The Central government finally moved to end the practice of Members of Parliament arrogating salary rises to themselves with Finance Minister Arun Jaitley in his budget proposing a law to standardise the salary and provide for an automatic revision every five years by indexing it to inflation.
The Central government has increased the salaries of President, Vice-President and MPs (Member of parliament) in this years budget. The salaries of the President of India and the Vice-President have been increased to ₹5 lakh and ₹4 lakh a month respectively so as to rectify an anomaly. The Governors, too, will get a rise in their salaries that were last revised in 2006.
MPs will now draw a basic salary of ₹1,00,000 (up from ₹50,000), The constituency allowance will go up from ₹45,000 to ₹70,000, and the secretarial costs from ₹45,000 to ₹60,000.
So salary of MPs has been doubled this year.
Looks like just to recover this money there has been more taxes put on the mutual funds. Now investors has to pay 10% tax on gains on the mutual funds.
There is no tax change slab for this year. this is really disappointing and middle class is very upset with this budget. Because honest tax payers are paying the taxes for giving hike to MPs.