Telangana Governor Urged to Stop Taxpayer-Funded Income Tax for Ministers

A governance watchdog has called on the Telangana Governor to intervene and halt the state government's practice of paying the income tax liabilities of the Chief Minister, Deputy Chief Minister, ministers, and other officials holding Cabinet rank. The Forum for Good Governance (FGG) submitted a representation to Governor Shiv Pratap Shukla on Tuesday, arguing that the practice is unconstitutional and places an unfair burden on taxpayers.

The FGG contends that a provision in the Andhra Pradesh Payment of Salaries and Pensions and Removal of Disqualification Act, 1953—which Telangana adopted after the state's bifurcation—allows the government to cover the income tax payable on the salaries, allowances, and perquisites of ministers. According to the forum, this violates the constitutional principle of equality before law under Article 14, as ordinary citizens must pay their own income tax while ministers receive this benefit at public expense.

The watchdog previously approached the government to end the practice but received no response. It noted that the General Administration Department declined to provide information, citing that it relates to personal details of individuals. The FGG argues that the use of public money makes this a matter of public interest, falling under the right to know.

According to the representation, the benefit extends beyond the Chief Minister, Deputy Chief Minister, and 14 Cabinet ministers to include advisers, corporation chairpersons, parliamentary secretaries, and others granted Cabinet rank. The forum alleges that several states have already discontinued similar practices and calls for the deletion of the relevant provision in the Act.

Additionally, the FGG claims that in some cases, income from sources other than official salary and allowances may have been included when calculating the tax liability borne by the government. It has requested the Governor to direct the state government to disclose the names of all beneficiaries and the amount of income tax paid on their behalf for the financial years 2024–25 and 2025–26. The forum also seeks legislative action to remove the provision allowing ministers' income tax on salary-related earnings to be paid from the state exchequer.