Madhya Pradesh Ministers to Pay Income Tax on Salaries and Allowances

The Madhya Pradesh cabinet, led by Chief Minister Mohan Yadav, decided on June 25, 2024, that state ministers will now be responsible for paying income tax on their salaries and allowances out of their own pockets. This marks a significant change from a 1972 rule under which the state government bore the tax burden. This decision was approved unanimously during a cabinet meeting held in Bhopal.

Key Decisions

Change in Income Tax Payment

Previous Rule: Since 1972, the state government paid income tax on behalf of ministers, ministers of state, deputy ministers, and parliamentary secretaries.
New Rule: Ministers will now personally pay income tax on their salaries and allowances.

Scholarship for Sainik School Students

Expansion of Scholarships: The state government has extended scholarships to students who enroll in Sainik Schools outside Madhya Pradesh. Previously, scholarships were limited to students attending the Sainik School in Rewa.
Notable Alumni: Rewa Sainik School counts prominent military leaders such as Admiral Dinesh Tripathi and Lieutenant General Upendra Dwivedi among its alumni.

Criticism and Reactions

Opposition’s Response: The opposition Congress party criticized the decision, arguing that the state government should focus on reducing wasteful expenditure on luxuries rather than imposing new financial burdens on ministers.

About Madhya Pradesh

Formation: Initially formed as Madhya Bharat on May 28, 1948, and renamed Madhya Pradesh on November 1, 1956.
Size: The second largest state in India, after Rajasthan.
Current Governor: Mangubhai Patel
Capital: Bhopal