Overview of the New Rule
With effect from April 16, EPFO new withdrawal policy allows an account holder to withdraw up to INR 1 Lakh for medical treatments. This announced is made via a circular which allows an account holder to claim up to INR 1 Lakh for the treatment of illnesses for themselves or their family members.
Previous limit
Previous limit was INR 50,000 which is increased to INR 1 Lakh.
How to claim withdraw up to INR 1 lakh
- Log in to EPFO website
- Click on Online Services, selecting relevant forms
- Once online claim complete click on 'Proceed for Online Claim' and fill out Form 31 along with Certificate C signed by both an employer and a doctor to avail of this benefit.
- Upload a copy of a check or bank passbook and enter the address details.
- And Submit after Aadhaar OTP verification.
Provision 68 JK
Withdrawals under Provision 68 JK are for medical emergencies, the patient must be admitted to a government hospital or one affiliated with the government.
Private hospital claiming process for Medical Emergencies under Provision 68 JK
Private hospital claims undergo investigation and they require a treatment receipts within 45 days for settlement.
What is Form 31
The EPF form 31 is required to be filed as it helps to claim for partial withdrawal of funds from EPF Account. Withdrawals are limited to six months of basic wages and dearness allowance which means an account holder cannot claim more than six months of basic wages and DA under these provisions.
Purposes for Form 31 Withdrawals
- Para 68B: Withdrawal for buying a house/flat or constructing one, including site acquisition.
- Para 68BB: Withdrawal for loan repayment in special cases.
- Para 68H: Advances in special circumstances.
- Para 68J: Withdrawal for medical treatment of illness,
- Para 68K: Withdrawal for marriage or post-matriculation education expenses.
- Para 68N: Provides advances for physically challenged members.
- Para 68NN: Withdrawal within one year before retirement.
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