In a move that could stoke controversy, the Finance Ministry has said that the disability pension will be tax-free for only those personnel who had to leave service due to disability suffered while on duty.
In a circular issued, the Finance Ministry said that disability pension will be “available only to armed forces personnel who have been invalidated from service on account of bodily disability attributable to or aggravated by such service and not to personnel who have been retired on superannuation or otherwise”.
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