Tds deducted on pf due to incomplete info

TDS 132 views 1 replies

Hi - I left my last company and applied for PF Withdrawal. 10% TDS was deducted from overall amount, though my experince was 12 years. I checked and came to know this is due to my DOJ wasn't updated correctly by my 2nd last company. I raised grievance with EPF dept and they asked me to claim same in IT return.

In case IT dept come back on this, as there is no formal document from PF Dept about this change,  Can it be a probelm. 

If yes, what can I do in this case. I have all PF and experience letter to prove the situation and my company corrected the DOJ.

Replies (1)
A different take on this shall be as follows:
Tds is not a tax levy but a withholding of tax. When you may file your return, show the amount received from PF as exempt (Rule 8, Part A of fouth Schedule) and claim the excess TDS deducted. This will indirectly adjust your tax burden. When the assessment will be raised (if any), then you can show the Officer all your proofs.


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