Tds on epf

This query is : Resolved

Malkappa T Kumbar (Querist)
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08 July 2015 Is employer deduct tax on EPF? incase deduct tax on EPF employer which form gives to employee. For example : in case of salary employer deduct tax on salary and gives Form 16 to employee like that.

Swathi

Swathi (Expert)
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10 July 2015 Hello. .

Employer need not deduct any tax on EPF. The TDS will apply at the time of payment of provident fund for employees with less than 5 years of service.
1.PF withdrawls before 5 years of completion of service will attract TDS at 10%.

2.If the accumulated PF balance is < 30,000, TDS would not be applicable.

3.TDS will be deducted at 34% if subscriber fails to submit PAN.

4.TDS exemption has been given to subscribers with no taxable income provided required forms are filed (15G/15H).