NPS Tax Benefits 2019- Under Sections 80 CCD(1), 80 CCD(2) and 80 CCD(1B).
NPS tax benefits changed in Budget 2019. Do you know about the changes done to 80 CCD(1), 80 CCD(2) and 80 CCD(1B) sections? I already wrote a post about EEE exemption of NPS maturity at retirement. Click here to read. But I felt a separate article needed to explain NPS Tax benefits under Budget 2019. Read article about what is NPS? How to join in it?. Click here to read. Earlier NPS has EET tax status. That means when you invest tax exempted, on the return of NPS also tax exemption, But when you withdraw 60% NPS at the time …
NPS Tax Free EEE exemption(2019)- Beneficial to you?
The union cabinet today has cleared five changes to the national pension scheme (NPS or CPS). The most important is that the NPS now has EEE status and the corpus that you can withdraw is tax-free. EEE means, that the money you invest in the scheme (up to a limit) is an exempt income tax(1st Exemption) The growth of the money(profit) while you remain invested is exempt from income tax (2nd Exemption) and the corpus that we withdraw (subject to limits in NPS) is also exempt from income tax (3rd Exemption). Prior to this announcement is done, NPS had a …
