Income tax on EPF withdrawal.
I worked with a reputed company's new Gurgaon as consultant with initial appointment as 'May 16 2011 and later the contract was renewed every year till May 2016. I was relieved on May 14 2016 as May 15 was Sunday. Considering the contract period of 5 years but the reliving date one day earlier to joining date I.e May 16 vs May 14 due to holiday onMay 15 can I say I have completed 5 years .
This is required for not paying Income tax on EPF withdrawal and availability of gratuity from the employer. Experts requested to guide me.
Mohan G. Andhansare more
There won't be any tax deduction if you provide the F-15G while withdrawing the fund. more
looks like i have to find my solution as no expert advice is available. mohan andhansare more
Dear Sir, The EPF amount is taxable if withdrawn before five years. As per IT rule TDS is to be cut at 10% with PAN or 30 % without PAN and if the withdrawal amount is more than 50000/- . In Central and State Governments the officers at the end of service period are relieved on last working date. They get full month salary if the relieving is on Friday with following Saturday and Sunday as holidays and month gets completed on Sunday. In consideration of above my post dated Nov 26 for completion of five years still remains unanswered. Looking for reply/guidance. Mohan G. Andhansare more
I can tell you about Gratuity. Although guideline is 5 years it is mostly relaxed to 4 years and 240 days. which is almost 4 months less than 5 years. so if you are short of 5 years by a day you should still get your gratuity. On PF, I may be wrong but I dont think EPF withdrawal is taxable. it was proposed but withdrawn is how I remember it. more
Expert advise not received for the issue related to completion of five years of service for my contracts. more