Exclusive additional tax benefit for NPS Tier I account subscribers. This deduction of ₹50,000 is over and above the ₹1,50,000 limit under Section 80C — making the total possible deduction ₹2,00,000.
Key Benefits
- ₹50,000 extra deduction beyond Section 80C limit
- Available for both salaried and self-employed individuals
- Also includes contributions to Atal Pension Yojana (APY)
- 60% of corpus is tax-free on withdrawal at age 60
Partial Withdrawal Rules
- Partial withdrawals allowed after 3 years
- Permitted for education, marriage, illness, or home purchase
- 25% of own contributions can be withdrawn
This guide reflects FY 2025-26 (AY 2026-27) and is for general information. Tax rules and limits change, and how they apply depends on your circumstances. It is not professional tax advice; consult a qualified Chartered Accountant before acting.
