Report of the Committee : Ration Money Allowance 7th CPC
Ration Money Allowance (Para 8.17.103, 8.17.108)
Existing Provisions: Ration Money Allowance (RMA) is paid to all personnel of Defence forces and non-gazetted personnel of CAPFs, Delhi Police, IB, A&N police and such personnel of Indian Reserve Battalions (IRBn) as are posted in Andaman and Nicobar Islands and don‟t dine in the mess. The existing rate of this allowance is ₹95.52 per day for NonGazetted personnel and ₹79.93 per day for Gazetted personnel.
Recommendations of 7th CPC: Summary of the recommendations of 7th CPC is as under:
a. Status quo be maintained regarding the rates of this allowance as the rate is revised periodically by MoD / MHA for their personnel.
b. Regarding the admissibility of RMA, PBORs of CAPFs and Indian Coast Guard should be eligible to draw RMA irrespective of the place of posting (except when in receipt of the Detachment Allowance). Presently, officers of SSB who are posted in field areas at altitudes of less than 7000 feet are not eligible for RMA. This restriction of 7000 feet should be removed.
c. Looking into the unique service conditions of CAPFs, RMA should be exempt from income tax.
d. The provision of free rations and the grant of Ration Money Allowance to officers of Defence forces posted in peace areas should be withdrawn.
I. Ministry of Defence: This allowance may be continued in peace areas and may be paid in cash.
II. Special Protection Group (SPG): Ration Money Allowance may be granted to SPG at par with BSF.
Analysis and Recommendations of the Committee:
The Committee is of the view that the recommendations of the 7th CPC may be accepted with modifications. This may be as per suggestions made by MoD that Ration Money Allowance may continue to be paid to officers. The cash may be credited directly into the bank account of officers. This will benefit approximately 43473 officers. The additional financial implication is estimated to be ₹150.40 crore per annum. The demand of SPG is outside the purview of this Committee.
The issue of income tax exemption for RMA may be separately taken up with Department of Revenue.