NPS

NPS Purchase

National Pension System (NPS) is a voluntary, defined contribution retirement savings scheme designed to enable the subscribers to make optimum decisions regarding their future through systematic savings during their working life 

Under the NPS, individual savings are pooled in to a pension fund which are invested by PFRDA regulated professional fund managers in to the diversified portfolios comprising of government bonds, bills, corporate debentures and shares. These contributions grow and accumulate over the years, depending on the returns earned on the investment made.

Introduced by the Government of India and regulated by the Pension Fund Regulatory & Development Authority (PFRDA).

Tax benefits of NPS

Tax benefits for Individuals (All Citizen Model)

Self employed individual is eligible for tax deduction of up to 10% of Gross Income under section 80CCD (1) of Income Tax Act, 1961 within Rs.1.5 Lacs limit under section 80CCE

Additional investment of Rs.50,000 will be eligible for tax deduction under section 80CCD (1B) of Income Tax Act, 1961. This is over and above of Rs. 1.5 lacs limit under section 80CCE

I want to purchanse NPS