Maximum deduction for contribution made by Employees in NPS is Rs. 2 lakh – Limit for deduction for Employer’s contribution is 10% of Basic Pay + DA
Income Tax exemption for Pension Scheme for an individual employed by the Central Government on or after the 1st day of January, 2004 or, being an individual employed by any other employer, or any other assessee, under a pension scheme notified or as may be notified by the Central Government.
Income Tax 2015-16 – Changes relevant to Salaried Employees in Budget 2015
Additional Income Tax Exemption under Section 80 CCD (1) for contribution in NPS announced in Budget 2015-16