Cabinet nod to 4 Badri projects; tax rebate for CNG, EV vehicles
Uttarakhand cabinet
on Wednesday approved 12 proposals, including four related to development projects in Badrinath and a tax exemption for CNG and electric vehicles.
Secretary Shailesh Bagauli said permission was granted for creating Sudarshan Chakra and Sheshnetra Lotus wall artworks at prominent Badrinath locations, including Arrival Plaza and Lakefront. Another decision pertains to the construction and installation of the 'Tree and River Sculpture' at Badrinarayan Chowk.
In a major green push, the cabinet has amended the tax structure for certain categories of eco-friendly vehicles. Under a notification dated Jan 2, 2019, issued under the Uttarakhand Motor Vehicle Taxation Reform Act, 2003, one-time tax rates were specified for vehicles powered by electric batteries, solar energy, or CNG. The cabinet has decided to extend this exemption to plug-in hybrid electric vehicles and strong hybrid electric vehicles.
"The purpose of this decision is to encourage vehicle owners to purchase and use these categories of vehicles and to reduce pollution," said Bagauli.
To streamline recruitment processes for Group-C positions outside the purview of the Uttarakhand Public Service Commission, the state had earlier established the Uttarakhand Subordinate Service Selection Commission, creating a framework of 64 temporary positions-of which 62 were created, with the remaining two treated as a dying cadre. Given the rising number of requisitions from departments, the cabinet has now approved a restructuring of the commission's framework by creating 15 new positions-one regular and 14 outsourced-on top of the existing 62.
In another decision, the director of the Forensic Science Laboratory will now be designated as the
Uttarakhand Forensic Science Laboratory
Department head. The cabinet also cleared a proposal to restructure the
Uttarakhand Human Rights Commission
, which was established in 2011 with 47 positions. To address operational requirements, 12 new positions will be created. In line with central govt directives, the cabinet approved a proposal to make employees covered under the National Pension Scheme (NPS) eligible for gratuity within the state. Also, changes were made to benefit the dependents of deceased environmental workers under the 1974 rules.
Under the Clean Mobility Transition Policy, 2024, the transport department had planned to deposit funds for various incentives in an escrow account titled the Uttarakhand Clean Mobility Transition Fund. However, banks raised concerns regarding the opening of such accounts. Hence, the state will now use an SNA account to implement the policy.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
New Indian Express
11 hours ago
- New Indian Express
26K retired Central govt employees eligible to receive extra benefits under UPS
NEW DELHI: As many as 25,756 retired central government employees meet the eligibility criteria to receive additional benefits under the Unified Pension Scheme (UPS). These are employees who superannuated are deceased or retired on or before March 31, 2025, having completed ten years or more of qualifying service while covered under NPS, the government has informed parliament. As of July 20, 2025, the government has already received 7,253 claims for UPS benefits, with a swift processing rate seeing 4,978 claims successfully processed for payment. This indicates a growing uptake of the scheme among eligible beneficiaries. UPS is specifically introduced as an option under NPS for Central Government employees. There are currently no proposals under consideration to extend these benefits to other pension schemes or sectors, Finance minister Nirmala Sitharaman told Lok Sabha on Monday. Responding to representations from employees and various associations, the government previously extended the cut-off date to opt for UPS by three months, until September 30, 2025. This extension provides more time for eligible individuals to make their decision. The finance minister said that the government has moved to enhance the financial security of UPS beneficiaries. It has extended the benefit of 'Retirement gratuity and Death gratuity' under the provisions of the Central Civil Service (Payment of Gratuity under National Pension System) Rules, 2021, to Central Government employees covered by UPS. The finance minister also clarified that the government has ensured parity in taxation, extending the same tax benefits to UPS as are available to NPS under the Income Tax Act, 1961.
Economic Times
13 hours ago
- Economic Times
NPS equity funds see low single-digit returns in 1 year. Is it time to review your retirement strategy?
National Pension System equity funds show low returns this past year. Experts blame market conditions and NPS structure. NPS equity funds have delivered low single-digit returns over the past year and according to market experts, this underperformance can be attributed to the current neutral market phase impacted by geopolitical tensions, as well as the structural limitations of the NPS framework. 'The market right now is in a neutral phase, impacted by geopolitical crisis, US tariff expectations and weak earnings in key sectors such as IT and financials, both of which form a significant portion of NPS equity portfolios. Another thing to keep in mind is the structure of NPS itself,' Arjun Guha Thakurta, Executive Director at Anand Rathi Wealth Limited shared with ETMutualFunds. Also Read | Smallcap mutual funds dominate return charts in 5 & 10 years. What's driving the surge? According to the structure of NPS, about 20-25% of the portfolio is mandatorily in debt, which typically won't go beyond 7–8% returns therefore, the real growth engine is the 50-75% in equity, and that's been playing around market volatility lately. 'Also, since most NPS equity funds invest heavily in large caps, nearly 70% of the portfolio, they miss out on the higher growth potential that mid and small caps have delivered over time. Together, these factors have resulted in lower returns,' he added. Out of 10 NPS fund managers, nine have offered upto single-digit returns, one delivered negative return in the same period, according to data provided to ET by Value Research. DSP Pension Fund, relatively a new entrant, has offered the highest return of around 8.90% in the last one year. Kotak Pension Fund offered a return of 3.90% in the last one year period. Three fund managers - HDFC Pension Fund, ICICI Prudential Pension Fund, and UTI Pension Fund offered 2.52%, 2.22%, and 2.17% returns respectively in the said time period. LIC Pension Fund and ABSL Pension Scheme offered 1.88% and 1.39% returns respectively in the last one year. Axis Pension Fund and Tata Pension Management offered 0.93% and 0.83% returns respectively in the said period. And lastly, SBI Pension Fund offered a negative return of 1.15% in the said period. Post looking at the performance of NPS equity funds, should one consider rebalancing their asset allocation and what is the ideal time to hold onto equity investments in NPS to potentially see meaningful growth, Thakurta recommends that a better approach is to manage the overall allocation at a portfolio level as this allows an investor to align their equity and debt exposure with your goals, investment horizon and risk appetite more further adds that NPS can be compared to a hybrid fund with a lock in, where you don't have full control over asset allocation along with compromised liquidity. In NPS, the subscriber is required to decide investment choice whether active choice or auto choice. In active choice, a subscriber has the right to actively decide as to how the contribution is to be invested based on their personal preference. In this, subscribers can select multiple asset classes under a single pension fund manager. Upto 50 years of age, the maximum permitted equity investment is 75% of the total asset allocation. From 51 years and above, maximum permitted equity iInvestment differs. Percentage contribution value cannot exceed 5% for Alternative Investment Funds. The total allocation across equity and related instruments, corporate debt and related instruments, government bonds and related instruments and alternative investment funds including instruments like CMBS, MBS, REITS, AIFs, Invlts etc asset classes must be equal to 100%On the other hand, in auto choice, the investments will be made in a life-cycle fund and the proportion of funds invested across three asset classes will be determined by a pre-defined portfolio. Also Read | Consistent performers: Over 40 equity mutual funds offer over 15% CAGR in 3, 5, 7 and 10 year horizons NPS is focused on saving for retirement whereas mutual funds help investors to plan for different financial goals. The NPS scheme has a certain maturity period of 60 years and withdrawal restrictions. Mutual funds offer a lot more flexibility and ELSS mutual funds come with a three-year lock-in. These funds have a minimum lock-in period amongst various tax saving options available under Section other retirement savings options are also available, Thakurta advices investors to definitely consider other options as it's better to control their asset allocation at a portfolio level, where they can divide their money into three baskets, with a mix of equity and debt as they have a low correlation with each other. For equity, investors can consider equity mutual funds from diversified categories and for the long-term basket, meant for retirement, can have an 80:20 mix of equity and debt, the expert further adds that the medium-term basket, for the longer-term needs, can be 70:30 in equity and debt and the short-term basket should be fully in debt, meant for any near-term expenses as this way, one gets the flexibility to manage short-term liquidity while also generating wealth over the long term through the power of is a market-linked defined contribution scheme that helps you save for your retirement. The scheme is simple, voluntary, portable and flexible. It is one of the most efficient ways of boosting your retirement income and saving tax. It allows you to plan for a financially secure retirement with systematic savings in a planned way, according to the NPS Trust at how the macro environment is evolving, with GDP growth at 6.5% for FY25 and projected to rise to 6.6% next year, inflation well under control, and strong tax collections, it is clear that the market is on a healthy growth path and in this context, NPS may not be the most efficient vehicle to benefit from this momentum, Thakurta mentioned. He further informs that most NPS equity funds tend to stick to large cap allocations and have a fixed structure, which limits flexibility and the ability to optimise returns and there is also the lock-in until retirement and the compulsory annuity purchase, which can restrict an investor's options. 'Mutual funds, in contrast, offer liquidity, a wide choice of categories and the flexibility to adapt to changing market cycles. For long-term investors, mutual funds are better suited to help generate wealth over the long term,' he added. (Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times) If you have any mutual fund queries, message on ET Mutual Funds on Facebook/Twitter. We will get it answered by our panel of experts. Do share your questions on ETMFqueries@ alongwith your age, risk profile, and Twitter handle.
Time of India
14 hours ago
- Time of India
NPS equity funds see low single-digit returns in 1 year. Is it time to review your retirement strategy?
NPS equity funds have delivered low single-digit returns over the past year and according to market experts, this underperformance can be attributed to the current neutral market phase impacted by geopolitical tensions, as well as the structural limitations of the NPS framework. 'The market right now is in a neutral phase, impacted by geopolitical crisis, US tariff expectations and weak earnings in key sectors such as IT and financials, both of which form a significant portion of NPS equity portfolios. Another thing to keep in mind is the structure of NPS itself,' Arjun Guha Thakurta, Executive Director at Anand Rathi Wealth Limited shared with ETMutualFunds. Explore courses from Top Institutes in Please select course: Select a Course Category Public Policy Degree CXO Others Data Science Data Analytics Design Thinking Finance Healthcare Digital Marketing Technology Data Science others Cybersecurity Artificial Intelligence Leadership Operations Management MBA Management MCA Skills you'll gain: Economics for Public Policy Making Quantitative Techniques Public & Project Finance Law, Health & Urban Development Policy Duration: 12 Months IIM Kozhikode Professional Certificate Programme in Public Policy Management Starts on Mar 3, 2024 Get Details Skills you'll gain: Duration: 12 Months IIM Calcutta Executive Programme in Public Policy and Management Starts on undefined Get Details Also Read | Smallcap mutual funds dominate return charts in 5 & 10 years. What's driving the surge? Best MF to invest Looking for the best mutual funds to invest? Here are our recommendations. View Details » According to the structure of NPS, about 20-25% of the portfolio is mandatorily in debt, which typically won't go beyond 7–8% returns therefore, the real growth engine is the 50-75% in equity, and that's been playing around market volatility lately. 'Also, since most NPS equity funds invest heavily in large caps, nearly 70% of the portfolio, they miss out on the higher growth potential that mid and small caps have delivered over time. Together, these factors have resulted in lower returns,' he added. Out of 10 NPS fund managers, nine have offered upto single-digit returns, one delivered negative return in the same period, according to data provided to ET by Value Research . DSP Pension Fund , relatively a new entrant, has offered the highest return of around 8.90% in the last one year. Kotak Pension Fund offered a return of 3.90% in the last one year period. Live Events Three fund managers - HDFC Pension Fund, ICICI Prudential Pension Fund, and UTI Pension Fund offered 2.52%, 2.22%, and 2.17% returns respectively in the said time period. LIC Pension Fund and ABSL Pension Scheme offered 1.88% and 1.39% returns respectively in the last one year. Axis Pension Fund and Tata Pension Management offered 0.93% and 0.83% returns respectively in the said period. And lastly, SBI Pension Fund offered a negative return of 1.15% in the said period. Post looking at the performance of NPS equity funds, should one consider rebalancing their asset allocation and what is the ideal time to hold onto equity investments in NPS to potentially see meaningful growth, Thakurta recommends that a better approach is to manage the overall allocation at a portfolio level as this allows an investor to align their equity and debt exposure with your goals, investment horizon and risk appetite more effectively. He further adds that NPS can be compared to a hybrid fund with a lock in, where you don't have full control over asset allocation along with compromised liquidity. In NPS, the subscriber is required to decide investment choice whether active choice or auto choice. In active choice, a subscriber has the right to actively decide as to how the contribution is to be invested based on their personal preference. In this, subscribers can select multiple asset classes under a single pension fund manager. Upto 50 years of age, the maximum permitted equity investment is 75% of the total asset allocation. From 51 years and above, maximum permitted equity iInvestment differs. Percentage contribution value cannot exceed 5% for Alternative Investment Funds. The total allocation across equity and related instruments, corporate debt and related instruments, government bonds and related instruments and alternative investment funds including instruments like CMBS, MBS, REITS, AIFs, Invlts etc asset classes must be equal to 100% On the other hand, in auto choice, the investments will be made in a life-cycle fund and the proportion of funds invested across three asset classes will be determined by a pre-defined portfolio. Also Read | Consistent performers: Over 40 equity mutual funds offer over 15% CAGR in 3, 5, 7 and 10 year horizons NPS is focused on saving for retirement whereas mutual funds help investors to plan for different financial goals. The NPS scheme has a certain maturity period of 60 years and withdrawal restrictions. Mutual funds offer a lot more flexibility and ELSS mutual funds come with a three-year lock-in. These funds have a minimum lock-in period amongst various tax saving options available under Section 80C. As other retirement savings options are also available, Thakurta advices investors to definitely consider other options as it's better to control their asset allocation at a portfolio level, where they can divide their money into three baskets, with a mix of equity and debt as they have a low correlation with each other. For equity, investors can consider equity mutual funds from diversified categories and for the long-term basket, meant for retirement, can have an 80:20 mix of equity and debt, the expert advised. He further adds that the medium-term basket, for the longer-term needs, can be 70:30 in equity and debt and the short-term basket should be fully in debt, meant for any near-term expenses as this way, one gets the flexibility to manage short-term liquidity while also generating wealth over the long term through the power of compounding. NPS is a market-linked defined contribution scheme that helps you save for your retirement. The scheme is simple, voluntary, portable and flexible. It is one of the most efficient ways of boosting your retirement income and saving tax. It allows you to plan for a financially secure retirement with systematic savings in a planned way, according to the NPS Trust website. Looking at how the macro environment is evolving, with GDP growth at 6.5% for FY25 and projected to rise to 6.6% next year, inflation well under control, and strong tax collections, it is clear that the market is on a healthy growth path and in this context, NPS may not be the most efficient vehicle to benefit from this momentum, Thakurta mentioned. He further informs that most NPS equity funds tend to stick to large cap allocations and have a fixed structure, which limits flexibility and the ability to optimise returns and there is also the lock-in until retirement and the compulsory annuity purchase, which can restrict an investor's options. 'Mutual funds, in contrast, offer liquidity, a wide choice of categories and the flexibility to adapt to changing market cycles. For long-term investors, mutual funds are better suited to help generate wealth over the long term,' he added. ( Disclaimer : Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times) If you have any mutual fund queries, message on ET Mutual Funds on Facebook/Twitter. We will get it answered by our panel of experts. Do share your questions on ETMFqueries@ alongwith your age, risk profile, and Twitter handle.
