Provident fund

time limit of 5 year is not applicable in case of providend fund.

If withdraw from pf then nothing would be taxable. here no point of both taxable or exempt.

no matter if deduction was taken in 80c.

Dear Anuj, please check.  I remember if the amount is withdrawn from PF account before 5 years, it becomes taxable. Total amount withdrawn will become taxable under the head salaries.

hello anuj

if amount is withdrawn form PF with in 5 years then it is taxable

Employee Share - 780 Exempt

Employer Share & Interest on Employer Share - Taxable under head Salary

Interest on Employees Share - Taxable under head other source

thanks to all friends....the veiws given by each users are different..so i m still confused...thanks sumit  for giving detailed explanation   ....... can u tell me the effect on 80C already claimed.

Hi,

a person was employed for 6 years with three employers and while joining new employer, he used to get PF transfer. Now he is joining employment abroad. 

Would his withdrawl from PF be taxed now?

Also can the proceeds from withdrawl not be recieved in joint a/c?

Regards,

Amit 

Hello Anuj ,

Deduction under 80 C is allowed only on the employee contribution ( not for employer's contribution ) , if the amount was withdrawn later on ( with in 5 years ) still it was exempt .

bcoz employee contribution was exempt when PF amount was withdrawn whether with in 5 years or after 5 years

Hello Amit,

if the amount is withdrawn with in 5 years , then the amount is taxable

if you tranfer the PF account ( with in 5 years ) , then the same is exempt

so in the current case u are withdrawing the amount after 5 years so it is exempt

Hello Amit

You Cannot take the PF money in Joint Account

Sumit,

even if member is first holder in a/c?

Regards and thanks,

Amit

According to me  -  -  yes , u cannot take the money in th joint account even if member is first holder in a/c.