Punjab Government clears deck for its MLAs, ministers to pay their own Income Tax beginning March 2018

Punjab is the only state in the country to follow the system of the government paying taxes for all Ministers and MLAs, until now.
Punjab CM Captain Amarinder Singh (File | PTI)
Punjab CM Captain Amarinder Singh (File | PTI)

CHANDIGARH: As Punjab Government is under a severe financial crunch the cabinet today cleared
the decks for its members, led by Chief Minister Capt Amarinder Singh, to pay their own Income Tax beginning March 2018.

The draft amendment Bills for relevant changes to 'The East Punjab Ministers' Salaries Act, 1947 and 'The Salaries and Allowances of Deputy Ministers, Punjab Act, 1956' will be presented in the Budget Session of the Vidhan Sabha, commencing tomorrow.

Being in the rank of Cabinet Minister, the Leader of Opposition will also come under the ambit of the new legislation.

The Cabinet decided to omit section 2-C of 'The East Punjab Ministers' Salaries Act, 1947 and section 7-A of 'The Salaries and Allowances of Deputy Ministers, Punjab Act, 1956', to facilitate the change.

The cabinet had, on February 15 passed a unanimous resolution to make this vital change, which will help generate considerable savings in the State Exchequer.

At present, payment of income tax of the Chief Minister and all Cabinet and State Ministers is done from the state exchequer under the provisions of section 2-C of "The East Punjab Ministers Salaries
Act, 1947". In addition to this, the payment of income tax of the Deputy Ministers is also done from the State exchequer under the section 7-A of "The Salaries and Allowances of Deputy Ministers, Punjab, Act 1956.

The income tax being paid by the Punjab government on this account stands at Rs. 11.08 crore. While the bulk of Rs 10.72 crore is for payment of income tax of MLAs, the remaining is for the ministers.

Punjab is the only state in the country to follow the system of the government paying taxes for all Ministers and MLAs.

Doctors to get full pay

In a bid to retain talent and overcome shortage of medical staff, the cabinet decided that MBBS doctors will now get their full salaries, including all allowances, during probation period. It has decided to do away with the condition of ‘basic pay only’ for newly appointed medical officers in the Health & Family
Welfare Department. This would facilitate new MBBS doctors to get full salary in the pay scale of
Rs.15600-39100+5400/- Grade.

Pertinently.

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