THIRUVANANTHAPURAM: State government employees are kind of celebrating the Union budget as the taxable income limit has been increased by more than double the earlier limit. Those who come under the grade of section officer, teachers and those high-rank officers taking equal pension will escape from tax net.
From around 5000 Secretariat employees, only less than 1000 will have to pay income tax. Now those with Rs 5 lakh annual salary, will not even have to file tax returns. Teachers taking Rs 36000 basic pay and those under senior superintend category will come under this. They will get Rs 7,200 Dearness allowance and Rs 1000 house rent and Rs 420 city allowance.
Meanwhile, by making use of income tax concessions, those taking Rs 50,000 and are below undersecretary grade, entry level plus two teacher and those under section officer category may have to file returns but they need not pay the income tax.
These sections of staff have been paying more than Rs 18000 as income tax. Among 4,864 employees in Secretariat now, there are around 1200 staff with Rs 18000 as basic pay. These people will get exemption. In the new circumstances, about 1000 top officers including undersecretary and senior section officer undersecretary will come under taxable limit. All others will escape the tax ‘nemesis’.