One thing is for sure, you treat us well or otherwise, we won’t leave our country undefended anyhow but now, we will also not give up the due dignity and respect, just like that.
In Budget 2026, the FM announced that disabled armed forces personnel who choose to serve the country till superannuation, despite attaining any type of disability in service, will pay tax on their disability pension. Not just them, but all the old veterans who fought previous wars and may be in their 80s will now pay tax on disability pension.
Please understand that armed forces personnel take an oath to defend the nation till the peril of life, which means they will disregard all types of hazardous and dangerous conditions while defending the nation. A nation comprises land, Bharat Maa, and citizens you and me.
Rightfully, as people of the country understand the importance of the armed forces and the sacrifices made, there is a lot of hue and cry all around the country to withdraw this insensitive clause by the FM. Interestingly, at the same time, I see many social media warriors have started using the hot topic for seeking likes, followers, and personal glory by floating all sorts of misinformation. I saw a WhatsApp message by a Brig Poonia, VSM (Retd) (appears to be a fake name) being forwarded in groups, purportedly trying to justify the act by smartly quoting half-baked information to establish the so called correct perspective on withdrawal to aggravated/attributable cases and portraying it as merely restoring or clarifying provisions of the IT Act 1922 and IT Act 1960.
It is therefore very important that a clear picture on the subject is given to the public. The indisputable facts are listed seriatim to clarify why the issue caused shock, disbelief, outrage, and a sense of abandonment across the entire fraternity.
The IT Act 1922 (No. 878 — 21 Mar 1922) mentions two separate cases for tax exemption in paragraphs 18 and 19. Whereas paragraph 19 deals with invalidment, paragraph 18 deals with other cases of injuries attributable/aggravated on duty. Both pensions were excluded from income tax. However, in the WhatsApp message that is floating around to create confusion among veterans and divide them, the provisions of paragraph 18 have been conveniently ignored.
Further, the CBDT itself clarified the applicability of these provisions via instructions 136/1970 dated 14 Jan 1970 and again via instructions 2/2001 dated 2 July 2001. This was done to ensure even application of the provisions. The CBDT further clarified that disability pension encompasses both disability element and service element. Hence, the provisions of disability pension were clear, consistent, unambiguous, and became an in rem right.
Does it stand to logic that the CBDT/administration misinterpreted the rule for all these years and suddenly realised it only in 2019, when, surreptitiously, via a supposed clarificatory order CBDT Circular No. 13/2019 dated 24 Jun 2019 the tax benefits were clarified to be applicable only for invalided cases? This CBDT order was later contested and stayed by the Hon’ble Supreme Court in the Pradeep Mathur case (No. 953/2019); hence the original provisions remained as they were. As always, like in many ego-inflated cases, just to win by hook or by crook, such WhatsApp messages are floated. But unfortunately, the Hon’ble Supreme Court does not get fooled.
Now, in the 2026 Budget provisions, the same ill-thought, ill-advised provision is sought to be rammed through. I believe that the political leadership has been badly advised and will, on reflection, take back this anti-disabled/anti-veteran provision. The mass movement by the public, including various MPs who raised their voices in Parliament against it, shows the respect they have towards our veterans and wounded warriors. They can appreciate that no one chooses to get injured at will or at a desired place it may happen to any soldier, anywhere.
For your information, I must share that armed forces are not under the purview of the PwD Act, so even as veterans, no benefits of this law are extended to them. Another issue is that they are considered under the central government while serving, and once they retire, they become state subjects. This is again a double blow after retirement they are managed as per state policy, yet they are not extended the benefits given to Indian divyangjan. Isn’t it ridiculous, differential, and stepmotherly treatment for those who gave their all to save the sovereignty and freedom of the nation?
And now the meagre amount they receive as compensation for losing limbs or suffering disabilities, through tax exemption on disability pension, seems to be pinching the Government, appearing as a huge cost to the exchequer. Ironically, crores are spent as legal fees in various courts to defend lost cases by the Government.
Are you aware that if a civilian gets disabled in a road accident, MACT (Motor Accident Claims Tribunal) support gives financial compensation over and above the individual’s own insurance? But if a soldier meets with a motor accident in service, he is not under the purview of MACT, nor is any special compensation paid. Rather, at times, such soldiers are sent out without pension. Through my NGO, The Challenging Ones (TCO), I supported one amputee veteran who met with an accident, lost his leg, and was discharged from service as unfit without pension. He is a shot put player who later participated in the Paralympics.
Someone should ask the FM, why such stepmotherly treatment towards the Armed Forces alone?
We are the first line of defence, and many times we come as saviours within the country as well when the rest of the machinery, responsible for responding to man-made or natural disasters, fails including rescuing children from open wells. At times, when the armed forces are not called in, mishaps like the Noida car-sinking incident occur and young lives are lost.
One thing is for sure, you treat us well or otherwise, we won’t leave our country undefended anyhow but now, we will also not give up the due dignity and respect, just like that.
