Income Tax Payers Cannot Join Atal Pension Yojana Scheme From 1st Oct

What Is Atal Pension Yojana?

Under the scheme, employees will be able to receive a retirement pension, with a minimum pension of ₹ 500 per month. The scheme will also provide survivors' benefits, and children under the age of 18 will be eligible for education expenses benefits.

The scheme is funded by the government of India. Employees who are enrolled in the scheme will have their monthly salary deposited into a retirement savings account. The amount deposited into the account will be equal to at least 7% of the employee's monthly salary, plus an additional contribution of 1%. This contribution will be deposited into a National Pension Fund (NPF).

The main benefit of being enrolled in Atal Pension Yojana is that employees will be able to receive a retirement pension.

The Atal Pension Yojana (APY) is an Indian government scheme that provides monthly income to retired employees. The scheme was originally aimed to increase the retirement savings of Indian citizens. However, the government has recently announced that it is amending the investment rules for APY participants. As a result, many Indian income tax payers cannot join the scheme.

The original investment rules for APY were designed to require participants to invest their contributions in government-approved securities. However, this requirement has now been amended. Instead, participants will now be able to invest their money in any legal entity or security that falls within the category of 'equity-linked instruments'. This includes stocks, shares, bonds, and other financial products.

This amendment has caused concern among many Indian income tax payers. It is feared that some of these investments could be highly risky and liable to lose value quickly. In addition, there is a risk that investors may not be able to recover their money if the scheme becomes insolvent.

It is likely that this amendment was made in order to attract more participants to the APY programme.

How Will the New Rules Affect You if You Are an Income Tax Payer?

Atal Pension Yojana (APY) is a government scheme that provides a monthly pension of ₹15,000 to retired persons who have completed 60 years of age or more.

There are certain eligibility criteria that an individual has to meet in order to get the benefit under the APY. These include being a citizen of India, being resident in India for at least six months during the previous year, and having completed 60 years of age or more as on January 1 of the year in which the application is made.

There are also some conditions that an individual has to meet in order to receive the full pension amount under the APY. These include not having any other regular income, having no outstanding dues or arrears of taxes, and not having any disqualifying medical conditions.

There are a few exceptions to these eligibility criteria.

Why do Indian Income Tax Payers Not Get To Join Atal Pension Yojana?

The scheme is open to people who have retired from jobs, or who have been dismissed from jobs because of age.

However, Indian income tax payers cannot join the Atal Pension Yojana. This is because the scheme is classified as a social welfare programme, and as such, it is exempt from income tax. Instead, contributions made by participating individuals are used to finance the scheme's benefits.

If you are an Indian income tax payer and you want to join the Atal Pension Yojana, there are a few things that you need to do. First, you will need to verify your it return filing status. If you are not an income tax payer, you can still join the Atal Pension Yojana if you are eligible. Next, you will need to open a pension account with a pension fund institution. Finally, you will need to submit an application form to the Pension Fund Institution.

Key Takeaways

• The amount of money that an individual can expect to receive under the APY is based on his or her age, disability status and contribution history
• Eligibility is based on an individual's income and residence
• The scheme will be available as a direct transfer from the employer to the employee's bank account
• There is no minimum period of employment required under the APY
• The scheme will be available to both salaried employees and self-employed individuals.

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