Deduction of commuted pension from the pension revised in implementation of recommendations of Pay Commission
Government of India
Ministry of Personnel, P.G. & Pensions
Department of Pension & Pensioners’ Welfare
3rd Floor, Lok Nayak Bhawan,
Khan Market, New Delhi-110003
Date:- 25th Oct, 2022
Sub:- Deduction of commuted pension from the pension revised in implementation of recommendations of Pay Commission etc.
In accordance with Rule 5 of CCS (Commutation of Pension) Rules, 1981 a Government servant can commute for a lump-sum payment of an amount not exceeding 40 per cent of his pension.
2. The amount of pension so commuted is deducted from subsequent monthly pensions. References have been received in this Department as to what amount shall be deducted from pension in cases where the pension is subsequently revised on implementation of recommendations of Pay Commission, etc.
3. It is clarified that in such cases, the portion/amount of pension which was originally commuted shall only be deducted from the revised pension.