Receipt of PF withdrawal TAXABLE OR NOT

This query is : Resolved

deepak (Querist)
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04 October 2020 At the time of PF withdrawal of our client. EPF department deducted tax of rs. 80000 on 800000 Receipt and given Rs/- 720000 to our client. 1)query is that this 8 lac receipt taxable or not? 2)if taxable then which head of income become?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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04 October 2020 This is taxable in view of withdrawal before completing 5 years of service.
The amount is taxable under salary head with 89(1) relief.
Interest in it taxable under income from other sources.