Table of Contents
NPS account i.e. National Pension System can prove to be a very good option after retirement, from the government to keep your situation running properly in financial matters.
Along with this, if you invest in NPS, you also get tax exemption, and returns are also good in it. According to a report, NPS accounts have given returns of more than 12% in the last 10 years.
Income tax benefits in NPS Account
Along with this, if you invest in NPS, then you get an income tax exemption of up to 1.5 lakh rupees under section 80CCD (1).
Along with this, you also get an additional Rs 50,000 exemption under section 80CCD (1B). Therefore, a total of 2 lakh rupees income tax exemption are there in National Pension System (NPS).
Many people also believe that having an account in NPS after retirement is one of the very best options. But let’s talk here that if your NPS account gets closed or Frozen then, in such a situation what will you have to do to get it started again?
How to Restart or Reopen your Closed/Frozen NPS Account?
To solve this problem you need to fill out a form to get your NPS account activated again and submit it to the post office or bank. Along with this, you can also apply online to get your account activated again. The government provides these three options for you.
Name of NPS account Unfreezing Form
Otherwise, you can also ask for the “Request for unfreezing of PRAN under National Pension System (NPS)” form. Here PRAN stands for Permanent Retirement Account Number (PRAN).
In this form, you should fill some information, such as
- NPS account Type (Tier-I), (Tier-II), Or Both (Tier-I & Tier-II).
- Name of Subscriber (Mentioned on PRAN Card).
- Total Unfreeze Amount to invest (For Tier-I, Tier-II), and some other details too.
Facilities in the National Pension System (NPS)
Let us tell you that in the National Pension System, you have to invest at least Rs 1000 within 1 year. The National Pension System, which is associated with the Pension Fund Regulatory and Development Authority of India (PFRDA), has started offering many facilities to attract its investors.
In these facilities, if you want to deposit a minimum amount in your NPS account at any time of the year, then you can do it, and there is no minimum period or age limit for this amount.
Along with this, by investing in the National Pension System, you can know some of your expenses in the future, and prepare accordingly from now on. The Rs 2 lakh income tax reduction in NPS is also a good facility.
FAQ – NPS account Unfreezing Process
1. What options are available to open again the NPS closed/Freeze account?
To unfreeze your NPS account, submit your application form in the post office, bank or simply you can apply through online mode.
2. Where the NPS account unfreezing form is to be submitted after completing it?
After completing the Unfreezing NPS account form, the form is submitted to the associated POP-SP. The incompleted form may be rejected hence, first carefully complete your form.
If you have any doubt regarding completing your form, contact the associated department of the bank/post office otherwise, you can visit at eNPS Official website.