TaxTMI 
TaxTMI 
Deduction in respect of contribution to Agnipath Scheme – (New) Section 125 / (Old) Section 80CCH
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....100% of both For the purposes of this section - • (a) "Agnipath Scheme" means the scheme for enrolment in the Indian Armed Forces introduced vide letter No. 1(23)2022/D(Pay/Services), dated the 29th December, 2022, of the Government of India in the Ministry of Defence; • (b) "Agniveer Corpus Fund" means a fund in which consolidated contributions of all the Agniveers and matching contributions of the Central Government along with interest on both these contributions are held. Under Section 80CCH of the Income Tax Act, 1961 [ Upto 31.03.202026 ] Who is eligible for the deduction: Where an assessee, being an individual enrolled in the Agnipath Scheme and subscribing to the Agniveer Corpus Fund on or after the 1st day of November, 2022, has in the previous year paid or deposited any amount in his account in the said Fund, he shall be allowed a deduction in the computation of his total income, of the whole of the amount so paid or deposited. [Ex: - Assessee who opt for the scheme made by CG for employment in Indian Army] Contribution by CG: Where the Central Government makes any contribution to the account of an assessee in the Agniveer Co....
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...., 2022, the Competent Authority has decided to create a non-lapsable dedicated 'Agniveer Corpus Fund' in the interest bearing section of the Public Account head. 2. The modalities of the Agniveer Corpus Fund are indicated in the Annexure-1. 3. The nomination form is annexed at Annexure-2. 4. This issues with the concurrence of Finance Division of this Ministry vide their I.D. No 405/AG/PD/2022 dated 27.12.2022 of RF No. 2(2)/2022-AG/PD and D/o Legal Affairs vide Note in Dy. No. 1548/XXII/ LA (Def) dated 07.12.2022. Yours faithfully, (T Johnson) Gp Capt Director (Pay/Services) Copy to: As per distribution list. ANNEXURE-1 AGNIVEER CORPUS FUND 1. SHORT TITLE AND COMMENCEMENT The package given to an Agniveer from Agniveer Corpus Fund will be called as Seva Nidhi. The same will be deemed to have come into force on 1st November, 2022. 2. DEFINITIONS (a) "Accounts Officer" means the officer to whom the duty to maintain the Agniveer Corpus Fund of the subscriber has been assigned by Government or Controller General of Defence Accounts of India, as the case may be OR any Officer nominated by the Government in this regard. (b) "Family" means:....
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.... means a financial year. 3. CONSTITUTION OF THE FUND (a) The Fund shall be maintained in rupees. (b) All sums paid into the Fund under these orders shall be credited in the books of Government to an account named, "Agniveer Corpus Fund". Sum of which payment has not been taken within ten months after they become payable under these orders shall be transferred as receipts in Consolidated Fund of India. 4. CONDITIONS OF ELIGIBILITY All Agniveer's under AGNIPATH Scheme 2022 has to mandatorily subscribe to the Fund. 5. NOMINATIONS (a) A subscriber shall, at the time of joining the Fund, send to the Accounts Officer through the Commanding Officer of the Unit a nomination conferring on one or more persons the right to receive the amount that may stand to his credit in the Fund in the event of his death, before that amount becomes payable or having become payable has not been paid: Provided that a subscriber who has a family at the time of making the nominations shall make such nomination only in favour of a member or members of this family: (b) If a subscriber nominates more than one person, he shall specify in the nomination the amount or share payable to....
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....e for revision under this clause and the previous nomination will be treated as cancelled. 6. SUBSCRIBER'S ACCOUNT An account shall be opened in the name of each subscriber in the month in which he/she joins and shall be shown- (a) His/her subscriptions; (b) Matching contribution of subscriptions by Government; (c) Interest, as provided by Para 11, on above mentioned subscriptions. 7. CONDITIONS OF SUBSCRIPTION (a) A subscriber shall subscribe monthly to the Fund. 8. RATES OF SUBSCRIPTION (a) Each Agniveer is to contribute 30% of his monthly customized 'Agniveer Package' to the individual's 'Agniveer Corpus Fund'. Further, the Government will also contribute a matching amount to the individual's 'Agniveer Corpus Fund'. (b) At present the individual contribution and the government contribution on monthly basis are as follows: - SI No Year Customised Package (Monthly) In Hand (70%) Individual Contribution (per month) Government Contribution (per month) 1 First Year 30000 21000 9000 9000 2 Second Year 33000 23100 9900 9900 3 Third Year 36500 25550 10950 10950 4 Fourth Year 40000 28000 12000 12000 (à....
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....ur years. On completion of the engagement period of four years, Agniveers will be paid 'Seva Nidhi', which shall comprise their contribution including accrued interest thereon and matching contribution from the Government equal to the accumulated amount of their contribution including interest. (दी. जॉनà¥à¤¸à¤¨) (T. JOHNSON) निदेशक Director रकà¥à¤·à¤¾ मंतà¥à¤°à¤¾à¤²à¤¯, नई दिलà¥à¤²à¥€ Ministry of Defence, New Delhi वरणाव /Tele .:. (b) On Successful Enrolment in the Armed Forces as regular soldier. In case of individuals who are subsequently selected for enrolment in the Armed Forces as regular cadre, the Seva Nidhi package to be paid to them will comprise only their contribution including accrued interest thereon. The matching contribution and the Accrued Interest thereon by the government will be transferred as receipts in the Consolidated Fund of India. (c) On Death. The balance available in Seva Nidhi package which includes individual contribution, matching Government contribut....