Finance Minister Mr.Arun Jaitley, today announced that the proposal to tax 60% of EPF withdrawal amount in the Union Budget presented in the Parliament was withdrawn. The Finance Ministry has clarified later after budget that the tax will be applicable only on the interest amount, but due to the opposition raised from various sectors including trade unions, political parties and even by RSS was taken in to consideration and Prime Minister Mr.Narendra Modi’s office has directed to reconsider the proposal.

Today Finance Minister Mr.Arun Jaitley announced in the Lok Sabha that proposal to tax interest on 60% of withdrawal from EPF was withdrawn.