The decision was taken at a meeting of the Cabinet chaired by Chief Minister Parkash Singh Badal here.
To enable personnel in both the categories to get CSD items at cheaper rates, the Cabinet gave its nod to reduce the rate of tax on sale and purchase of goods through defence canteens from 6.05 per cent to 4 per cent.
The decision comes days after Union Finance Minister P Chidambaram announced in the Interim Budget the one-rank-one pension for ex-servicemen, who along with those in service constitute a sizeable votebank.
The Cabinet also approved additional risk allowance to officers attached to the VVIP medical team from the existing 25 per cent to 50 per cent.
It also decided to introduce Punjab Gau Sewa Commission Bill 2014 to ensure welfare and protection of cows.
It also approved recruitment of Medical Officers (Specialist) against posts falling vacant due to retirement and resignations through walk-in interviews.
To protect people from harmful effects of radiation, the Cabinet approved setting up of the Radiation Safety Agency.
The Cabinet also approved to convert the Punjab Value Added Tax (Third amendment) Ordinance, 2013 to enact voluntary disclosure scheme under which defaulting traders can submit returns later.
To make Punjab a disease-free zone by providing quality veterinary services, it was decided to set up a new veterinary college at Rampura Phul, Bathinda, on 25 hectare land.
