Section 80 CCD 1B gives an additional deduction of ₹ 50,000 over and above the ₹1,50,000 deduction permitted under Section 80C.The pension amount is taxable according to your income slab. Also, with the NPS becoming an EEE product, this investment is now at par with other long-term investment products like Public Provident Fund (PPF) and Employees Provident Fund.
