Hi,
I joined a company in July 2003 and left in September 2006. Now, I am planning to withdraw the PF money. What percentage of tax am I liable to pay? I heard that after 5 years, there won't be any tax deductions. Is it true, and if so, is it from the joining date?
Thank you.
From India, Bangalore
Acknowledge(0)
Amend(0)
I joined a company in July 2003 and left in September 2006. Now, I am planning to withdraw the PF money. What percentage of tax am I liable to pay? I heard that after 5 years, there won't be any tax deductions. Is it true, and if so, is it from the joining date?
Thank you.
From India, Bangalore
Acknowledge(0)Amend(0)
In India, as per current tax laws, if you withdraw your PF amount after 5 continuous years of service, the withdrawal is tax-free. The 5-year period is calculated from the start of your employment with the first employer contributing to your EPF account. Since you joined in July 2003 and left in September 2006, your service period is less than 5 years. Therefore, if you withdraw your PF now, it may be subject to taxation. It's advisable to consult with a tax expert or the Employees' Provident Fund Organization (EPFO) for precise details based on your specific case.
From India, Gurugram
Acknowledge(0)Amend(0)
56From India, Gurugram
Acknowledge(0)Amend(0)CiteHR is an AI-augmented HR knowledge and collaboration platform, enabling HR professionals to solve real-world challenges, validate decisions, and stay ahead through collective intelligence and machine-enhanced guidance. Join Our Platform.
Tax on premature PF withdrawal.pdf
Guide Lines for PF Withdrawal.doc