Restoration of deducted amount of commuted pension from the
This query is : Resolved
CA Khushboo Agarwal
(Querist)
09 February 2016
Deduction of commuted instalment pension amount from monthly pension will be refunded or not after 15 years.
Ashish Bansal
(Expert)
10 February 2016
Please elaborate the query to have better understanding.
21 July 2025
Regarding the restoration or refund of deducted amount from commuted pension installments after 15 years:
Key Points:
Commuted Pension means you receive a lump sum amount upfront instead of part of your monthly pension.
Recovery of Commuted Pension from monthly pension installments usually happens over a fixed period (say, 15 years) to adjust the lump sum paid.
After the completion of this recovery period (15 years), no further deduction is made from your monthly pension.
Whether the deducted amount is refunded or restored?
Typically, there is no refund or restoration of the deducted commuted amount because it was a part of the lump sum payment given upfront.
The deductions were to recover the lump sum advance, so after the full recovery period, deductions stop.
The pension payable after that is the reduced pension amount (original pension minus commuted portion).
Summary:
After 15 years, deductions stop.
No refund of deducted amounts takes place because those amounts were already adjusted against the lump sum.
The monthly pension continues as per the reduced amount.
Key Points:
Commuted Pension means you receive a lump sum amount upfront instead of part of your monthly pension.
Recovery of Commuted Pension from monthly pension installments usually happens over a fixed period (say, 15 years) to adjust the lump sum paid.
After the completion of this recovery period (15 years), no further deduction is made from your monthly pension.
Whether the deducted amount is refunded or restored?
Typically, there is no refund or restoration of the deducted commuted amount because it was a part of the lump sum payment given upfront.
The deductions were to recover the lump sum advance, so after the full recovery period, deductions stop.
The pension payable after that is the reduced pension amount (original pension minus commuted portion).
Summary:
After 15 years, deductions stop.
No refund of deducted amounts takes place because those amounts were already adjusted against the lump sum.
The monthly pension continues as per the reduced amount.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Depreciation Chart Companies Act
- GST Audit whether Govt Companies are exempt?
- PTRC Show Cause Notice on Email
- Capital Gail Exemption Certificate
- Unable to File TDS Q2 Return – New TRACES Portal Error
- MSME disclosure and disallowance
- Taxation of crypto futures in India Fy 2026- 2027
- Not ordinarily resident having partnership income in India and salary in USA is any form to filed be
- Issuing of delivery challan by seller of goods
- EPF ECR NEW RULES Sep 17th 2026
- GST Treatment of Purchases with GST Paid where Outward Supplies of Manufactured CattleFeed Exempt
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
