Rahul Gandhi Demands Rollback of Tax on Disability Pensions, Seeks Higher ECHS Budget from FM Sitharaman



Quick Summary
Rahul Gandhi has written to Finance Minister Nirmala Sitharaman demanding the government reverse the proposed income tax on disability pensions for armed forces personnel. He also highlighted severe financial strain on the Ex-Servicemen Contributory Health Scheme (ECHS), with over £12,000 crore in medical bills outstanding. Gandhi argued that disability pensions, a long-standing tax-exempt benefit intended to compensate for service-related injuries, should not be taxed, and called for immediate action to clear ECHS dues and restore tax exemptions.

Leader of the Opposition in Lok Sabha, Rahul Gandhi, has written to FM Nirmala Sitharaman urging the government to withdraw the newly proposed income tax on disability pensions and provide adequate funds to the Ex-Servicemen Contributory Health Scheme (ECHS). In his letter, Gandhi raised two key concerns affecting armed forces personnel - pending medical reimbursements under ECHS and the taxation of disability pensions proposed in the Finance Bill 2026. Rs 12,000 Crore Pending Under ECHS Ra
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FAQ :

Rahul Gandhi is demanding the rollback of the proposed income tax on disability pensions and an increase in the budget for the Ex-Servicemen Contributory Health Scheme (ECHS).

Over £12,000 crore in medical bills remain unpaid under the ECHS.

He argues that disability pensions have historically been tax-exempt since 1922 and are meant to compensate servicemen for injuries sustained in the line of duty, not to be treated as regular income.

Due to delayed payments, some hospitals are withdrawing from the scheme, forcing veterans to pay for treatment themselves or postpone critical medical care.

He has urged the Finance Minister to immediately clear pending ECHS dues through enhanced budgetary allocation and to restore the full income tax exemption on disability pensions.




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Finance news reporter covering taxation, GST, income tax, business compliance, and economy updates. I simplify complex financial topics into easy-to-understand articles for professionals, taxpayers, and business owners on leading finance and tax platforms.

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