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Exempted Income

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Venkat

76 Points Posted on 01 November 2021

Hi !

Under what section of Income Tax Act 1961 is "Employee's provident fund " annual interest exempted ?

This I'm asking so that the exact section of "Exempted Income " can be selected from drop down list.

Thanks

Replies (8)

Quick Summary

This discussion clarifies that the annual interest earned on an Employee's Provident Fund is exempted under Section 10(11) of the Income Tax Act 1961. It also touches upon Section 10(11A) for Sukanya Samriddhi Accounts and Section 10(12A) concerning recognised provident funds.

CA Aakarsh Jain

10436 Points Posted on 01 November 2021

It is exempted under section 10(11).
please like my reply if you are satisfied, so that I will be motivated to answer more.

CA. Sourav Sarkar

Chartered Accountant

24588 Points Posted on 01 November 2021

Section 10

CA Aakarsh Jain

10436 Points Posted on 01 November 2021

Its section 10(11). 👍

CA. Sourav Sarkar

Chartered Accountant

24588 Points Posted on 02 November 2021

I know that

sabyasachi mukherjee

Profession Business

28246 Points Posted on 02 November 2021

ANNUAL INTEREST CREDITED IN ANY PROVIDENT FUND ACCOUNT IS EXEMPTED UNDER SEC 10 (11) .
SEC 10 (11 A) IS ALSO APPLICABLE AND SHALL NOT BE INCLUDED IN THE TOTAL INCOME OF THE ASSESSE. AS A RESULT THE INTEREST ACCRUING ON DEPOSITS IN AND WITHDRAWALS FROM THE ACCOUNTANT WOULD BE EXEMPTED.(SUKANYA SAMMRIDDHI ACCOUNT)
The accumulated balance due and becoming payable to an employee participating in a recognised provident fund is slow exempted sec 10 (12A)