FGG Demands CS to stop Payment of IT of Ministers from Govt Funds
FGG against I-T payment by Government
Hyderabad: M Padmanabha Reddy, president, Forum for Good Governance (FGG) has written a letter to Chief Secretary to stop the unconstitutional practice of payment of Income Tax payable by Chief Minister, Dy Chief Minister, other Ministers, Corporation Chairpersons and advisors having cabinet rank being paid by Government.
“This provision is against the principle of equality before law. In this connection, we have represented to the Chief Secretary to stop this unconstitutional practice, but there was no response. Further, we have requested GAD to provide the details of Income Tax being paid from public funds, the reply given to us is “The information requested is related to personnel / Privacy information of the individual as such cannot be furnished. He pointed out that Tax payer’s money is spent to pay Income Tax of Ministers, as such people have the right to know the information. It is unfortunate that the officer of JS rank is unaware of this simple fact.
The GAD in Secretariat is resorting to wrong and erroneous calculations for payment of Income Tax. Many times, they are adding their private agriculture and business profits also and Government is paying Income Tax. GAD has issued orders (GO Rt No 917, dated 25-3-2015) for payment of Income Tax for the financial year 2014-15 in respect eight individuals based on wrong calculation. The Income Tax paid for Chief Minister for the year 2014-5 is Rs 15,39,111.
Telangana State was formed in June 2014 and Chief Minister started working since June 2014. He has drawn salary for nine months from June to February 2015.
As per amended Act of 2012, the Chief Minister is eligible for salary Rs 16,000, special allowance Rs 8,000, sumptuary allowance Rs 7,000, security car allowance Rs 25,000, own car allowance Rs 10,000, Fuel charges Rs15,000, Camp office Allowance Rs 10,000, and constituency allowance Rs 83,000, Totalling Rs 1,74,000.
Except salary and special allowance all other items are paid to meet the expenditure supposed to be incurred as such do not attract I-T Act. Therefore, the taxable income works out to Rs 24,000 per month or Rs2,88,000 per year as against the income GAD paid Rs 15,39,111 Income Tax of Chief Minister. Same is the case with other persons mentioned in G.O.
The Forum for Good Governance requested the Chief Secretary to order for enquiry for the lapses mentioned. It also requested to put a stop to the unconstitutional practice of paying Income Tax of Chief Minister and Ministers from Tax Payer’s money. Today in India, many States have stopped payment of Income Tax of Ministers from Government funds. A few States like Telangana are only paying Income Tax of Ministers from public funds. As the financial year incoming to close, I-T paid by the Government for Chief Minister and others may be put on Government website for the information of public, Forum for Good Governance added.
