No

No.36033/3/2004-Estt.(Res)
Government of India
Ministry of Personnel, Public Grievances & Pensions
Department of Personnel & Training

….

New Delhi, Dated the 9^th March,2004

OFFICE MEMORANDUM

Subject: Revision of Income criteria to exclude socially advanced persons/sections (Creamy Layer) from the purview of reservation for Other Backward Classes (OBCs).

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The undersigned is directed to invite attention to this Department’s O.M.No.36012/22/93-Estt(SCT) dated 8^th September,1993 which inter alia provides that sons and daughters of persons having gross annual income of Rs.1 lakh or above for a period of three consecutive years fall within the creamy layer and are not entitled to get the benefit of reservation available to the Other Backward Classes. It has been decided to raise the income limit from Rs.1 lakh to Rs.2.5 lakh for determining the creamy layer amongst the OBCs. Accordingly the following entry is hereby substituted for the existing entry against Category VI in the Schedule to the above referred O.M.

Category	Description of Category	To whom the rule of exclusion will apply
VI	INCOME/WEALTH TEST	Son(s) and daughter(s) of
		(a)Persons having gross annual Income of Rs.2.5 lakh or above or possessing wealth above the exemption limit as prescribed in the Wealth Tax Act for a period of three consecutive years.
		(b)Persons in Categories I, II,III and V A who are not disentitled to the benefit of reservation but have income from other sources or wealth which will bring them within the income/wealth criteria mentioned in (a) above.
		Explanation:
		Income from salaries or agricultural land shall not be clubbed.

2. The provisions of this Office Memorandum take effect from the 4^th February, 2004.

3. All the Ministries/Departments are requested to bring the contents of this Office Memorandum to the notice of all concerned.

(K.G. Verma)
Deputy Secretary to the Government of India
Tel:23092797

1. All the Ministries/Departments of the Government of India

2. Department of Economic Affairs (Banking Division), New Delhi.

3. Department of Economic Affairs (Insurance Division),New Delhi.

4. Department of Public Enterprises, New Delhi.

5. Railway Board.

6. Union Public Service Commission/Supreme Court of India/Election Commission/Lok Sabha Secretariat/Rajya Sabha Secretariat/Cabinet Secretariat/Central Vigilance Commission/President’s Secretariat/Prime Minister’s Office/Planning Commission.

7. Staff Selection Commission ,CGO Complex, Lodi Road, New Delhi.

8. Ministry of Social Justice and Empowerment, Shastri Bhavan New Delhi.

9. National Commission for SCs and STs, Lok Nayak Bhavan, New Delhi.

10. National Commission for Backward Classes, Trikoot-I, Bhikaji Cama Place, R.K. Puram, New Delhi.

11. Office of the Comptroller and Auditor General of India, 10 Bahadurshah Zafar Marg, New Delhi-110002.

12. Information and Facilitation Centre, Department of Personnel and Training, North Block, New Delhi.(100 copies)

13. Spare copies-400