8th Pay Commission: When Will Arrears Arrive? Key Dates & Tax Impact Revealed

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News18•31-12-2025, 16:17
8th Pay Commission: When Will Arrears Arrive? Key Dates & Tax Impact Revealed
- •8th Pay Commission expected effective January 1, 2026, with 7th Pay Commission ending December 31, 2025.
- •Cabinet approval anticipated early/mid-2025, formal notification around November 2025, with final recommendations by late 2026 or early 2027.
- •Implementation delays are common; full benefits, including arrears, expected retrospectively from January 1, 2026.
- •Arrears will cover the period from January 2026 until implementation (e.g., May 2027), including DA, HRA, and other allowances.
- •Arrears are fully taxable, potentially pushing employees into the 30 percent tax slab, but will boost consumption and the economy.
Why It Matters: Central government employees await 8th Pay Commission arrears from January 1, 2026, despite likely implementation delays and tax implications.
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