HC dismissed plea on tax exemption to MLAs

The Punjab and Haryana High Court on Monday dismissed a petition challenging tax exemption to Members of the Legislative Assembly (MLAs) of Punjab. Dismissing the petition filed by one Manmohan Singh of Ludhiana,a division bench today held that there was no illegality in the exemption from payment of tax granted to MLAs. The government had argued that it paid tax on behalf of the MLAs and hence,no loss was made. Singh had asked the High Court to quash provision 3-AA of the Punjab Legislative Assembly (Salaries and Allowances of Members) Act,1942,and Punjab Act number one of 2004. These relate to exemption from payment of income tax on salaries,allowances and perquisites,payable to the members of the legislative assembly.