Upgrad
LCI Learning

Share on Facebook

Share on Twitter

Share on LinkedIn

Share on Email

Share More

Partha Chattopadhyay   22 June 2023

Defaulting senior citizen pensioners

A central government senior citizen pensioner is entitled to draw 20% of his basic pension consequent on his attaining 80 years. My query is to know whether this benefit should also be given to those perpetual defaulters too who never pay any income tax but avail all the benefits extended by the Govt.



Learning

 3 Replies

P. Venu (Advocate)     22 June 2023

What is the context for this query? Central Government pensions are paid through Scheduled Banks who are under obligation to deduct tax at source. As such, how could there be any defaulters among such pensioners?

Partha Chattopadhyay   22 June 2023

True Sir, central government pensioners draw their pension through scheduled commercial banks. Banks can deduct the TDS if the annual pension exceeds the threshold limit of taxation. They cannot deduct any TDS unless the pension account holders intimate them about other sources of income viz Term Deposits etc. In any case a big chunk of senior citizens (even super senior citizens) get all benefits due to them but never bother to pay any income tax at all. 

The context of my query is whether the concerned departments of Govt like CBDT, CPAO etc should build up a mechanism to check whether the additional payment of 20% of basic pension is to be allowed as a blanket to all 80+ pensioners or to warn them for first paying their dues before getting any additional payment etc 

P. Venu (Advocate)     22 June 2023

As a citizen, you may take up the issue with the Government.


Leave a reply

Your are not logged in . Please login to post replies

Click here to Login / Register