An EPFO circular (No. WSU/6(1)2019/TDS) has been introduced about balance due & payable not liable for TDS under Section 192A of Income Tax Act, 1961 on certain situations.
More Details on Circular
EPFO vide circular No. WSU/6(1)2019/TDS has drawn attention to all Addl. CPFC of Zones and all regional P.F commissioners/OIC of regional office that accumulated balance due and payable to the employee is not liable for TDS under Section 192A of Income Tax Act, 1961 on these situations:
- if he has rendered continuous service with his employer for a period of five years or more or
- if he though he has not rendered such continuous service, the service has been terminated by reason of
- the employees ill health or
- by the contraction or discontinuance of the employers business or
- or other cause beyond the control of employee or
- if on cessation of his employment the employee obtains employment with any other employer to the extent amount of such accumulated balance is transferred to his individual account in any recognised provident fund maintained by other such employer.
The period of continuous services is counted for the purpose mentioned above under (a) & (b) above.