Monday, October 15, 2007

Taxmen want corporate salaries

Encouraged by an unprecedented 40% growth in direct tax collections, the income tax officials have sought salaries at par with corporate sector from the Sixth Pay Commission.

"In order to have the best minds in public sector the pay scales and perquisites should be at par with private sector" income tax employees said in their representation to the pay commission, which is expected to submit its report to the government early next year.

Referring to high salaries of tax officials at international level, the IT department officials said though a well-paid bureaucracy may not eradicate corruption, it would certainly remove the perceived feeling of discrimination.

"There is no full neutralisation in respect of HRA anywhere in the country" the IT officials said. They have also reportedly asked that annual confidential reports be made open documents.

Sources said over 60 Class-I officials have already left the IT Department, which is facing shortage of staff due to restrictions on recruitment and unremunerative salary packages in comparison to the private sector.

The officials who left government service to join private consultancy firms or corporates are earning more than double the salaries then their counterparts in the department.

Although Finance Minister P.Chidambaram has announced one per cent incentive to the tax employees out of tax collections over and above the budget target, and said over 7000 posts would be filled, the IT Department is losing revenue due to shortage of competent staff, the source said.

They said though government is ready to pay better salary packages to the tax employees, it will wait for the recommendations of the Pay Commission.

Since it was hopeful to surpass the budget target of tax collection at the Rs.548000 crore in 2007-08, it would not find it difficult to pay high salaries to attract better talent in the tax department, they said.

(PTI news published in News papers 15/10/07)

9 comments:

  1. Anonymous10:04 AM

    http://www.rediff.com/money/2007/oct/17pay.htm

    ReplyDelete
  2. Anonymous10:12 AM

    All the Government emmployees should be paid equally whether he is working in Income Tax Department or some other Ministry/Department. It will be unjusticed with the employees working in other departments if the salary of employees of Income Tax Department increases than the othe Govt. employees. All the Govt. employees are at the disposal of Govt., it is the duty of the Govt. to decide what work may be allocated to each one of them. There is no fault on part of Govt. employee if he is not working in Income Tax Department.

    Pawan Nanda

    ReplyDelete
  3. Anonymous10:13 AM

    All the Government emmployees should be paid equally whether he is working in Income Tax Department or some other Ministry/Department. It will be unjusticed with the employees working in other departments if the salary of employees of Income Tax Department increases than the othe Govt. employees. All the Govt. employees are at the disposal of Govt., it is the duty of the Govt. to decide what work may be allocated to each one of them. There is no fault on part of Govt. employee if he is not working in Income Tax Department.

    Pawan Nanda

    ReplyDelete
  4. Anonymous9:53 AM

    Yes, I agree with the comments of Mr. Pawan Nanda, when all the employees are at the disposal of Govt. for 24 hours then why is the partiallity between Income Tax Department employee and others. Govt. may train the employee from other Departements and post them to the Income Tax Department if needed

    ReplyDelete
  5. Anonymous1:39 PM

    To fulfill the urgent need of staff in Income Tax Department, Govt. may contact I.S.T.M. and take the staff who had successfully completed Cash and Accounts Course. These employees who had taken the Cash and Accounts Course from ISTM will easily understand the work relating to Income Tax Department

    ReplyDelete
  6. Anonymous10:57 AM

    Some departments in govt are overburdened with work like courts, Income Tax ,etc and department which earns revenue naturally would seek special pays/allowances. There is no enough space for keeping records, space for staff, inadequate no. of vehicles, whereas PSUs provide special facilities to theie officers like posh house, latest mobile phone even N 95, luxury cars (even if PSU is in the red!). So, when hard working Civil Servant sees his/her peers, then consequences would be opting of top brains for greener pastures in private sector or abroad. Railways can provide passes to officers , Police has its own facilities even if officer is in non-field posting, what will I-T or Audit or Civil accounts, officer have. Special pay is justified to stop brain drain, lets be practical.

    ReplyDelete
  7. Anonymous12:25 PM

    If the Government departments would be run and employees paid according to their earnings, defence services and police etc. would be the lowest paid. The Income Tax Department is only an agent of governemnt and revenue collection are higher because of business friendly policies of other departments. On analogy of pay according to income, Railways, income tax etc. would be paid highest and rural development etc. which only spend due to nature of their duties, may not be paid at all. This would is a very unhealthy logic.

    ReplyDelete
  8. Anonymous2:09 PM

    Public sector pay hikes may reduce corruption:

    http://timesofindia.indiatimes.com/Opinion/Editorial/COUNTER_VIEW_Salary_hike_will_rein_in_corruption/articleshow/2468421.cms

    See also http://ssrn.com/abstract=882353

    ReplyDelete
  9. Anonymous1:54 PM

    All adiministrative employees' salary should be increased to save them from dying circumstances in metros like Delhi,Mumbai, Chennai as the Software salary has increased the House Rent like anything in these metros.House Rent has been increased 100% over last one year.
    God (here Govt.) save the Administrative employess.
    Govt you are Great.

    ReplyDelete