In case of PF withdrawal before 5 years of service, there is TDS of 10% and it is taxable.
My question is whether there is flat tax rate for this or chargeable as normal Slab rate?
Is this possible it will be charged at 30% in case of Higher slab applicable.
Menu
Tax on PF withdrawal
Replies (8)
Quick Summary
MMR IS USED WHEN EMPLOYEE HAS NOT FURNISHED PAN
What is treatment when PAN furnished? What is MMR
After completion of 5 years of employment on TDS if not amount is more than 50k then TDS @ 10%
My question is different... in case of PF withdrawal before completion of 5 years. How it will be taxed, taxable as per slab rate or any flat tax rate available?
Individual hence slab rate while calculation of tax for year end
Ok thanks, I can planning like..... I will withdraw PF in the year in which I have low income so that Tax liability will reduce. In the FY 2019-20, My income is 7 lac and I will withdraw PF of Rs. 6 lac in this year mean my total income will be 13 lac. Can I withdraw in next year because next year my income will reduce?
Tax planning is up-to you to decide, but tax treatment is as told by Mohit.
Ok thanks
Recent Topics :
- MR AASHOK KUMAR SHARMA
- NIC codes for FIRMS registration of entity
- Register on Income Tax as CA
- Deduction In Employee Provident Fund
- This is a gift for all Chartered Accountants and P
- NRI, ITR-2 FY 2025-26: AIS Part B2 (SFT) shows hig
- Wallet query for GST.
- 25-26 exempted sales
- Hotel stay below Rs.1000/- GST applicable or exemp
- NRI, ITR-2 FY 2025-26: AIS Part B2 (SFT) shows hig
Related Topics :
CAclubindia
