Through an amendment introduced by the Tax Laws (Amendment) Act, 2020, members of retirement schemes have now been allowed to access a portion of their benefits for purchase of residential houses. Previously, the law allowed members to use part of their benefits only for securing mortgage loans. In particular, it permitted members to assign 60% of their accrued benefits to their schemes in exchange for the scheme furnishing guarantees to prescribed institutions financing the purchase. The relevant Regulations specifying the requirements and procedures that one would need to follow in order to access the benefits for house purchase have been published, with public participation ending today.

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