How to show NPS contribution in IT deductions under 80CCD(1) and 80CCD(2) ? Since my employer also contributes.. Details are as following :- GROSS - 706501 NPS (self) - 68510 NPS (employer) - 68510
Gross salary - 706501
Add: NPS(EMPLOYER) - 68510
TOTAL WILL BE YOUR INCOME FROM SALARIES AFTER DEDUCTING HRA, PROFESSIONAL TAX, STANDARD DEDUCTION
IF YOUR 80C EXCEEDS 1.5 LACS, YOUR CONTRIBUTION TOWARDS NPS CAN BE CLAIMED UNDER 80CCD(1B)
NOTE: DEDUCTION CANNOT BE CLAIMED FOR SAME AMOUNT UNDER 80CCD(1) AND 80CCD(1B)
u/s 80C and 80CCD(1) you can claim upto 150000 whatever your NPS share is. Additionally you can claim benefit u/s 80CCD(2) regarding Employer's contribution towards NPS . Relief under this clause is limited to the actual contribution or 10%of salary whichever is lesser. you must keep in mind that this concession is over and above 150000