EPF, a.k.a the Employee Provident Fund, was established in 1952 as a contributory provident fund for the organized sector workforce in India. The EPF amount is available to provident fund holders in the event of retirement or resignation and to their nominees in the event of death. In addition, partial withdrawals from the EPF account are also allowed for specific expenses such as the construction of the house, pursuing higher education, illness, marriage, etc.
However, according to Section 192A of the Finance Act 2015, under specific circumstances, EPF withdrawals attract TDS (Tax Deduction at the Source). Therefore, you need to fill and submit a 15G Form EPFO to your deductor when filing an EPF withdrawal request to avoid any such tax deduction. But what is this EPFO 15G Form, where to find it, and how to fill it and submit it?
Here are all the answers you need regarding the 15G Form EPFO.
When you make an EPF withdrawal of any amount above Rs. 50,000, you become eligible for a TDS deduction. This amount is considered an additional income, taxed just like other income sources, such as dividends or interest earned on fixed deposits. However, if your total income has a TDS of zero, you can claim a non-deduction of TDS on your EPF withdrawal.
Form 15G lets you do that. 15G Form EPFO is essentially a self-declaration form that any individual under the age of 60 or HUF (Hindu Undivided Family) can fill and submit to the Income-tax department. Under sections 197A (1) and 197A (1A), this declaration allows the applicant to claim certain incomes without tax deduction.
Word to Remember
TDS: Tax Deducted At Source. This means that whenever you receive income from sources like salary, interest on deposits or securities, dividends, or the sale of assets, the payor can deduct the applicable tax from the payable amount. You receive the final amount after TDS has been deducted. The payor or deductor is further required to pay this deducted tax to your income-tax department.
- When do you need to fill 15G Form EPFO, and if there are any special criteria or considerations that you must check?
- Where can you find and download the 15G Form EPFO from?
- What key details need to be filled in EPFO 15G Form?
- How to upload form 15G online in EPFO once it is filled?
When To Fill 15G Form EPFO
While the condition of your EPF withdrawal amount is more than Rs. 50,000 is most important. There are other factors that you must consider before filling out form 15G. At times, even when your EPF withdrawal amount is greater than Rs. 50,000, you may not be eligible for a TDS. Therefore, you may not have to submit form 15G at all. These conditions can be:
- When your withdrawal is a transfer, you are merely moving your EPF balance from one account to another.
- When your service is terminated due to ill-health, completion of a contract or project, discontinuation of the employer’s business, or other reasons beyond your control. This would mean that you will have no other primary source of income.
- If and when you withdraw your EPF balance after five years of total service.
Under all other circumstances, your EPF withdrawal will attract a TDS deduction, and to avoid it, you must fill 15G form EPFO.
Did You Know?
Up until 2016, EPF withdrawals above Rs. 30,000 used to attract TDS. However, in the budget for 2016, this figure was revised to Rs. 50,000 by the Government of India. This was a welcome move by EPF account holders as it allowed them to access a substantial amount for various needs without attracting any tax liability.
Where To Find the EPFO Form 15G
Once you have ascertained that you need to fill EPFO 15G form, the next step is finding the form. Form 15G is readily available for download at the following sources:
- Your bank’s net banking portal (if it supports contribution to provident fund and deducts TDS on your fixed deposits)
- The income tax website
- The EPFO website
You can easily find EPFO form 15G pdf on these sources and fill it with relevant details before submitting it to your deductor. The EPFO website also provides the facility to fill the EPFO 15G form online, so you need not submit your form to any deductor and directly file it with the EPFO.
How To Upload Form 15G Online In EPFO
To upload the EPFO 15G form online, you can follow these steps:
- If you are a first-time user, register yourself or login to the EPFO UAN unified member portal (https://unifiedportal-mem.epfindia.gov.in/memberinterface/ ).
- Once in, click on the ‘Online Services’ option for filing an EPF withdrawal or claim.
- Confirm the last four digits of your bank account before submitting the withdrawal request.
- Now, click on the ‘I want to apply for’ dropdown menu, and select the ‘Upload form 15 G’ option.
Did You Know?
Just like EPFO 15G form, there is another form called 15H. You don’t have to fill out both forms to save TDS on your EPF withdrawal. However, form 15H has to be filled by senior citizens when making a withdrawal from their EPF account, just as EPFO 15G form is meant for anyone under the age of 60.
Key Details to Fill In 15G Form EPFO
Whether you want to submit the 15G form EPFO to your bank’s net banking site, your TDS deductor, the income tax site, or the EPFO portal, the form and the details that need to be filled remain the same. These are the details that you need to fill in the 15G form EPFO carefully:
- Assessee Name (Declarant): Your name, as mentioned on your PAN card (the spellings must match).
- Assessee PAN: Your valid PAN number.
- Income Tax Status: Whether you are filing as an individual, HUF, or AOP (Association of Persons).
- Year: Select the previous year when filing Form 15G to claim non-deduction of TDS.
- Residential Status: Whether you are a resident or non-resident Indian. (NRIs are not allowed to file 15G form EPFO).
- Address: Your residential address with PIN code.
- Email id and Phone No.: Your valid email id and phone no for communication purposes.
- Tax Assessment Details: Whether you filed for tax returns in a previous assessment year, and if so, which was the latest year.
- Estimated income: This income is the one for which the TDS assessment will be made.
- Total income of previous year: Income from all sources, including the estimated income.
- Form 15G filing in the previous year: If you have filed a 15G form before, you must indicate the year for the same.
- Income details: Fill in income, the amount of income to be assessed for TDS, the account number for deposits, insurance policy, mutual funds, etc., through which interest income or otherwise is generated.
Therefore, once all the details are filled, verify the information to ensure no errors or inconsistencies. Now you can upload the EPFO 15G form online and avoid any additional TDS on your EPF withdrawal.
Did You Know?
Providing a valid PAN number is mandatory while filing the EPFO 15G form. If your PAN card is submitted to the deductor, but you forget to submit form 15G EPFO, then your EPF withdrawal will be subject to a 10% TDS. But, if you fail to provide a valid PAN number and don’t bother filing form 15G either, then your EPF withdrawal will be subject to a TDS of 34.608%!
In conclusion, 15G form EPFO can save you from an additional tax burden when your total income for a financial year is non-taxable. However, falsely claiming non-TDS benefits or misreporting your income can expose you to penalties like monetary fines and imprisonment under Section 277 of the Income Tax Act, 1961.
Therefore, knowing when to fill out the form is very important, as any change in your conditions can make your EPF withdrawal rightfully eligible for TDS. Before downloading the EPFO 15G form PDF or filling the EPFO 15G form online, ensure that your total income, withdrawal amount, and withdrawal conditions qualify you for non-deduction.
No, 15G form EPFO is applicable for a single assessment year only and must be filled in every year you make an EPF withdrawal of more than Rs.50,000.
Yes, if you are making EPF withdrawals of more than Rs. 50,000 in multiple years, you can fill out form 15G in multiple assessment years. But, you must ensure that you are eligible for non-TDS deduction benefits in all years.
No, only an individual or HUF can file 15G form EPFO.
While you may submit form 15G to all deductors to save tax deductions, it’s unnecessary. Instead, you can simply submit the form online to the EPFO UAN portal.
Banks and AMCs will deduct TDS if your interest income exceeds Rs. 10,000 for a given financial year. Filing EPFO 15G form will not save you from your applicable tax liability.