Pension contribution deduction now includes State Government contributions, extending tax relief to employees for past assessment years.

The amendment adds State Government contributions to the class of employer pension contributions eligible for deduction, allowing an assessee to claim the whole amount contributed by the State Government to the employee's account under a notified pension scheme, subject to the employer-contribution limit; the amendment is retrospective to 1 April 2020 and applies from the 2020-2021 assessment year onward.

---

---

---