NPS: National Pension System
NPS Full Form
NPS full form stands for National Pension System. The National Pension System (NPS) is a voluntary definition partnership pension system in India.
The National Pension System like PPF and EPF is an EEE-exempted instrument in India where, on maturity, the entire unit survives the tax and the entire amount of the pension refund is tax-free.
The National Pension System is a voluntary defined contributory pension system administered by the Pension Fund Regulatory and Development Authority. NPS began with the decision of the Government of India to withdraw the benefit pension for all its employees after 1 January 2004.
The scheme was initially designed for government employees only, it was opened to all citizens of India in 2009. The NPS government is trying to create a pensioned society in India. Today, NPS is readily available under Section 80CCC and Section 80CCD and is tax effective.
Under NPS, a person can contribute to his retirement account. Also, its employer can contribute to the well-being and social security of the individual.
Citizens of India, whether resident or non-resident or OCI cardholders can join the NPS according to the following conditions:
- The age of the customer should be between 18 and 65 years as of the date of submission of his application.
- Subscriber should follow your Customer (KYC) principles as detailed in the Subscriber Registration Form.
- The non-resident can open an account, but if the NRI’s citizenship status changes, the account will be closed.
What Is The Full Form Of NPS?
NPS full form stands for National Pension System. It is a voluntary definition partnership pension system in India. Under NPS, a person can contribute to his retirement account.
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