I am an NRI for the last few years and recently quit my Indian Company last Financial year after 16 years of continuous Service. My company and me have been contributing the requisite amounts as per law to the EPF account till resignation.I have not made any voluntary additional contributions to the EPF. I applied for withdrawal of EPF lumpsum with the reason of "Permanent Migration From India". My company has not charged any TDS on the withdrawn TDS amounting to 18 lakh except on interest for the 3 month period after I left the organisation. I am aware that the interest for the period after leaving the organisation is taxable under "Income from other sources" and hence have no problem with that. I have the following queries:
1) Is tax applicable on the Employee contribution and its interest for the 16 years of EPF accrual during employment. If yes, how and where do I declare that in the current Assessment Year in ITR 2?
2) Under the Exempted allowance of Section 10 (12) should I declare the entire withdrawn amount of 18 lakh, OR only the employer contribution, employee interest and employer interest accrued over the last 16 years OR some other combination?
3) How do I compute the above as my company has only provided the employee contribution and interest amount as one value and the employer contribution and interest amount as one value.
4) Should I be declaring any other amount in ITR 2 with respect to my EPF withdrawal?
CAclubindia
