 the traders, businessmen, professionals and self- employed persons (welfare and social security) bill, 2007 a billto provide for the welfare and protection of such citizens, who are in business or trade,including small trades, commerce and industry, small and medium scale industries and professionals like doctors, advocates architects, artists, artisans, actors, sportsmen,  including a large number of self-employed persons and pay taxes to the government   but are not covered under any of the existing welfare schemes in respect of their         social and financial security, by providing them facilities of pension,             family pension,  medical assistance, etc, and to provide them               a life of dignity, peace and  financial security in their old                    age or disability, and for the welfare  measures                       to be undertaken by the state for the said                         category of   citizens and for matters                          connected therewith  or incidental                                        theretobe  it enacted by parliament in the fifty-eighth year of the republic of india as follows:—1   (1) this act may be called the traders, businessmen, professionals and self-employed persons (welfare and social security) act, 2007short title, extent and commencement(2) it extends to the whole of india(3) it shall come into force on such date, as the central government may, by notification in the official gazette, appointdefinitions2 in this act, unless the context otherwise requires,—(a) "appropriate government" means in the case of a state, the government of that state and in all other cases, the central government(b) "authority" means the department/ministry authorized to calculate, decide or disburse pension, including family pension and provide medical and other facilities to the traders, businessmen, professionals and self-employed persons and their spouses(c) "eligible member" means any person who is eligible to avail benefits under the provisions of this act and also includes their spouses(d) "fund" means the contributory welfare fund created under section 3; (e) "prescribed" means prescribed by rules made under this actestablishment of contributory welfare fund3 (1) the central government shall by notification in the official gazette, set up acontributory welfare fund for the purpose of providing pension, family pension, medical and other facilities to traders, businessmen, professionals and self-employed persons and their spouses(2) the fund shall be administered by a board comprising:—(a) a chairperson, who possesses adequate knowledge of the problems related to people in business, trade, commerce, industry, etc, to be appointed by the central government;(b) two representatives of trade and industry and two representatives from amongst eminent financial or tax experts to be nominated by the central government (3) the fund shall contain such sum of money as shall be earmarked by the central government from the portion of the income-tax, paid annually, by the persons who are in business, trade, profession or self-employed and who are not covered under any of the existing welfare schemes in respect of their social and financial security4 (1) the fund shall be administered by the appropriate governmentadministration of fund(2) the appropriate government before administering the fund shall conduct a surveyin order to estimate the number of eligible members availing bnefits under this act(3) the central government shall provide requisite funds from the fund to the appropriate government for carrying out the purposes of this actutilisation of funds5 (1) any trader, businessman, professional or self-employed person who had beenpaying income-tax for at least ten years till he attains the age of sixty years or becomes disabled or retired or relinquished work/profession earlier for any valid reason whatsoever, shall be entitled to receive pension and medical facilities, etc and in the case of death of an eligible member, his/her spouse shall be eligible for family pension and medical facilities, etc, in such manner as may be prescribed by the appropriate government, from time to time, after the commencement of this act(2) the eligible members shall be provided the facility of free medical treatment in the government hospitals and dispensaries or other dispensaries, nursing homes and clinics recognized by the appropriate government, in such manner as may be prescribed(3) the calculation of family pension, etc, shall be done by the concerned authority taking into account the total period for which the person has worked and paid income-tax in one or more work(s) profession(s), taken together, total amount of income-tax paid by him/ her during that period and/or during the last ten years till the date of his/her attaining the age of sixty years or relinquishment of work/profession or disability or death of the eligible membermiscellaneous provisions6 the central government shall, as soon as may be, but within one year of commencement of this act, review the existing policy, if any, and formulate a national policy for the overall welfare and protection of the traders, businessmen, professionals and selfemployed persons so as to provide them a life of dignity, peace and financial security at the fag end of their livesact to have overriding effect7 the provisions of this act and rules made thereunder shall have effect, notwithstanding anything inconsistent therewith contained in any other law for the time being in force, but save as aforesaid the provisions of this act shall be in addition to and not in derogation of any other law for the time begin applicable to the proposed traders, businessmen, professionals and self-employed persons who had been working in any part of the countrypower to make rules8 the central government may, by notification in the official gazette, make rules for carrying out the purposes of this act statement of objects and reasonsthe people, who are in business, trade, commerce and industry, including small trades, small and medium scale industries, professionals like doctors, advocates, architects, artists, artisans, shopkeepers, actors, sportsmen, including a large number of self-employed persons and others have got no welfare scheme formulated for them by the government these sectors have been totally neglected in the matter of social security they contribute towards income-tax regularly, and during their day-to-day dealings, also pay all other taxes such as sales tax, service tax, customs, and excise duty, vat, etc to the government either directly or indirectly apart from that, a large number of such persons work as agents for collecting these taxes from the public and depositing the same with the govt besides, many of them provide employment to thousands of people in their business, trade, profession, etc, and in a way, help the government to solve the problem of unemployment upto some extent such employers deserve special appreciation and need to be encouraged and rewarded suitably thus, the persons belonging to the above said categories contribute maximum to the government revenue government should therefore, make appropriate provisions to safeguard their interests and  compensate them suitably in their old age it is proposed that while they are working and contributing  taxes to the government regulary, certain portion of the incometax paid by them, may be earmarked separately for their future social security which shall be repaid to the beneficiaries by way of pension and medical facilities, etc, when they attain the age of sixty years or become incapacitated due to any reason whatsoever, or quit their work, profession or business due to any valid reasons after continuously contributing towards income-tax for at least ten years, whether they were in a single business/trade, etc or otherwiseif the proposed bill is passed, this will inspire and encourage all the beneficiaries, to pay more and more taxes to the government and would attract and motivate a large number of tax evaders and non-taxpayers to voluntarily opt to pay taxes and join the scheme, in order to be eligible to enjoy the benefits thereof in future this would certainly keep adding to the government's revenue year after yearthis bill seeks to achieve the above obejctives gireesh kumar sanghi financial memorandumclause 3 of the bill provides that the facility of pension and medical facilities, etc shall be provided from the contributory welfare fund to be set up and organized by the central government; clause 5 provides for free medical treatment in government hospitals and dispensaries or other dispensaries, nursing homes and clinics recognized by the appropriate government the bill if enacted will involve expenditure from the consolidated fund of india it is estimated that a sum of rupess eighty thousand crores may involve as recurring expenditure per annum on the other hand, a sum of about rupees fifty thousand crores, which may further increase in future, may be added to the government's revenue each year if the proposed bill is passed memorandum regarding delegated legislationclause 8 of the bill gives power to the central government to make rules for carrying out the purposes of the bill the rules will relate to matters of details only the delegation of legislative power is of normal character———— a billto provide for the welfare and protection of such citizens, who are in business or trade, including small trades, commerce and industry, small and medium scale industries and professionals like doctors, advocates architects, artists, artisans, actors, sportsmen, including a large number of self-employed persons and pay taxes to the government but are not covered under any of the existing welfare schemes in respect of their social and financial security, by providing them facilities of pension, family pension,  medical assistance, etc, and to provide them a life of dignity, peace and  financial security in their old age or disability, and for the welfare  measures to be undertaken by the state for the said category of   citizens and for matters connected therewith  or incidental thereto—————(shri gireesh kumar sanghi, mp)mgipmrnd—1213rs—16-03-2007