F.No275/192/2009-IT(B)

[sundar rajan]

i want to know that in cps deduction both employee and employer contribution allowed for deduction? 10% of salary for both the employee and employer.

[Surender Gupta]

Contributory Pension Scheme (CPS) is the scheme of the state governments therefore, you need to visit concerned state government's scheme for details.

For central government’s pension scheme visit: http://pensionersportal.gov.in/

AI Summary

Contributory Pension Scheme contributions: tax deduction depends on the governing state scheme; consult state rules or central portal. Whether both employee and employer contributions to the Contributory Pension Scheme (CPS) are allowable as tax deductions was queried. The response states that CPS arrangements are instituted by state governments and that the tax treatment of contributions depends on the specific provisions of the concerned state scheme; for the central government's CPS taxpayers are directed to the central pension portal for scheme details.