Hello Pankaj, I worked for a company for 3yrs 10months. Then i didn;t anywhere for 1 and 1/2 yr. The I applied for PF withdrawal thinking that 5yrs completed so no tax will be deducted. But they deducted 30% tax(maximum possible) amount. When i ask them why it is like that they told to file ITR to gt return of extra tax deducted. My contribution is 58K and remaining is 59K whcih includes interest on my contribution and employer contribution. If i hve to file ITR how much i need to specify under taxable income. is it total og both amount or only employer contribution plus interest amounts? Recently i started career again and my taxable incoe is at 1.3Lkh only. so i received form 16s now i need to file ITR. please help me. Regards Supraja
1 Answers
In case five years of service is not completed, income tax is payable on PF withdrawal. But only employer contribution and interest on both employer and employee contribution is taxable.
While filing income tax return, you can add taxable portion to your income and compute tax. Whatever is extra tax paid will be refunded to you.
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