3 EPF withdrawal related query

POSTED BY jackhammer ON February 11, 2014 5:16 pm ONE COMMENT

Hello All,

I am new to this forum, asking my first question. If any query is repeated please ignore and share the link if possible. Thank you in advance.

Queries:

1: PF withdrawal is tax free after 5 years of service?

I have worked in TCS for 2 years. TCS has their own PF trust. While leaving TCS i have withdrawn my PF for 2 years. After that I have joined some other company and they have opened my new PF account with the EPFO. And I am working in this organization for more than 3 years now. So total 5 years of service. Can I withdraw the PF Collected in account with EPFO, since i am working for a total of more than 5 years now? Or I have to wait for 2 more years to get my EPFO account 5years old?

2. This is general query

Since an employee can withdraw the PF after 5 years without tax. Say an employee is depositing Rs 20,000 every year since starting the job for 4 years (i.e 80,000 in 4 years), and increases the PF amount i.e. VPF say by 80,000(i.e. total 100,000 in that year) in 5th years. So after completing the 5 years he will get 180,000 without any tax?

3. This is also general query

Can an employee withdraw PF without tax after every 5 years  or this facility is only available once?

Thanks for going through the queries. I will be glad to get the replies to my queries.

One reply on this article “3 EPF withdrawal related query”

  1. ashalanshu says:

    Dear Jackhammer, the TCS PF amount received by you after 2Y service is taxable. You can not withdraw after first 5Y or any block of 5Y. The 5Y clause is meant for taxation of PF withdrawal amount.

    Thanks

    Ashal

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