The government always clamors about providing relief to people in the budget. But always these claims have to face a botched end.
The finance minister in the budget 2017-18 uttered honeyed words of increasing salaries and benefits of Government employees and providing relief to private individuals, but in reality, the government has given something with one hand and took it away with the other. Let’s look how the spell is casted by the manipulation of figures.
In the budget 2017-18, the government has given 10% ad-hoc relief to government employees and allowed an increase of pension of the retired employees with the similar amount.
A 10% special Zarb-e-azab allowance will be given to army personals, and the government has abolished 5% house rent for grade five officer. Also, 2% allowance will be awarded to children of government employees who die during service.
In recognition of their sacrifices, Frontier Constabulary will be entitled to Rs 8000 per month allowance. Also, a new financial scheme is introduced for the families of martyred army and police official.
Against this, the government has allocated a hefty amount of one billion and 650 million for the salary and allowances of parliamentarians.
The ad-hoc allowance pay and pension increase in the budget is a little bit tricky. The previous year revised pay chart from July 2016 to June 2017 clearly shows the basic pays of government officers from BPS-1 to BPS-22, Ad-hoc relief of 10% will be added to basic pays of the previous year and also to overall salaries, so the accumulates increase will be 20%.
So, there is a 10% increase in basic pay and 10% in overall pay. A 10% another relief is given to government employees on pensions.
But, where the government has given something, it has recovered it through another way. The individual who earns around one million annually will be entitled to pay advance tax.
The super tax of 3% to 4% will be given by wealthy individual and companies who earn more than 500 million. Also, the individuals earn more than 1 million will be eligible for advance tax.