Atal Pension Yojana: Taxpayers Won’t Get APY Pension Benefits

If you pay taxes, you will not get the benefits of the Atal Pension Scheme after 1st October, 2022. The government made some amendments in the APY scheme.

 Amendment In Atal Pension Yojana

The Atal Pension Yojana regulations have been altered by the government. Taxpayers won’t be able to benefit from this anymore. 

In other words, you cannot benefit from this plan if you are subject to income tax. Before, there was no requirement to join this well-known central government pension programme.

However, the government announced in a notification that no taxpayer will be qualified to register the Atal Pension Yojana after October 1, 2022. 

A subscriber’s Atal Pension Yojana account will be canceled and any pension deposits made up until that day will be returned if they are discovered to be taxpayers on or before this date. 

This announcement has been made by the Ministry of Finance’s Department of Financial Services.

For Employees In Unorganized Sectors

People in India who earn ₹2.5 lakh or less annually are exempt from paying income tax, according to the country’s income tax laws. 

The Atal Pension Yojana was launched by the Modi administration with the intention of giving social security to those employed in the unorganized sector. 

During the most recent fiscal year, over 99 lakhs Atal Pension Yojana accounts were created. By the end of March 2022, 4.01 crore people had joined the scheme in total, including those mentioned above.

What Is Atal Pension Yojana (APY)?

On June 1, 2015, Prime Minister Narendra Modi launched the Atal Pension Yojana. After the participants reach the age of 60, they would receive a pension in the range of ₹ 1,000 to ₹ 5,000 under this programme.

In this, the beneficiary’s age and investment amount are taken into account when determining the pension amount. The Atal Pension Yojana is accessible to all Indian citizens. 

However, the government has established a lowest and a highest age limit for them. To be eligible for the Atal Pension Yojana, a person must be between the ages of 18 and 40. 

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This programme is not available to those above the age of 40. Similar to that, anyone under the age of 18 cannot enroll for it.