Budget 2026-27: PFRDA urges tax parity for NPS pension payout plans
PFRDA has proposed new pension payout options, such as SWPs and unit redemptions, to give retirees more flexibility and potentially higher returns. However, these options are not currently given the same tax treatment as annuities. PFRDA has urged the government to extend tax-neutral treatment to all pension payout products, in order to provide choice without creating tax disadvantages.