If PF account holders want to withdraw money from their account, then they may have to pay tax on withdrawing money.
New Delhi: If you are a PF account holder, then by withdrawing money from your PF account, know how much tax you may have to pay on the amount withdrawn. If you withdraw money from PF account before 5 years, then you will have to pay tax on the amount withdrawn.
During the Corona epidemic, many PF account holders have withdrawn money from their account. According to EPFO, during this period about 3.5 crore PF account holders have withdrawn money from their account.
During the Corona period, PF account holders have withdrawn a lot of money from their account for the treatment of themselves or their families. This figure shows how much money is required by the PF account holders.
You can meet your needs by withdrawing money from Employee Provident Fund account.
What are the tax rules for withdrawing money from PF account?
If you complete 5 years while working and he withdraws PF, then he will not have to pay any tax for it. If you withdraw money from your PF account before 5 years, then you will have to pay TDS of 10 percent on it.
If you withdraw 50 thousand or more amount from the account, then you can also save tax on it, just for this you have to submit Form 15G or 15H. If you do not have a PAN card, then you will have to pay 30 percent TDS.
When can you withdraw money from PF account?
- PF account holder can withdraw all the money from his account for the treatment of himself or his family members.
- In the case of education, the PF account holder can withdraw 50 percent of the amount deposited in the account under Form-31.
- PF account holders can withdraw up to 90 percent of the amount from their account to repay the home loan.
- If you want to withdraw money from your account in pre-retirement i.e. at the age of 54, then you can withdraw up to 90% of the amount.
- If someone loses his job, then he can withdraw up to 25 percent of the amount deposited in the PF account.
