I have recently closed and withdrawn my PF from EPFO department. After the PF amount was creditted to my saving account mentioned in the application of withdrawal I observed a deduction of 10% amount from my total PF Amount.
I have more than 10 years of service when i closed the PF account . When i approached PF dept for the deduction of the amount , PF Dept has intimated me that system has wrongly deducted 10% TDS and they have payed the TDS deducted to IT Department and PF Dept has asked me to get the amount reimbursed from IT Department. As per the EPFO rules NO TDS should be deducted when account is closed if the service is more than 5 Years.
Now PF department is saying they are helpless and i have to get the same from IT Dept if at all they return else i have to forget the money. What to do now ? please guide me.
Sir it is simple file your income tax eturn and ask for refund. Now refunds are processed in less then 10 days. So if the deduction was made in FY 2016-17, get your 26AS from income tax website and file ITR. Show the refund.
As far as EPFO is concenred they can only fix the responsibility and take action on erring employees in their office. But the refund of Income Tax can be applied by you alone. The procedure for refund exists in PF office ony for the wrongly remitted tax.
In case they have not desposited the deducted tax, they are liable for criminal prosecution u/s 406/409 IPC. But such irregularity is generally not expected in PF office becasue everyone there is expected to be aware of these provisions of IPC and they apply these provision on employers who deduct PF and do not deposit..
Thanks for one and all for your valuable advices..I will checking Form26AS and also with PF official whether they deposited the deductions or not and seek further advice from.you all if required...
Thanks one and all for your valuable advices..I will checking Form26AS and also with PF official whether they deposited the deductions or not and seek further advice from.you all if required...