Dear Friends,
As per Existing section 10(12), interest accrued on PF account of the employees upto 9.5% and employer's contribution upto 12% of salary is exempt. New notifications has been isssued no 69/2010 by the ministry of finance for reducing interest rate.. As per the Notification 69/2010, interest accrued to PF account of employee not exceeding 8.5% would be exempt u/s 10(12). For u'r confirmation, U can also visit income tax department site.
notification no. is 69/2010 dated 26th august, 2010
regards,
Manoj
CAclubindia
