Taxability of commuted pension

Is commuted pension taxable. I retired as govt. employee.
Replies (3)
Quick Summary
For government employees, the monthly pension received is subject to tax. However, the commuted value of pension, received as a lump sum, is generally exempt from tax under Section 10. This means while your regular pension payments are taxable, the one-off commuted amount is not.

Monthly Pension is fully taxable, while the commutated value of pension received in one lump sum is not.
Refer sec 10.
Uncommuted pension is taxable.
Commuted pension received by government employees is exempted

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
08 September 2026
Semi-Qualified Assitant

Subrahmanyam & Sivudu CA Firm

Hyderabad

CA Inter

View Details
Company
15 September 2026
Client-site CA associate

Aditya Muley and Co

Mumbai

CA

View Details
Company
16 September 2026
Internal Audit - Team Lead

Consulting & Beyond

Chennai

CA

View Details
Company
19 September 2026
CA/Semi-CA/BCom

Pravin Sarvaiya

Mumbai

CA Inter

View Details
Company
ARTICLESHIP 01 October 2026
Articled Assistant

KPSN & Associates LLP

Chennai

CA Inter

View Details
Company
ARTICLESHIP 28 September 2026
Junior Accountant

J S P M & Associates LLP

Pune

B.Com

View Details
Company
09 September 2026
Chartered Accountant

Aviv Global Private Limited

Ahmedabad

CA

View Details
Company
ARTICLESHIP 16 September 2026
Article Assistant

MANUJ SHARMA AND COMPANY

Noida

CA Inter

View Details