Rakhi, 14001006055

Tanvi, 14001006069
Tanya, 140010060
Rohit Garg, 140010060
Yash, 140010060
 Land acquisition in India refers to the process by which the union or a state government in India acquires private land
for the purpose of industrialization, development of infrastructural facilities or urbanization of the private land, and provides
compensation to the affected land owners and their rehabilitation and resettlement.

• Land Acquisition Act, 1894 created by the British.

1894

• Independent India choose to continue this Act even after independence

1947

• UPA Government replaced this Act with The Right to Fair Compensation & Transparency in Land
Acquisition, Rehabilitation & Resettlement Act .
2013

• Modi Government wants to make some further amendments to the Bill.

2015
• To provide a law which will enable the State to acquire the land of others for public purposes and for companies.
• Act also states provisions relating to taking over of possession and payment of compensation whose land is acquired.
• Provisions of the Act relating to acquisition of Land are substantive and those related to taking over of possession and
payment of compensation are subsidiary.

• Whenever, it appears to the Government that the land is required for

a) Public Purpose, or b) Company.
• Company means Company as defined under Section 3 of the Companies Act, 1956
(except the Government Companies) and includes a society and Co- operative society
registered under relevant law.
• Public Purpose defined under Section 3 (f) of this Act, means which is in
interest of public at large such as:
a) town or rural planning
b) Corporation owned or controlled by State
c) Residential purpose to accommodate people affected by any scheme of the government,
or natural calamity, or who are poor and landless.
Preliminary Notification

Survey and Analysis

Objections to Collector

Hearing and Report

Declaration of Requirement

Acquisition of Award

Possession
 The term “public purpose” was ambiguous and open to Government’s discretion
 Land could be acquired forcibly.
 They were given no voice in decision making.
 Government was free to decide how much money to pay while acquiring private land.
 No such restrictions on fertile land
 If project did not start, then acquired land was secretly sold/ leased to private players at sky-high prices.

 Social impact assessment (SIA) even need to obtain consent of the affected people, labourers, share-croppers, tenant farmers,
fishermen, small traders, etc. whose (sustainable) livelihood will be affected because of the given project.
 Compensation proportion to market rates. 4 times the market rate in rural area. 2 times in urban area. Affected artisans, small
traders, fishermen etc. will be given one-time payment, even if they don’t own any land.
 If project doesn’t start in 5 years, land has to be returned to the original owner.
 To ensure food security:
• Fertile, irrigated, multi-cropped farmland can be acquired only in last resort.
• If such fertile land is acquired, then Government will have to develop equal size of wasteland for agriculture purpose.
 Clearly define various types of “public purpose” projects for which, Government can acquire private land. Land Acquire only
• For PPP project, 70% affected families must agrees
• For private project, 80% affected families must agree.
Social Impact Assessment

Evaluation Of SIA

Preliminary Notification

Survey and Analysis

Objections to Collector

Hearing and Report

Preparation Of Draft R&R

Approval From Collector

Declaration of Requirement

Acquisition of Award

R &RAward

Possession
 ISSUE 1894 ACT 2013 ACT
Public Purpose Includes Infra Structure Includes
Development, Housing Projects & Strategic project
Use By Companies under certain Infra Projects
Conditions Projects for affected families
Project from planned development
Residential project for the poor.
Consent of land Owners No Requirements. Govt acquiring land for Private companies(80%) & for PPP (70%)
Social Impact Assessment No Provision Mandatory
Compensation Same as market Value
Market rate in Urban area & double the rate in Rural area.
Market Value Determined as per circle rates. Estimated from
Circle rate.
Sale instances.
R&R No provision Compulsory
Solatium (Compensation
30% 100%
for emotional loss)
Unused Land No provision To be returned to land owners if unused for 5 yrs from the date of
possession
Lease No Provision
Govt can take the land on lease instead of acquiring
Only in emergency situations
Acquisition of land without giving
Urgency clause  National Defence
prior notice or token
National Security
compensation
National Calamities
If the acquired land is unused and is transferred with in 5yr of
acquisition, 40% of the appreciated land value will have to be
Sharing of profit No provision shared.
• The Ordinance Was Lapsed On August 31, 2015.

• The Ordinance Proposed By Modi Govt. Was Considered To Be Anti Farmer.

• Faced Lot Of Protest By Farmers And Political Parties.

• Political Benefits.

• And so LARR Act-2013 is Applicable .

• 1894’s land act was bogus and exploitive. So Congress government enacted new law in 2013, with provisions for social
impact assessment, fair compensation, dispute settlement and other fancy things.

• LARR Act-2013 established an extremely complex and impractical land acquisition process.
• Litigation: because local (and therefore corruption) Patwari and Tehsildars never maintain proper land records of who owns
how much land.
• This raised the land prices, red tapism and thus the overall project cost.
• Neither the farmer could sell its land and move to urban areas, nor the entrepreneur could buy the land
and move towards rural areas.

• Combined with Environment-activism and policy paralysis of UPA regime, the end result was infrastructure bottleneck, high
inflation.
PROPERTY VALUATION is the practice of developing an opinion of the value of real property, usually its Market Value.

The need for appraisals arises from the heterogeneous nature of property as an investment class:
No two properties are identical, and all properties differ from each other in their location - which is one of the most important determinants of
their value.

Valuation of a property may be prepared by different methods.

The appropriate application of a method of valuation depends on the nature of the property as well as availability of reliable data. When the
value arrived at by different methods are wide apart and judgment cannot fix with reasonable certainty which out of them is close to the more
accurate market value, an average of two or more than two methods of valuation is applicable.

Market value:
Market value of a property is the value at which it can be sold in the open market at a particular time.
On the open market: means the property is offered for sale by advertising in newspapers and all necessary steps are adopted so that every
person who desires to purchase the same can make an offer.

The owner willing and not obliged to sell might reasonably expect the price from a willing purchaser with whom he was bargaining for the sale.
So, Market value must be free from forced value or sentimental value. It is the estimated amount for which a property should exchange on the
date of valuation.
1. Comparable prices method :
The method proposes a valuation of properties considering
prices of other similar properties in the same location and
approximately with the same characteristics within a
specific period of Page 2 of 6 time which is naturally short.
The comparison is mainly based on: the location,
architectural design, use, dimensions (mainly floor area),
construction materials, structural design and construction
technology.

2. Comparison of land values countrywide as an

alternative land valuation methods:
Where comparable prices are not available for land in a
particular area, the valuer may use comparable prices of
similarly classified land from other areas of the country.
Prices shall vary depending on the quality and location of
the land. The valuer shall fulfill his/her valuation duties
governing the valuation profession and the council.

3. Replacement cost approach as an alternative

valuation method for improvement :
The method estimates the replacement value of a property
by analyzing the cost component of the specific land and
building. It lies somewhere between the inferred and the
intrinsic methods, and is not a fully autonomous method.
Value is calculated by adding the free market value of the
land as if vacant to the reconstruction cost of the building,
minus depreciation suffered over the years in comparison
to a new building.
TAX
ax is a compulsory contribution to state revenue, levied by the government on workers' income and
business profits, or added to the cost of some goods, services, and transactions. It may be direct tax or
indirect tax.

INCOME As per [Section 2(24)], Income includes :

• Profits or gains of business or profession.
• Dividend.
• Voluntary Contribution received by a Charitable / Religious Trust or University / Education
Institution or Hospital
• Value of perquisite or profit in lieu of salary taxable u/s 17 and special allowance or benefit
specifically granted either to meet personal expenses or for performance of duties of an office or
an employment of profit.
• Export incentives, like Duty Drawback, Cash Compensatory Support, Sale of licences etc.
• Interest, salary, bonus, commission or remuneration earned by a partner of a Firm from such Firm.

ASSESSEE
Assessee means a person by whom any tax or any other sum of money (i.e. interest, penalty etc.) is
payable under the Act.

Charge of Income Tax

• Income tax is charged in assessment year at rates specified by the Finance Act applicable on 1 st
April of the relevant assessment year.
• It is charged on the total income of every person for the previous year.
• Total Income is to be computed as per the provisions of the Act.
• Income tax is to be deducted at source or paid in advance wherever required under the provision
of the Act.
•WEALTH TAX is a tax on “ASSETS”.

•Wealth Tax is paid by “Individuals/HUF/Companies”

•Wealth Tax is charged on “NET WEALTH”

Net Wealth = Total Assets - Totals Debts.

• Taxable Limit-

•There is no surcharge & education cess on Wealth Tax.

•Wealth Tax is paid on the Assets owned by the Assesse on a Particular Date.
This dae is 31st March of the year preceding the Assessment Year.
This date is known as “Valuation Date”
•Assets must belong to the assessee on the last moment of the Valuation Date.

•Example:
Gold of the assessee is ceased by Customs Department on the following dates:
On 29/03/2012
On 31/03/2012
On 02/04/2012
What would be the case when the same were ceased nut not confiscated.
What is to be excluded :

1. The value of the assets and debts located outside India

2. The value of the assets in India represented by any loans or debts owing to the assessee in any case where the interest, if
any, payable on such loans or debts is not to be included in the total income of the assessee under section 10 of the
Income-tax Act,1961

ASSET means: B.M.J.U.C.Y.

•B. Building and Land Appurtenant to the building.

Including:
1. Guest Houses
2. Farm House located within 25kms form the limits of local Authority.
Excluding:
1. Property occupied by the assessee for his awn business. Eg. Office Building, Factory, Shops etc.
2. Residential property let out for 300 days or more
3. Commercial Complex . Eg. Malls etc.
4. Property held as stock in trade. Eg. Unsold flats of construction companies.

•M. Motor Car

•J. Jewellery
•U. Urban Land
•C. Cash in Hand
•Y. Yachts, Boats & Aircrafts.
Property taxes have been levied by local governments since ancient times. These taxes constitute local bodies‟ most important autonomous
revenue source, especially for urban governments.

Jurists define the term property as a title or ownership conferred by law in respect of tangible goods or things to a person.

Because the state gives rights to owners of property for its exclusive use, enjoyment, possession, and disposal, the government can
legitimately tax such properties.

1. Tax Base: The valuation of land and buildings is the base for PT. The choice of a PT base whether annual rental value or capital value or
standardized area base tends to relate to social and political processes or concerns. Consequently, one can observe different countries
adopting different bases for PT assessment, there is a definite preference for the capital value base of PT. A municipal body may select a
particular base for PT, but “it should also be kept in mind that the purpose of property valuation is only to arrive at the relative value of
properties at a given time.

2. Tax Rate: There is no one way to factor the correct rate for PT. Concentrating on the proper valuation of property to avoid
underestimation of the tax base and to levy tax at lower rates seems a better practice than to have high tax rates and a narrow tax base.

3. Tax Coverage: Coverage is another very important component of any tax. There should be an attempt to bring each and every property
onto the PT books. Tax coverage was conventionally achieved through field survey by tax inspectors, but recent innovations such as the
use of geographic information systems (GISs) and information technologies for tax mapping and self-reporting from property owners.

4. Tax Collection System: Although the tax collection system is obviously a very important component of any tax system, It is the most
inefficient aspect of PT in developing countries. The tax collection system consists of an enforcement mechanism, stringent recovery
provisions, and penalty provisions, which are weak in developing countries.
The Insurance Act of 1938 was the first legislation governing all forms of insurance to provide strict state control over insurance business.
Purpose:- to safe guard the interest of insured, setting the norms for carrying out the business of insurance smoothly, Minimizing disputes.

INSURANCE ACT 1938:

Dictionary of business and Finance defines Insurance as a form of contract agreement under which one party agrees in return for a
consideration to pay an agreed amount of money to another party to make good a loss, damage or injury to something of value in which the
insured has a interest as a result of some uncertain event.

IMPORTANCE OFINSURANCE:
Provides protection against occurrence of uncertain events. Device for eliminating risks and sharing losses. Co-operative method of
spreading risks. Facilitates international trade. Serves as an agency of capital formation. Financial support. Medical support. Source of
employment.
CONCEPT OF CLAIM
• Claim is a right of insured to receive the amount secured under the policy of insurance contract promised by Insurer
• Insurance Claim is the request of the insured policy holder/beneficiary from the insurer/insurance issuing company for financial
reimbursement whenever he/she suffers a loss of the insured property/life/health/etc.
• Insurer- settle the claim after satisfying himself that all the conditions and requirements for settlement of claim have been compiled with

The claims occur under two circumstances:

1. Maturity Claim: This type of claim needs settlement once the policy completes the term selected. The policies like the endowment plans,
money back plans or child plans fall under this category.
2. Death Claim: This occurs in case of death of the policyholder during the term of the policy. The death could either be due to illness or
accidental. The term plan is the biggest example.

Maturity claims
A maturity claim is paid out mostly on endowment education insurance policies whose duration has been expired. For example in an insurance
policy with duration of 15 years, the maturity value will be paid on the 15th anniversary after affecting the policy. Payment of maturity claim is
a straightforward affair where the customer returns the original policy document and signs a discharge forms. A claim cheque is usually
released in a period of about two weeks once all required conditions are fulfilled.

Process of settlement of maturity claims

• Payable as per the terms of contract- at the end of the term
• Insurers inform the policyholder well in advance about the maturity date
• Insurers send the form of discharge which is duly signed, and returned with
a) Original Policy document
b) proof of age- to prove the identity
c) Document of assignment- if executed on a separate stamped paper
Gross amount includes basic sum assured, bonus etc.
• Deductions include loan amount, unpaid premium etc.
• Circumstances like settling the claim on the basis of indemnity bond require more caution (in case original policy is not found)
Death claims
The death claim amount is payable in case of policies where premium are paid up-to-date or the death occurs within the days of grace.

Process of settlement of death claims

• Intimation of death by a proper person and proof of death
A. Premature/early claim: insured dies within 3 years of taking out of policy
a) Statement from the last medical attendant giving details of last illness and treatment
b) Statement from the hospital
c) Statement from the employer
B. Other claim : insured dies after 3 years of taking out of policy
a) Policy number and Name of life assured
b) Date and Cause of death
c) Claimants relationship
d) Death certificate
e) Deeds of assignment
C. In case of unnatural death: accident, suicide, or unknown cause etc.
a. Police inquest report
b. Panchnama
c. Post mortem report
d. Chemical examination report
D. Under the Indian Evidence Act, a person is presumed to be dead if he is disappeared for 7 years
• Upon the death of the life insured the amount is payable to the nominee given in the proposal form
As per IRDA (Insurance regulatory and development authority),
• Insurance company is required to settle a claim within 30 days of receipt of all requirements
• If the claim warrants further verification, the company should complete its procedures within 6 months from receipt of written
intimation of the claim
• If the company settles the claim beyond 6 months period, then interest is payable by the company on the claim amount
• The interest is payable only where the claimant has submitted all the requirements. Further, rate and period of interest are decided as
per IRDA guideline