Tax refund query on tds deducted by employer on pf withdrawal

TDS 345 views 1 replies

I served in company A for 4 years and then in company B for another 4 years. (No gap in between switching companies)

Company A - PF was maintained by the company themselves. Thus at the time of switching jobs i was unable to transfer the PF fund from company A to Company B.

When i quit company B to move abroad - the PF withdrawal amount TDS was deducted at 25%. 
Although i had 8 years consecutive service and PF inflows (2 different PF funds) - tax was deducted.

Question 1) Can i ask for tax exemption as my service was 8 years
Question 2) Can i get tax exemption as in my scenario PF contribution could not have been continued as i moved abroad
Question 2) In case answer to Question 1 or 2 is yes - what is the exact process while filing taxed to get the tax exemption/refund

Replies (1)
1) NO since exemption from tax is not available if period of service is less than 5 years. in your case if amount is transferred from company A to company B . the period of service in company A would be considered and no tax is levied on pf withdrawl. since you have not transferred the amount. entire of withdrawal is taxable.
please elaborate question 2


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