Interest on PF deposit above 2.5 lacs

Lila (Job) (490 Points)

20 July 2022  

As per new amendment to PF rules, any interest paid on contribution above 2.5 lacs is taxable in the hands of assesses. This seems to be applicable from FY 2021-22.

Now interest for FY 2021-22 has not yet been credited by EPFO, neither has any TDS been deducted on that. This interest gets credited in the month of Feb of next financial year i.e for FY 2021-22, it will get credited in Feb'23. In such a scenario, how do we show interest in the ITR for FY 21-22? Should we wait till interest gets credited and take this income in the year 22-23.