EPF refunds


I have quit my job and don’t plan to work with any other company as I am starting out my business. How can I get my EPF funds?



If salaried individuals wish to withdraw their EPF account balance, they have to submit form 19 to their ex-employers or to the EPF office. To complete the withdrawal procedure, members have to submit various other documents, namely, resignation letter and a cancelled cheque in addition to form 19 to the EPFO.

It is important to note that withdrawal of the EPF account by a salaried employee between switching jobs his or her jobs is illegal. As per PF withdrawal rules, a salaried employee can withdraw a provident fund account balance on two counts; first, if he or she has no job and second, if two months have elapsed since his or her last employment (not attached to any organization or unemployed for 2 months).

If a salaried employee opts for withdrawal after continuous service of five years or above, there will be no TDS deduction on the amount. It is important to note that if withdrawal is made before the completion of five years of continuous service, the amount withdrawn will be taxable. EPF withdrawal will attract TDS deduction at the rate of 10% (in cases where PAN is registered) or up to a maximum of 30%.

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BB Expert