- With lofty returns and tax breaks, New Pension System ropes in 400 firmsSrikrishna to address industry concerns about Indian Financial Code on ICSI platformParliament's monsoon session extended to Sept 6 for discussion on key billsParliament passes key Pension Bill after about 10-year delay
an individual. This list includes ‘any payment from New Pension System Trust. Based on this reading, we can say that the lump sum withdrawal and annuity both are exempt from tax. However, it would be difficult to mention anything conclusive till DTC is finally implemented.
As the withdrawals are likely to happen in DTC era for most of the people, NPS can become an attractive investment opportunity. We don’t have many pure pension products, but with these developments, we may see more pension products coming in the future.
The author is a director with KPMG. The views expressed are personal