National Pension System: Failure to complete this task by March 31 will prevent NPS account withdrawals

NPS Withdrawal: The Pension Fund Regulatory Development Authority (PFRDA) has announced that National Pension System (NPS) account holders who have not linked their PAN and Aadhaar cards and updated their KYC documents may have their accounts closed under certain conditions. The deadline to link PAN and Aadhaar is March 31, 2023.

If account holders fail to link their PAN card and Aadhaar card before the deadline, they will not be able to withdraw money from their NPS account until the KYC rules are complied with. Account holders can link their PAN and Aadhaar cards by visiting the e-filing portal of the Income Tax Department or the website of NSDL.

Those who link their PAN card after the deadline will have to pay a fine of Rs 1,000, according to a circular dated July 1, 2022. If the link is not made, the PAN card will be useless. Account holders who are unable to pay the penalty can complete the linking process by visiting the new portal of the Income Tax Department or the NSDL website.

To link Aadhaar with their NPS account, account holders must first visit the CRA-NSDL website and log in. Then they must update their Aadhaar number in the sub-menu and click on "update details". After entering their Aadhaar number, they should generate an OTP and enter it. Once the OTP is entered, the Aadhaar will be linked with the PRAN. It is important that the information in the Aadhaar and PRAN should be the same.

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