Withdrawal from NPS Tier I Account

Atleast 40% of the fund value (corpus) in NPS Tier I account on the date of retirement must be mandatorily utilised to purchase an annuity. The amount utilised for purchase of annuity is fully exempted from tax.
The subscribers have an option to defer the purchase of an annuity for a period of 3 years.
The Subscribers can withdraw upto 60% of the corpus as lumpsum. The lumpsum withdrawal amount is exempted from tax.
The subscriber can defer the withdrawal of the lumpsum amount and continue to stay invested in NPS upto 75 years
The subscriber is also permitted to withdraw lumpsum in 10 instalments. The annuity must be purchased before opting for phased withdrawal
If the corpus in the subscriber’s account is equal to or less than ₹ 5 Lakh, subscriber can withdraw the full amount.

Premature exit is permitted only after 5 years of participation from the date of opening the account.
Subscribers can withdraw 20% of the corpus in lumpsum, and the remaining 80% must be used to purchase annuity.
If the corpus in the subscriber’s account is equal to or less than ₹ 2.5 Lakhs subscriber can withdraw the full amount.

The maximum amount of withdrawal cannot exceed 25% of the value of subscriber contribution.
The subscribers are eligible for partial withdrawal only after three years of participation in NPS from the date of opening the account.
The subscriber is entitled to partial withdrawals a maximum of three times during the tenure of the NPS account.
Partial withdrawal is permitted for specific purposes. Among these are included

Withdrawal from NPS Tier II Account