Epf

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

18 July 2013 if a person withdraw 11 lakhs form provident fund so what is the tax liability beared by the employee ?
please tell in both cases where employee worked less than 5 yrs n more than 5 yrs .

CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)
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26 July 2013 If more than 5 year, the entire proceeds will be exempted

If less than 5 years, other than termination or relieving due to illness, the employee contribution is exempted, interest on employee contribution is taxable under " Other sources" and Employer contribution and interest will be taxable under salary