometime in the 90's -  Mugabe,  the first musketeer fell in love with his personal secretary who happened to be another man's wife at the time, the lady's name was Grace and she became his mistress. While Mugabe was still married Grace had children for him. In 1996 they became man and wife after the death of Mugabe's first spouse.

But Grace was no ordinary mistress turned wife, she was not ready to take a backseat, she turned herself into Mugabe's political confidant, she used the bed and made her way to the very centre of Zimbabwean politics straining the relationship between Mugabe and his two comrades.

Mnangagwa the 2nd musketeer after many years of loyalty became Mugabe's Vice President in 2014, paving the way for his eventual hold on power should Mugabe retire, resign or die. But Grace had other ideas she wangled her way into ZANU PF's politburo and began her move to take out Mnangagwa and take power from her ailing husband.

In August 2017 Mnangagwa accused certain persons in the party of trying to poison him and made references to Grace. This didn't go down well with Mugabe, how could anyone accuse his beautiful harmless  Rose flower. What Mugabe forgot was that boys are allowed to fight but the brotherhood must stay strong and united. In a move that shocked  everyone (but didn't shock his beloved Grace) , he removed Mnangagwa from the position of Vice President, Mnangagwa not sure of what Grace will do to him fled to South Africa.

Now, in comes the 3rd musketeer Chiwenga Head of the Zimbabwaean military, a friend and brother of both Mugabe and Mnangagwa, "this is all the fault of one woman", he is probably thinking  in his mind, " we were one until this woman came. I trust Mnangagwa to takeover, I don't know this woman; by the way, where was she when we were sleeping in the bushes before the liberation".

 Chiwenga sends a warning to Mugabe advising  him to put his house in order, the first time he has ever spoken this way to his senior comrade. Thinking Mugabe will take the signal, call him, negotiate and talk things over a cup of tea. NO! Mugabe does the exact opposite, he sends his Minister of Information to tell the Army General to stay out of State matters, Mugabe then finalises plans to sack Chiwenga. The military chief  at this point knows his brother and comrade in arms  has drunk deep from the strange woman's bosom, it's not him speaking anymore,  so he rolls out his tanks early this morning. He's therefore right when he says,"this is not a coup" ; when you really look at it,  3 friends have only fallen out over the ambitions of a woman.

Latest reportś say Mnangagwa the 2nd Musketeer is on his way back from South Africa, i've just seen a report he's been installed interim President.  The 1st Musketter Mugabe is under house arrest. The 3rd Musketter is in the saddle promising calm and quick elections. The 3 men have held Zimbabwe under lock and key for 37yrs, this is nothing but a change of baton. Zimbabwe needs a real revolution out of  the hands of the veterans of the liberation struggle. In the 21st century Zimbabwe is the frozen out Animal Farm in George Orwells celebrated work.

Meanwhile the woman Grace, who started the whole katakata,  I hear has fled the country leaving her beloved  husband who sacrificed everything to face an uncertain fate.

16 million Zimbabweans could not remove Mugabe  but a woman did.

Mama was always right when she always told me, "son - be careful who you fall in love with and eventually marry".

A lesson to all men.

How Mcdonald has increased Prices to rake Moolah from Reduced GST?

Law of GST: Prices expand to compensate the reduced tax rates and maintain a state of equilibrium and this has been amply proved by McDonald's.

Anyone watching as they are not passing price benefit to clients in wake of reduced GST.

It is pertinent to note that GST rate cut on restaurants is not being passed to clients by Mcdonalds to its clients.

Real Story behind Jio Expansion Demystified

A businessman started a 'Zoo'. He fixed Rs. 50/- as the entry fee.

Nobody turned up. He then reduced it to Rs.25/-, nobody turned up. Then to Rs. 15/-, nobody turned up.

Then to Rs. 10/-, still nobody turned up. Finally he decided to make it a 'Free Entry'. Before he knew it, the Zoo got crowded with lots of people. 

He closed the gates and displayed a 'house-full' board and let the Tiger free inside. The crowd started rushing towards the gates and were shocked to see the 'Exit Fees' of Rs. 459/-

The Name of this Zoo is Jio. :)

This was a master stroke by Reliance Jio where Mukesh Ambani got every Tom, Dick and Harry addicted to internet and once addicted it is like a vicious cycle and you can not escape it.

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