False: No provision under President’s (Emoluments) & Pension Act that gives President tax exemption

New Delhi, July 02: A controversy was stirred up after President of India Ramnath Kovind said that he pays tax. He made the statement in Uttar Pradesh at an even organised by the Jhinjhak railway station in Uttar Pradesh.

President Kovind said that his salary is Rs 5 lakh per month and of it Rs 2.75 lakh goes into taxes. The President then urged all citizens to pay their taxes. I am mentioning this because everyone knows that there is nothing wrong. The President is the country's highest paid employee, but also pays taxes. I pay Rs 2.75 lakh as tax each month. Everyone says I get Rs Rs 5 lakh a month, but is taxed too. But how much is left. Whatever I save, our officials earn more than that. The teachers here earn more, President Kovind also said.

This statement by the President led to a lot of criticism with many including Congress leaders claiming that the President of India is exempt from tax. Several Congress leaders tweeted that the salary of the President is non-taxable. How come he claims that he pays tax, read one tweet.

For this, OneIndia examined The President's (Emoluments) and Pension Act 1951. This lays down the provision for the income, emoluments and post-retirement benefits for the President of India. The salary of the President of India is charged from the Consolidated Fund of India. Moreover in 2017, the President's salary was increased from Rs 1.5 lakh a month to Rs 5 lakh per month.

Section 14(heads of income) and Section 10 (incomes not included in the total income) while being interpreted by the Supreme Court said that any income which is not specifically exempted from income tax under a law in force is considered to be taxable.

Further the Income Tax Act and the The President's (Emoluments) and Pension Act 1951 do not exempt the President's salary from income tax.

If one were to read the Voluntary Surrender of Salaries (Exemption of Taxation) Act, 1961, it says that a President of India can surrender his salary to the Consolidated Fund of India. By doing so the President can avoid paying tax. This exemption is also available to all those who are getting their salary from the Consolidated Fund of India.