I joined a company. The employer deducted P.F After one and half years company was closed. Now I am withdrawing the PF amount. Whether this withdrawal is taxable? (P.F account is less than five year )
I joined a company. The employer deducted P.F After one and half years company was closed. Now I am withdrawing the PF amount. Whether this withdrawal is taxable? (P.F account is less than five year )
On withdrawal from RPF at the time of termination of service, the accumulated balance is exempt from tax only if you have been in continuous service for a period of five years or more.
Service rendered to the previous employer is also to be included.
If the continuous service is less than five years due to reasons beyond your control (ill health, or discontinuance of employer's business), you still will be eligible for exemption.
Accordilngly in your case it will not be liable for tax.
Agreed with KAMAL
Naveen Fintech Pvt Ltd
Kolkata
CA Inter
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