EPF maturity withdrawal

This discussion clarifies the taxability of EPF maturity withdrawals. If an EPF account is closed before five years of opening, the withdrawn amount is generally taxable. It's split into four parts: employer's contribution and its interest are taxed under salary, employee's contribution is taxed at a special rate if 80C deductions were claimed, and the interest on the employee's contribution is taxed under 'Income from other sources'.