Burden on the elderly in Punjab: Pensioners will also have to pay new tax, Rs 200 will be deducted from the account every month, protest started – Punjab Government Implemented Punjab State Development Tax On Retired Employees Pensioners

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Punjab Government implemented Punjab State Development Tax on retired employees pensioners

Pensioners will have to pay tax in Punjab.
– Photo: iStock

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Punjab Government has imposed Punjab State Development Tax (PSDT) on its retired employees/pensioners. Under this, Rs 200 per month will be deducted from his pension. In this regard, a letter has been issued by the State Finance Department (Finance Expenditure- 5 Branch).

It has been written in the letter that the Finance Department has approved the proposal of Excise and Taxation Department to collect Punjab State Development Tax from pensioners/retired employees after considering it. Significantly, the Excise and Taxation Department is the nodal agency for collecting tax in the state. In this regard, an official of the Finance Department said that the department will soon make a notification in this regard and the government will give instructions to deduct the amount of the above mentioned tax directly from the bank accounts of the pensioners.

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It is noteworthy that this tax was imposed by the Captain Amarinder Singh government in Punjab on government employees working in 2018. Under this, 200 rupees are deducted every month from the salary of the employees, which is applicable till date. The Captain government had implemented this tax under the Punjab State Development Tax Act, 2018. It states that according to the Government of Punjab, any person who is engaged in any trade, business, profession or employment in Punjab, who is an income-tax payer, means one whose income under the Tax Act exceeds “0” then has taxable income, has to pay tax under the said Act.

The Samajha Mulajim Manch, which has been fighting for the restoration of old pension and long pending demands of the employees in the state, has strongly condemned the latest decision of the state government. Convener of the Manch, Sukhchain Singh Khaira said that it is a matter of sorrow and shame that this government has not spared even the elderly people who live only on pension.

He said that the previous government had found a way to pocket the employees in the name of development tax and now the Aam Aadmi Party (AAP) government of the state has targeted the retired employees, who had to depend on pension for the rest of their lives. Have to make a living Khaira said that on one hand the government is saying that it will follow the orders of the Supreme Court in the matter of the employees. Along with this, the government also claims that the treasury is full, so what was the need to cut the pockets of those who live on pension? He said that the government has neither been able to restore the old pension nor resolved the pending demands of the employees. A large number of employees are waiting for full salary. Despite this, the state government is trying to find opportunities to cut the pockets of the employees on one pretext or the other.

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