PF withdrawal

where do we need to show the PF withdrawal amount in ITR 1 where the amount is withdrawn before 5 years of service and it is taxable.
Replies (3)

The article here may help you to understand the tax liability and I feel the form to be used is ITR2.

https://economictimes.indiatimes.com/wealth/tax/new-itr-forms-ask-for-year-wise-pf-contribution-details-in-case-of-taxable-withdrawal/articleshow/65715645.cms?from=mdr

1. It will be taxable under the head Salary. It is important to be noted that only employers contribution and interest earned on the same will be taxable under this head. 
2. Employee's contribution will not be taxable provided deductions u/s 80C is not claimed. If the same was claimed as deductions then employee's contribution will also be subject to tax. 
3. The amount withdrawn from PF can be shown as a part of Salary as it is nothing but an accumulation of salary over a period of time. 
Please correct me if the above solution has an alternative view. 

After department brought new ITR forms in Sept 2018 where clarifications were made to PF withdrawals less than five years, such amount where employment was less than five years cannot be filed in ITR1 under Salary income. Because, department has already made provision in ITR2 form for declaring the same and they wish to know the yearwise breakup of five years and not a consolidated view.

 

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
28 August 2026
Assistant Manager

NRS AND ASSOCIATES

Kozhikode

CA Inter

View Details
Company
Featured 06 August 2026
Junior Accounting Associate

Prish Consultancy LLP

New Delhi

B.Com

View Details
Company
ARTICLESHIP 24 August 2026
Article Assistant

M/s.S.G.Salecha & Co.

Mumbai

CA Inter

View Details
Company
ARTICLESHIP 08 August 2026
Article Assistant

Sanath Sheshagiri & Co.

Bengaluru

CA Inter

View Details
Company
ARTICLESHIP 17 August 2026
Article Assistant

K R Kiran Kumar & Associates

Bengaluru

CA Inter

View Details
Company
11 August 2026
Chartered Accountant

Aviv Global Pvt Ltd

Ahmedabad

CA

View Details
Company
25 August 2026
Senior Accountant

MG Associates

New Delhi

CA Inter

View Details
Company
04 September 2026
CA inter Or ca finalist

A Jaiswal and company

Lucknow

CA Final

View Details