National Pension Scheme

National Pension Scheme : Benefits

Opening an NPS account offers several advantages to subscribers. Some of the benefits of the NPS account are mentioned below:

• NPS is voluntary - NPS scheme is open to every Indian citizen. As an NPS account subscriber, you can choose the amount of contribution to the NPS scheme every year.
• NPS is simple - NPS account opening is an easy process. You only need to open an account with our bank and get a PRAN for the NPS scheme.
• NPS is flexible - As a pension system, the NPS lets you choose your own NPS investment option and fund scheme. This NPS account feature helps you grow your money as per your financial goals.
• NPS is portable - You can operate your NPS account from anywhere in the country, even if you change your city, job or pension fund manager.
• NPS is regulated - The NPS scheme is regulated by the development authority PFRDA, with transparent investment norms, regular monitoring and a performance review of fund managers by the NPS Trust.

National Pension Scheme : Tax Benefits

NPS Scheme Tax Benefits for Individuals

Any individual who is a subscriber of the NPS can claim a tax deduction up to 10% of the gross income under Section 80CCD (1) within the overall ceiling of Rs.1.5 lakh, under section 80CCE.

NPS Scheme Tax Benefits for Corporate Subscribers

An additional NPS tax benefit is available to subscribers from the corporate sector under section 80CCD (2) of Income Tax Act. The employer’s NPS contribution (towards the employee) up to 10% of salary (Basic + DA), without any monetary limit, is deductible from the taxable income.

Exclusive NPS Tax Benefits for subscribers u/s 80CCD(1B)

An additional deduction for the NPS investment up to Rs.50,000 (Tier I account) is exclusively available for the NPS scheme under subsection 80CCD (1B). This is over and above the deduction of Rs.1.5 lakhs available under section 80C of the Income Tax Act,1961.

National Pension Scheme : Who Can Subscribe?

• Any Indian citizen, whether resident or non-resident/Overseas Citizen of India (OCI), can apply for an NPS account opening. However, those who apply to the NPS scheme must be between 18 to 70 years of age as on the submission date of his/her application to the bank’s branch.
• The maximum age up to which an NPS account can be continued is up to 75 years.
• Citizens can join the NPS scheme either as employee-employer group(s) (corporates) or individuals, subject to submission of all the required information and know your customer (KYC) documentation.

National Pension Scheme : Account Opening

Through Online:

• Registration through KFintech portal
• Registration Through CRA (Protean EGov Technologies Limited "formally NSDL e-Governance Infrastructure Limited") Portal
• Contribute Through CRA (Protean EGov Technologies Limited "formally NSDL e-Governance Infrastructure Limited") Portal



The charges involved for NPS Registration and Payment of Initial contribution are as under:

Charge Type	Amount
Registration Charges	Rs. 200 + GST
Contribution Charges	upto 0.50% of contribution , subject to Min. Rs.30/- and Max- Rs.25000/-
Internet Payment Gateway Charges	As per the table mentioned below




Baroda Internet Payment Gateway MDR/Charges (excluding taxes)
Debit Card (ONUS)	Rs. 5 per transaction
Net Banking (ONUS)	Rs. 5 per transaction
Debit Card*(OFFUS)	Up to Rs. 2000 RuPay Debit Cards: Nil MasterCard/VISA Debit Cards: 0.40% Above Rs. 2000 RuPay Debit Cards: Nil MasterCard/VISA Debit Cards- 0.85%
Credit Card	0.90% of the amount
Net Banking Other Banks	Rs. 13 per transaction
UPI*	Nil

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Through Offline:

• Visit your nearest Bank of Baroda branch and submit an application for the NPS scheme along with your KYC documents.
• The charges involved for NPS Registration and Payment of Initial contribution are as under:



Charge Type	Amount
Registration Charges	Rs. 200 + GST
Contribution Charges	upto 0.50% of contribution , subject to Min. Rs.30/- and Max- Rs.25000/-