Increase Income Tax Exemption limit to 4 Lakh – NCJCM writes to FM

Increase Income Tax Exemption limit to 4 Lakh – NCJCM writes to FM

Shiva Gopal Mishra

Ph: 23382286
National Council (Staff Side)
Joint Consultation, Machinery
For Central Government Employees
13-C, Ferozshah Road, New Delhi – 110001
E.Mail : [email protected]


Dated: February 2, 2018

Hon’ble Finance Minister,
Ministry of Finance,
(Government of India),
North Block,
New Delhi

Respected Sir,

Sub: General Budget 2018-19

We hope that, standard deduction, up to Rs.40,000 in the Budget (2018-19) announcement, was provided to give some relief to the salaried class, but at the same time, there is serious resentment in the salaried class in general and the Central Government Employees in particular because of non-enhancement of limit of the Income Tax.

We were hopeful that, in this budget, the Central Government would provide Income Tax exemption, if not Rupees Five Lakh, definitely Four Lakh, but nothing has been done, which has resulted in desperation in the Government Employees. Moreover, Education Cess has been increased from 3% to 4%, which will further put additional tax burden on the salaried class. In such a situation standard deduction given by the government will definitely not going to help to any salaried employees.

Not only the above, Transport Allowance and Medical Reimbursement, used to exempt earlier, have also been stopped in this budget, has given another blow to the salaried class.

Since there is all-round resentment in the salaried class, it would be in all appropriateness if the Income Tax Exemption is enhanced to minimum Rupees Four Lakh

Increase Minimum wage and Fitment Formula

Sir, Government Employees are also very eagerly awaiting for improvement in the Minimum Wage and Fitment Formula as well as announcement of the Guaranteed Pension to the employees covered under the National Pension System(NPS). These also need to be given top priority to keep industrial peace among the Government Employees.

It is also requested that, Transport Allowance and Medical Reimbursement, almost exempted from the Income Tax, should also remain exempted from the Income Tax, to give some relief to the government employees in distress.

With Kind Regards

Sincerely yours
(Shiva Gopal Mishra)
Secretary(Staff Side)
National Council(JCM)

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2 thoughts on “Increase Income Tax Exemption limit to 4 Lakh – NCJCM writes to FM”

  1. Dear Sir,
    Market study is required for launch/ introduce a new product/item for its grand success which is the universal law. It is observed from the budget 2018-19 a widespread dissatisfaction among general public particularly for personal Income Tax. If this is not improved(*) the impact may reflect in the coming general election 2019.
    (*) Exemption limit upto 4 lakh and/ or incorporation of new tax rate 10% from 500001 to 750000 & 20% from 750001 to 1000000 as proposed.

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