Contribution EPF

In order to rationalise tax exemption for the income earned by high income employees, it is proposed to restrict tax exemption for the interest income earned on the employees’ contribution to various provident funds to the annual contribution of ₹2.5 lakh," says the budget document.- inter st earn d on the 250000 is not tax exempt as proposed

Matter not clear. Whether Interest amount will be taxed only in the first year or Interest on Interest of such contribution which have already suffered tax on the first year will also be taxed in the subsequent interest income?

@ Debashish Ghosh

The beauty of ambiguity is such: the above question, both mean the same. Sometimes clients and customers make fun of advisors. Work in a bpo to understand the heights of stupidity.