PF early withdrawal

If an individual has withdrawn pf before 5 years. Where to report this withdrawal on ITR3?

TDS was deducted by the EPFO and appearing on 26AS.

Replies (1)

If an individual has withdrawn PF (Provident Fund) before 5 years, they need to report this withdrawal on ITR-3 (Income Tax Return) as follows:

1. _Schedule S_: Report the PF withdrawal under "Income from other sources" in Schedule S.

2. _Section 80C_: If the withdrawal is eligible for exemption under Section 80C, claim the exemption here.

3. _Schedule EI_: Report the TDS (Tax Deducted at Source) deducted by EPFO under "TDS on income other than salary" in Schedule EI.

4. _26AS_: Verify the TDS amount on the 26AS statement and match it with the amount reported in Schedule EI.

Additionally:

- _Note_: If the withdrawal is subject to tax, it will be added to the individual's total income and taxed accordingly.

- _Exemption_: If the withdrawal is eligible for exemption under Rule 8 of the Income-tax Rules, 1962, claim the exemption in Schedule S.

 

 

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