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EPF came into effect with the purpose of building a retirement corpus for the employees. Thus, there are many restrictions against its withdrawal before maturity. Though there are certain situations where partial withdrawal your EPF amount is allowed. These situations are: 1. In case his or her marriage or marriage of their children or real siblings up to 50% of the member’s contribution. 2. If the organization is closed and an employee is without compensation for over 15 days or when no wages are paid. 3. For higher education of their children 50% of the member’s contribution. 4. In case member is unemployed for 6 months or more because of the factory operations been closed. 5. In case of natural calamity Rs. 5000 or 50% of the member’s contribution. 6. In case the employee gets sick due to T.B, cancer, paralysis, mental or heart ailment. 7. When the employee challenges dismissal or retrenchment in the court of law. 8. At age of 57 which is a year before retireme

Employee’s Provident Fund ( EPF ) is a benefit offered to an employee which they can enjoy after their retirement. If you are planning to withdraw your provident fund any sooner, then you must know the rules for the same. EPF withdrawal does follow a procedure with certain rules and regulations. There are different tax implications for different cases, and one can only withdraw the 75% funds at a time. If you remain unemployed for continuous two more months, then you can withdraw the remaining 25%. If you have a record of consecutive five years of service, then you are not eligible to pay any tax and thus can enjoy the tax-free withdrawal. If in case you are quitting your job before five years of service or planning to withdraw the funds before five years, then your amount will be taxable as per the rules. A TDS of 10% is deducted if you have submitted a PAN to the EPFO authorities, while if not then 34.6% TDS is deducted. But this is applicable only in case o

EPF withdrawal on its maturity is tax-free. But to savor the primary objective of EPF which is to provide social security during retirement by monthly savings in work term certain provisions are in place when TDS is deducted. These provisions are: TDS is deducted when the withdrawal is before 5 years of service and more than Rs. 50,000. In case the amount is transferred from one EPF to another EPF account, no TDS is deducted. In case of termination of employee’s service, discontinuation of business by the employer, or discontinuation due to ill health along with PAN, Form 15G/15H and Form 19 is to be submitted in order to avoid TDS deduction. In case of Form 15G/15H is submitted when more than Rs. 50,000 is withdrawn before 5 years of service then TDS will not be deducted.  In case no PAN is furnished then TDS @ 34.608% is levied. When PAN is furnished but not Form 15G/15H then TDS is deducted @10%. In specified circumstances after 5 years of service where EPF withdrawal is

EPFO governs Employee's Provident Fund , and every salaried employee is eligible to enjoy this scheme. If your company is having more than 20 employees, then the EPF Act is applicable, and even if the number falls later, then the provident fund will continue to be deducted from your salary. The interest rate of the provident is declared by EPFO every year. You and your employer are equally involved in the contribution, and the percentage of the amount that gets deducted from your salary is the same contribution that your employer will make. The lock-in period of Employee’s Provident Fund is five years which means if you can enjoy the tax benefit only if you are in the service for consecutive 5 years. In case you switch your job, you can transfer your existing Employee’s Provident Fund account to your new employer to enjoy tax-free fund. Premature withdrawal is tax-free only after the lock-in period. SOURCE