On Monday, finance minister Arun Jaitley announced changes to the National Pension System (NPS), increasing the total tax-exempt cover to 100% of the NPS maturity value from 80% earlier.

 

Prior to this change, 40% of the total was annuitized without paying tax, 40% could be withdrawn tax-free and only the balance 20% was taxable. By the way, it is not clear why even the taxable...