cpc

provident fund withdrawal

Self employed

Would request  help on the following.

I have 3 PF accounts as a basis of 3 corporate jobs that I took up. These could not get transferred due to some issues at the PF office.

1)The first PF account was till a job that I undertook tfrom 2000-2007.

2)The second PF account was from 2007-2010. I with drew these proceeds

3)The third PF account is my present one -from 2010 onwards

I am planning to transfer the proceeds from my first PF account to my third one and then withdraw this. Will I get taxed on interest on this?

Also, What happens if I just withdraw these individually instead of a transfer as well from a tax perspective?

I have done continous service from 2000 onwards , however have made a withdrawal in between, hence the query.

Thanks in advance for your reply and help.

 
Reply   
 
Retd.Dy.Director Finance

Proceeds on closure of PF Account (both Principal and accumulated interest) do not attract incme tax. If there are no stipulation that your first PF can be transferred only and if you want the money now, better you close it ake the money. Once it has been transferred to another PF Account, withdrawal is permitted for certain specific purposes.

 
Reply   
 



I had put in 3 years service in a private bank, and on resignation, PF was refunded to me.  they deducted 10% TDS on the amount payable as per Income tax law- If PF is withdrawn before a period of 5 years, it will be added tothe salary income.

Now my question is: the PF amount was pertaining to 3 years service.  Can I apportion it to the previous three years as we would in the case of arrears received, and claim rebate?  Please clarify

 
Reply   
 
Self employed

thanks for your attention and time - so I understand if I withdraw this amount that got accumulated from 2000-2007 , this will not be taxed.

 
Reply   
 

LEAVE A REPLY


    

Your are not logged in . Please login to post replies

Click here to Login / Register  



 

  Search Forum








×

Menu

IPC Grand Course     |    x