Parity between salaried and self employed MUMBAI: Early withdrawals from the National Pension System (NPS) will not attract tax, the Budget has clarified, and experts suggest using this route to increase the tax-free component of your retirement corpus. An NPS subscriber can withdraw 25% of his contribution to the corpus for emergencies before retirement. For instance, let us assume that your corpus now is Rs 2 lakh -- Rs 1 lakh contributed by you and the remaining by your employer. Instead of withdrawing the entire amoun at retirement, you can withdraw Rs 25,000, or 25% of your contribution, earlier, without any tax incidence. The remaining Rs 1.75 lakh is withdrawn on retirement. Since 40% of this Rs 1.75 lakh or Rs 70,000 is tax-free at retirement, the total tax-free amount goes up to Rs 95,000 (Rs 25,000 + Rs 70,000). Had the entire amount been withdrawn at retirement, the tax-free component would have been Rs 80,000. Moreover, till now salaried NPS subscribers enjoyed an ex