Open App

Taxation Exam > Taxation Videos > Income Tax for assessment (Inter Level) > 80CCD Contribution Towards Pension Plan in New Pension Scheme

80CCD Contribution Towards Pension Plan in New Pension Scheme Video Lecture | Income Tax for assessment (Inter Level) - Taxation

	Income Tax for assessment (Inter Level) 405 videos\|72 docs

Income Tax for assessment (Inter Level)

405 videos|72 docs

Join Course for Free

FAQs on 80CCD Contribution Towards Pension Plan in New Pension Scheme Video Lecture - Income Tax for assessment (Inter Level) - Taxation

1. What is the 80CCD contribution towards a pension plan in the New Pension Scheme?

Ans. The 80CCD contribution refers to the amount that can be claimed as a deduction from taxable income under Section 80CCD of the Income Tax Act. It specifically relates to contributions made towards a pension plan in the New Pension Scheme (NPS).

2. How much can one contribute towards a pension plan under the 80CCD scheme?

Ans. Under the 80CCD scheme, an individual can contribute up to 10% of their salary (for salaried individuals) or 20% of their gross income (for self-employed individuals) towards a pension plan. However, the total deduction claimed under Section 80CCD should not exceed Rs. 1.5 lakh per financial year.

3. Are the contributions made towards a pension plan under 80CCD taxable?

Ans. Yes, the contributions made towards a pension plan under 80CCD are taxable. However, the taxability depends on the type of contributions. The contributions made by an individual towards their own pension plan are eligible for deduction under Section 80CCD(1), while the contributions made by an employer on behalf of the employee are eligible for deduction under Section 80CCD(2).

4. Can the contributions made towards a pension plan be withdrawn before retirement?

Ans. Yes, the contributions made towards a pension plan can be partially withdrawn before retirement, subject to certain conditions. As per the NPS rules, individuals can withdraw up to 25% of their contributions towards a pension plan after completing 3 years of continuous service. However, this withdrawal is taxable as per the individual's income tax slab.

5. What happens to the contributions made towards a pension plan after retirement?

Ans. After retirement, the contributions made towards a pension plan are utilized to provide a regular pension income to the individual. The pension amount is determined based on various factors such as the total contributions made, investment returns, and annuity options chosen. The pension income received after retirement is taxable as per the individual's income tax slab.

Related Exams

Taxation

About this Video

Nov 16, 2024 Last updated

Video Description: 80CCD Contribution Towards Pension Plan in New Pension Scheme for Taxation 2024 is part of Income Tax for assessment (Inter Level) preparation. The notes and questions for 80CCD Contribution Towards Pension Plan in New Pension Scheme have been prepared according to the Taxation exam syllabus. Information about 80CCD Contribution Towards Pension Plan in New Pension Scheme covers all important topics for Taxation 2024 Exam. Find important definitions, questions, notes, meanings, examples, exercises and tests below for 80CCD Contribution Towards Pension Plan in New Pension Scheme.

Introduction of 80CCD Contribution Towards Pension Plan in New Pension Scheme in English is available as part of our Income Tax for assessment (Inter Level) for Taxation & 80CCD Contribution Towards Pension Plan in New Pension Scheme in Hindi for Income Tax for assessment (Inter Level) course. Download more important topics related with notes, lectures and mock test series for Taxation Exam by signing up for free.

Description

Video Lecture & Questions for 80CCD Contribution Towards Pension Plan in New Pension Scheme Video Lecture | Income Tax for assessment (Inter Level) - Taxation - Taxation full syllabus preparation | Free video for Taxation exam to prepare for Income Tax for assessment (Inter Level).

Information about 80CCD Contribution Towards Pension Plan in New Pension Scheme

Here you can find the meaning of 80CCD Contribution Towards Pension Plan in New Pension Scheme defined & explained in the simplest way possible. Besides explaining types of 80CCD Contribution Towards Pension Plan in New Pension Scheme theory, EduRev gives you an ample number of questions to practice 80CCD Contribution Towards Pension Plan in New Pension Scheme tests, examples and also practice Taxation tests.

	Income Tax for assessment (Inter Level) 405 videos\|72 docs

Income Tax for assessment (Inter Level)

405 videos|72 docs

Join Course for Free

Explore Courses for Taxation exam

Signup for Free!

Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.

Start learning for Free

10M+ students study on EduRev

pdf

Important questions

Previous Year Questions with Solutions

past year papers

Extra Questions

Viva Questions

practice quizzes

ppt

Sample Paper

study material