• Mar
  • 02
  • 2012

Withdrawal from Provident Fund before Completion of 5 years taxable?

Withdrawal from Provident Fund (PF) Account before Completion of Five years taxable?

Withdrawal of Provident Fund may attract Income Tax. The Income Tax Department recently told EPFO (Employees Provident Fund Organisation) to deduct Tax (TDS) from the withdrawal amount, if the withdrawal happened before completing five years of subscription. Tax officials have cited a rule in the 1961 Income-Tax Act that taxes PF withdrawals by employees before completing five years of contributions into the EPF is taxable.

In most cases, the accumulated PF balance is withdrawn at the time of retirement, and therefore, not taxable in the hands of the individual. However, in certain cases like change in employment, an individual may even withdraw the PF balance earlier. The point one needs to remember is that the amount received from such PF is not exempt from tax in all cases. Only under the circumstances listed below will the amount withdrawn from PF be eligible for such exemption from tax.

  • If the employee has rendered continuous service with the employer for five years or more. Again, if the balance includes amount transferred from the individual’s PF account maintained by previous employer(s), then the years of continuous service rendered to the former employer(s) would be included for the purpose of computing the five-year period.
  • If the employee has not rendered continuous service of five years, but the service is terminated by reason of the employee’s ill health or discontinuance of the employer’s business or reasons beyond the control of the employee, the amount will be tax-exempt.
  • Another tax-exempt case is when, on the cessation of the employment, the employee finds another job and the the accumulated PF balance is transferred to his individual PF account maintained by the new employer.

 

In short, where the PF amount is withdrawn before five years of continuous service, it may be taxable in the hands of the individual as if the fund was not recognised from the start of the contributions. In such a case, payment received by the individual in respect of the employer’s contribution along with the interest accrual thereon is taxed as “salary”. Interest on the employee’s contribution is taxable as “other income”. Payment received in respect of the employee’s own contribution is exempt from tax (to the extent not claimed as a deduction earlier).

I-T provisions provide that the trustees of a recognised PF or any person authorised by the regulations of the fund to make the payment of the accumulated balance to the employee should deduct tax at source while paying the amount. Further, the person liable to deduct tax has to issue the certificate of tax deducted at source (Form 16) within the specified time frame to the employee depicting the details of taxes withheld from the accumulated PF balance and also comply with other salary-related compliance necessities. So the next time you think of withdrawing your PF, you must as an individual also assess whether the same is taxable or exempt.

——————

I worked with a private company for four and years and nine months. I have given a provident fund (PF) withdrawal request to my ex-employer. Will the PF amount be taxable?

We understand that the PF maintained by your former employer was a recognized PF. As per the provisions in the Income-tax Act, if the employee has rendered continuous service with his employer for five years or more, then the withdrawal of accumulated balance from such PF is not taxable at the time of termination.

Since the period of your services with the ex-employer is four and a half years which is less than five years, you shall be liable to tax on the amount withdrawn from your PF. In addition to the normal tax payable by you, you will be required to pay all the tax concessions availed by you so far on account of contribution to such recognized PF. Further, the total employer’s contribution plus interest thereon, which was not taxed earlier, shall be taxable as profits in lieu of salary.

However, if the accumulated balance in your PF account is transferred to your recognized PF account maintained by the new employer, no tax liability shall arise due to such transfer.


73 Responses to “Withdrawal from Provident Fund before Completion of 5 years taxable?”

  1. Muthu Kumaran . J says:

    Sir ,

    I worked with private BPO company for 37 months . My contribution to my pf account is 550 pm . After two months from my retirement from that company i have applied for my pf withdraw as i need money for my family member hospitalisation .

    Once i have applied i recieved a email from my corporate team that as i didnt complete 5 years service they will deduct TDS from my pf amount . Because of my family suituation i confirm that still i have to withdraw my pf .

    Once i confirm through my email i have recied only 5700 as my PF settlement . As per my knowledge 550*36= 19800 . I dont know how much they deducted as TDS . And also i dont know my employer have contributed for me or not .

    Iam not satisfied with the amount which i recieved and still i didnt take even single paise from my bank account .

    Can you please clarify me regarding TDS deduction .
    And how can i came to know that my employer has been contributed for me or not .

    Thanks in Advance .
    Muthu Kumaran.J

  2. bhs says:

    I have moved to USA before 5 years of service completion with job in USA company. Now does PF withdrawal is exempted from tax in this case

  3. keshav kumar says:

    plz give my ppf amount

  4. manjula says:

    my neighbor work in one concern for 4 month they detected pf amount he actually work 4 years before is it he is eligible to calm the PF amount. he dont know the pf number also.

  5. Santosh says:

    Dear Sir
    I worked for less than five years, but I have withdrawn the PF after 5 years of my service. My employer deducted tax at source showing Salary. Is it Correct? What shall I do? Can the tax be refunded back? Under which section will I claim exemption. Expecting a quick replay.
    Thanks & Regards.

  6. Manish says:

    I left my previous job in Aug 2010. I neither transferred nor withdraw the PF. Now If I withdraw my PF , will I have to pay income tax.

  7. Sushil says:

    what is the exact rate of TDS deducted on withdrawal of PF if worked in a organization more than 5 years?

  8. Mayank Bhargava says:

    I left my previous job in May 2010. I neither transfered nor withdraw the PF. If I withdraw my PF after May 2015, will I have to pay income tax.

    Thanks in advance for helping

  9. Happy says:

    Is there a provision which exempts PF withdrawal from Tax if a person leave the employment before completion of 5 yrs but after that remains unemployed for a period of 1 year or more.

    Also, what if someone does not complete 5 yrs of service with an employer but withdraws PF 5 years after the PF account was first opened? So someone completes say 3 years of service and then for the next 2 years he does not withdraw his PF and then after the five years are over then he withdraws the amount. What happens then? I think such withdrawal is taxable since the IT Act specifically mentions completion of 5 years of continuous service and it is of no relevance that the withdrawal was done from the account after 5 years from when the account was opened. Please clarify.

  10. AnExpat says:

    Hi,
    I worked for 4 years in India and now I have moved to United States from last 6 months.
    I have withdrawn my PF and I dont think any TDS is deducted.

    I want to know do I need to pay any tax on this PF amount?

  11. Rahul Bhagat says:

    Hi…I have been working in various companies since Apr 2005. On every occassion of changing my job, I had got my PF transferred. I am now with HDFC Bank for the last 2 years. I have not gotten my earlier PF transferred to this organisation. I am now thinking of quitting my job and start something of my own. I will be resigning in the next one week.
    Request you to please guide me with the following:

    1. Should I withdraw the PF that is lying with my previous employer or should I get it transferred. I believe, transfer would take 2-3 months. I might have left HDFC by then.

    2. In case I withdraw PF from my previous organisation, would TDS get deducted from it?

    Request you to please revert at the earliest.

  12. nitish sharma says:

    I worked in a private firm for nearly 2 years & firm had own private trust for PF.
    I joined another company which did not have private PF trust.The company has deducted TDS from PF amount 3 months back ,I would appreciate if you pl suggest ,can I deposite the full amount of Previous PF & can TDS be refunded tom by the company or I.Tax deptt If I furnish full detail in my I.Tax return ?

  13. ParsiMan says:

    Hello, I worked in India at an employer for 1 year 7 months during which I was paying into the Provident fund. I then moved overseas. I have been overseas for 6 years and now I have withdrawn my PF. The PF office has not deducted TDS. I would like to know if I need to pay any tax on my PF withdrawal for this year in which I have withdrawn, or is that that migration overseas is a reason for tax exemption?

  14. Jayendra Chaturvedi says:

    An employee is employed post his retirement at age of 62 years on a contract for 3 years ,he received his pf as a result that contract is over ,is this pf withdrawl taxable ?

  15. Nimesh says:

    Helooo,

    I worked with Private company for more than 5yrs and now i want to change my job so i want to withdraw amount from EPF… and i have not transferred the EPF amount to my new job PF account.

    If i have withdrawn an amount from old PF account whether it is taxable or not…

  16. raj says:

    I have resigned from my current job my date of joining is 07/08/2006 and my last date in the current company is 15/11/2013. I Want to with draw the amount.i was with the company for 7 years 03 months and 20 days .

    if i am withdrawing the PF whether it is taxable or not?

    If taxable how much taxable ?

  17. Ashish says:

    I left my HCL in june 2011 and did not transfer the PF to new employer. In this case if i apply for Pf in july 2016 will it attract tax??

  18. Amitesh says:

    I have left my previous company 1 year back but I have neither withdrawn nor transferred my PF a/c from previous to new employer. I wanted to know can I transfer my old PF a/c to the current one.
    Pl. help.

  19. Ram Verma says:

    how much time will take after approval of claim form 10c for withdrawal benefit ???

  20. Niyati says:

    Dear Sir,

    I want to know whether PF withdrawal is taxed on receipt basis or accrual ?

    Thanks & Regards,
    Niyati

  21. VG says:

    Dear Sir,

    I was working with two company for more than five years.

    I had intimated my new company about old and pf.

    last year i withdraw money from PF but previous company deducted the tax on that, now they are giving me letter of continous of five year.

    Now how I can claim this TDS refund (under which section)along with my other income.

  22. Somu says:

    Hi,

    I worked for a company for 5 years, now I re-located to another company in different city in India. Due to my personal situation I want to withdraw the money from my PF account when I talked to previous employer Finance departments they said that, there is Government rule that you can’t withdraw the amount as you are working in another organization inside India so you need to transfer your PF amount to current company organization PF account. This is what a reply I got from them and they are not processing my request. Is there is any rule like that(I don’t think so because my friends got their money). Please advise.

    Thanks
    Somu

  23. Saloni says:

    I worked for a company for 4 years (till March 2010), after which I left India. I am currently a non-resident for Indian tax purposes. I have now (in May 2013) withdrawn the monies accumulated in my ex-employer’s PF account and would like to know the taxation in my case i.e. should I not receive the employer’s contribution and interest on it (along with the enployee’s which is anyway tax exemmpt) without TDS, since I am no longer resident in India?

    Many thanks in advance

  24. Ayyappa says:

    then if I withdraw my PF amount after 1.6 yrs, is it taxable or not ?

  25. Ayyappa says:

    hi,
    I have one query related to the PF.
    I was worked in my past company for 3.6 yrs. now i have continue the same pf for present company . but here they are opened new PF account.
    As per my knowledge , final pf amount is not taxable if you are continuing the 5 yrs.

    My question is here , my previous company pf account is X and my present company is Y. I have plan to continue my present company for 1.6 yrs only.
    then if I withdraw my PF amount , is it taxable or not ?

  26. Shikha says:

    I have a query. I have worked in my organization for 30 months and now want to withdraw Pf as I will be leaving for higher studies.

    So now the entire amount of PF will add to my taxable income of this financial year and if my total taxable income crosses 1.9 lac then only i’ll have to pay tax otherwise it should be tax free. Am I missing anything here?

  27. Munish says:

    Hi,
    Please help to confirm if any employee left the organization in 3.5 /4 years of his/her services but withdrawal his/her PF after 5 years (from his Date of Joining in the organization) then the same will be taxable or non taxable.

    Regards
    MK

  28. Kiran says:

    I joined a company in 2007 and worked there for three years and then I moved to US. If I withdraw my PF now ( 2013) will I attract income tax, even though I have not completed five years of continous service.

  29. Abhishek Agarkar says:

    Hi,

    I had worked with a certain company for 1.6 years(May 07- Nov 08), as of today the company is not operational, also I have not withdrawn/ transferred the PF from that account to any other account. Now I wish to
    make an withdrawal, will I be able to withdraw the amount? If yes, i would like to know how? If no, i would request you to provide an alternate solution.

    Thanks

  30. Amit says:

    Hi All, We process all PF/EPF refund cases and help in accurately filing with all details to make a refund a seamless process for a fee, you may mail us at info@apnacapital.com

  31. Prabhu says:

    I have requested for PF withdrawal from my previous employer, but the Finance team of that company says PF cannot be withdrawn and only able to transfer when a person is employed. Is that true we cant withdraw our PF, if not can we able to take any legal action against the company?
    I have my previous employer PF account number and i checked its still alive. Please let me know how to proceed further.

    Thanks

  32. Aashish says:

    Can anyone help with Purav’s query. I have the same question..

    RE:”In your article in the second last paragraph you have mentioned that ” Payment received in respect of the employee’s own contribution is exempt from tax (to the extent not claimed as a deduction earlier)” My question is that if an employee had earlier claimed deduction in respect to own contribution to PF then under which Head of Income will it be taxed?”

  33. Rajiv says:

    have not got pf from my employer.. what to do?

  34. Sujit says:

    Hello,

    I have completed 4 years 3 months with my present organisation and have been rendered redundant as of 1st April, 2013. As this leaving of organisation is beyond reasons of my control (employee’s control) will I be required to pay Income tax on the EPF amount if I choose to withdraw it during May 2013? I do not have any alternate employment.

    Sujit

  35. Srini says:

    Hi, kindly attend my below query:
    I have 4 years 6 months in present company and previous company I worked for 3 years. I have been continuing the contribution of PF from previous company to present company, while leaving previous company I have opted to transfer the PF to new account maintained by present company. Now I have resigned and would be leaving by end of March 2013.
    I have opted to transfer the Pf amount from previous company (worked for 3 years) to present company (worked for 4 years 6 months), will I be eligible for PF withdrawal and if so, will there be any tax implications.

    Kindly address the query.

    thanks

  36. Nashim Mullick says:

    I worked with a private company for three years(2007 to 2010). In my previous company PF-slip the DOJ mentioned as 01/10/2007. Now I am working with a new organasation since 2011 and I have given a provident fund (PF) withdrawal request to my ex-employer. Will the PF amount be taxable? As 05-years had already completed

  37. Nashim Mullick says:

    I worked with a private company for three years(2007 to 2010). In my previous company pay-in-slip the DOJ mentioned in PF-slip as 01/10/2007. Now I am working with a new organasation since 2011 and I have given a provident fund (PF) withdrawal request to my ex-employer. Will the PF amount be taxable? As 05-years had already completed

  38. sanjay says:

    Hi Sir,
    I was working with an IT company any my EPS No starts with (TH/THA/EXEM/ xxxxx/xxxx)and total tenure was 4.7 years( as off jan 2013).As i understand i can withdraw pf after 2 months i.e on march as per PF rules.My question is now if i withdraw on march 2013- will it be taxable ? If yes shall i wait for June 2013 as to complete total 5 year although my last day in the company was jan 23rd 2013.So can i submit a withdrawn request on July 2013 so as there will no tax on the PF amount withdrawn.Please guide.

    Thanks,
    Sanjay

  39. sanjay says:

    Hi Sir,
    I was working with an IT company any my EPS No starts with (TH/THA/EXEM/ xxxxx/xxxx)and total tenure was 4.7 years( as off jan 2013).As i understand i can withdraw pf after 2 months i.e on march as per PF rules.My question is now if i withdraw on march 2013- will it be taxable ? If yes shall i wait for June 2013 as to complete total 5 year although my last day in the company was jan 23rd 2013.So can i submit a withdrawn request on July 2013 so as there will no tax on the PF amount withdrawn.Please guide.

    Thanks & Regards,
    Sanjay

    TH/THA/EXEM

  40. niyati says:

    I m currently working with axis bank since 4yrs this year is my 5th yr can i withdraw my PF i m not leaving my current organisation but i want to withdraw some amount is it possible, also if yes is the same taxable

  41. Annie Madiki says:

    I have a query. I was with 1 company from Jun 2003- Aug 2004. And was with another company from Aug 2004 – Aug 2009. When i am trying to check status of my earlier company online, its stating that “No record found and it has data only for past 6 months”. Can you please let me know how to know status of my earlier company PF?

  42. Hi,

    I have resigned from my current job my date of joining is 17/03/2008 and my last date in the current company is 12/03/2013. ( my PF account was opened in 30/04/2008) almost i was with the company for 4 years 11 months and 20 days .

    if i am withdrawing the PF after 12/03/2013. like to know whether it is taxable or not?

  43. XYZ says:

    I have worked for a company for almost one and half year then i joined another company i have filled the form to withdraw my PF its now almost two years i did not get my PF what to do?

  44. Kiran says:

    I have worked in a company for almost two years 2008-2010, where I was maintaining a PF. I then moved overseas for almost 2.7 years durning which time there were no PF contributions. Now I have resigned and going for my higher education. Can I withdraw my PF in 2013 ( when I complete 5 years after I started my PF), without attracting tax (TDS). (Even though I have maintained the PF for 2 years (

  45. Dinesh Saini says:

    I worked for a multinational from Jan 2006 to May 2008 where my PF was deposited being in Trust. Thereafter, I joined another company from June 2008 to Jan 2012. At the time of joining, I filled up Form 13 to transfer my PF to my current account PF account and one year later I also got the confirmation that PF amount of last company is transferred to current PF account. After 10 months of leaving my second company I filled up Form 19 and Form 10C. A month later I got confirmation that my PF amount is credited to my account but EPS is rejected. When I approached to RPFC office they said EPS is my first company is not transferred, therefore, it is rejected. First I have to get my EPS transferred then only I can withdraw this.

    They provide me one form to fill up and submit. On the form they have mentioned that if old account is with Trust then first Trust has to provide service information to RPFC. Then RPFC where first company (Trust ) deposited EPS will transfer to Second Account. Then again, I have to fill up 10C to withdraw the amount

    I am completely fed up with this long process, I requested the officer in charge to just give me my current EPS amount as EPS of my last company was not significant, he refused and said you will get only whole amount else nothing.

    Can anybody help me and also confirm if this is the only and correct process.

    Regards,
    Dinesh

  46. Vipin Bist says:

    Hi
    Please answer to my query, In case of PF amount withdrawl including the transferred PF amount from previous employer after total 5 years (including tenure at both previous and current employer), but these 5 years include 1 year GAP in between employement at Previous and current employer. In that condition will the withdrawl is TAX eligible.

  47. Akrishna says:

    One of my friend withdrawn PF and the previous company deducted overall TDS of Rs. 3 lacs. Can there be any possiblity to add the pf amount in currnet year income as other income and compute tax liability and claim refund from entire tds deducted from previous company?

    Rgds
    akrishna

  48. Sir,

    I worked in a company for 3 years. After that I left that company and joined another company.Now i completed 3 years in the present company.
    Can transfer the previous company PF to present company PF account.

  49. Mayank Gupta says:

    PPF amount if extended after a period of 15 years for a block of 15 years, you can withdraw a maximum of 60% only. You wont be able to withdraw fully

  50. RAKESH says:

    Sir, I want to know ath followings:-

    (a) What is the minimum period or number of contributions required to get the benifit at the time of withdrawal from EPF. If someone is working in a establishment/company and cotributing towards EPF and resign from the company after a period of 05/06 months. Is he/she eligible to withdraw his/her contributed amount with other benifits? (b) What is the procedures to withdraw the amount from EFP in this case?and the same person is also working in another company.

  51. MD SHAMSHADA ALAM says:

    Sir, I want to know ath followings:-

    (a) What is the minimum period or number of contributions required to get the benifit at the time of withdrawal from EPF. If someone is working in a establishment/company and cotributing towards EPF and resign from the company after a period of 03/04 months. Is he/she eligible to withdraw his/her contributed amount with other benifits? (b) What is the procedures to withdraw the amount from EFP in this case?

    Thanks & Regards

  52. mandar says:

    hi , if somebody leaves the job before 5 yrs & trf balance in PF to new employer’s PF & then withdrws aftr complition of balance years of previus employer what will be tax effect?

    Thanks

  53. Shankar says:

    I have a query. I was working in a company that had their own PF. I resigned after 3 years. My new company is vary small and the salray does not include PF. Should I continue with my PF account in the old company? Will I get interest in it? Is leaving the PF amount safe? When can I withdraw the amount without any tax implication?

  54. Surinder Arora says:

    I was employed with a company for three years.( 1998 to 2001). The company had their PF Trust. I resigned from my job with the company. With the next company I was on contact and therefore no PF. I did not withdraw my PF accumulations. In 2010 I got retired from the job after completing my 60 years of age. Now I have requested my previous employer for withdrawl of my PF accumulations. Please advise if the PF withdrawl will be taxable now , if yes then to what extent.

  55. Kunal Chavan says:

    Can i deduct PF Contribution from two firms

  56. rahuldev says:

    Can I withdraw my supperannuation fund (SAF) balance pre-maturaly? I am in service for 10 years, switching over job. The new company does not have SAF. The company may deduct tax at the applicable rate but whether it is permissible?

  57. Babu Hironmoy says:

    I have resigned from State bank after a service period of 18 months. Now am I be able to claim refund of my Pension and provident fund accumulated amount? What shall be the procedure of claiming the fund? What will be the remedy if the employer/Bank delays the refund? Am I be able to lodge complain aginst them.

  58. shashank says:

    service of 4years and more than 6moths would be counted as 5years as i work in pf office and also the rules governing pf maintained by epfo and by trust ( private employer) need to be same .

  59. RAHUL AGARWAL says:

    I wish to know two things regarding P.F. liability.1) Do I need to deduct PF if I pay my parmanent Labour a wages of Rs.250 perday i.e. 7500/month?  2) Do Welfare cess @1% deducted in contract work can be adjusted with PF Liability?.

  60. Sanjib Kumar Nanda says:

    When i was with my previous employer I have contributed in EPF for about 4 years and left the service in july 2009 & now with a different employer who is having its own trust. If i will withdraw my EPF & EPS from the previous employer,
    will it be taxable?
    If taxable what will be the percentage?

  61. Nik says:

    Two years back I have worked in an organization for 4 year 9 months and then I took emplyment overseas. I would like to know if I withdraw my EPF now, would there be any TDS deducted?

  62. nisha Paul says:

    I had left my previous organization 10th January 2011. Now I would like to apply for my PF withdrawl, May I know what will be the procedure. I had heard that need some extra documentation for withdrawl of PF after 1 year of leaving the service,

    Pls guide me  as per that I can apply for my PF withdrawl of  PF amount.

  63. vikas rao says:

    I withdrew my PF after resignation from my previous company. The company did not have a PF trust and accounts were maintained at the PF office bandra, mumbai. The amount has been deposited in my account.
    However, I do not know if taxes have been deducted at source or I have to show the amount received while filing returns.

  64. Rajeev says:

    I have recently withdrew my PF after resignation from the company. Is the money deposited by EPFO to my account is after deducting the taxes. I was reading that IT department has asked EPFO to deduct taxes on premature withdrawal.

    Regards,
    Rajeev Singh

  65. bemoneyaware says:

    Your article was a great help in understanding EPF have referred your article in my own post

  66. Manoj says:

    Dear friends,

    i want to understand the above mentioned Imcome tax implication on withdrawal of PF amount with in five years. want to understand two points. (1). As per India Income tax act 1961, Under which section, rules and Notification this has been indicated. (2). if so is this will be prospective effect OR retraspective effect, in this case is their any time line which clarifies how many years back data they can verify as per Income tax law. appreciate if any body try to clarify me.

  67. Rakesh Kumar Gupta says:

    I have a query. I was a member of a recognised Provident Fund trust for over 20 years. On resignation, I joined a new company,in1998, where I became a member of The Employees Provident Fund Scheme 1952 (funds from Recognised PF trust were transferred by the ealier company into this account). I also became a member of an optional Provident Fund scheme run by the company for its employees. I resigned from the second company, in 2002, after working for 4 years. Will the balance (it has not been withdrawn to date) lying in the optional PF scheme be liable to deduction of tax at source since I did not complete 5 years service in the new company even though I have continuously been a member of aPF trust for over 24 years.

  68. khadke N R says:

    which rate is applicable for TDS deduction (PF withdrawal before 5 years) under which section

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    o Annual eTDS returns
    o Form 27A
    o Form 16 along with Form 12BA and Annexure (Digital/Manual Signature)

    • Provident Fund
    o Form 2 – Nomination Details
    o Form 5 – List of New Joinees
    o Form 10 – List of Resignees
    o Challan (Account No. 1-2-10-21-22)
    o Form 12A – Reconciliation of Monthly payable and paid amounts
    o Form 3A – Personwise Annual Return – Individual Contribution Card
    o Form 6A – Consolidated Statement of All PF Subscribers for Current Financial Year.
    o Yearly Reconciliation of payable and paid amount – In prescribed format
    o Employee PF Transfer – Form 13
    o PF Withdrawal Forms – 19
    o Pension Withdrawal – 10C

    • Professional Tax
    o Monthly Return cum Challan
    • ESIC
    o Form 1 – Nomination Details
    o Monthly Challan
    o Form 6 – Half Yearly Return

    • LWF
    o Return Cum Challan – A1

    We at Paysquare, provide this service at a cost, much lesser to what a business entity has to incur either by processing the same in-house or by availing this service from elsewhere without compromising on the quality. Corporates find this as a cheaper and more efficient approach rather than buying the Payroll Software and then employing staff for creating and managing salaries. In this approach the overheads of maintaining the software and having it modified every year as per the latest Financial Bill is avoided by the client.

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  71. GOPAL says:

    under which section a PF Trust of an Company should deduct the Tax on pre mature PF withdrwl

  72. Purav says:

    Very nice article. In your article in the second last paragraph you have mentioned that ” Payment received in respect of the employee’s own contribution is exempt from tax (to the extent not claimed as a deduction earlier)” My question is that if an employee had earlier claimed deduction in respect to own contribution to PF then under which Head of Income will it be taxed?

  73. Deepashree says:

    Very articulate write-up.

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