The Government had notified raising the threshold limit for TDS on EPF withdrawals from the existing Rs.30,000/- to Rs.50,000/-.

The Finance Act, 2016 had amended section 192A of Income Tax Act to raise the threshold limit of PF withdrawal from Rs.30,000/- to Rs.50,000/- for Tax Deducted at Source.The provision will came effect from 01-01-2016.

TDS rate is 10%, provided the PAN is submitted. However, in case 15G (for senior citizens above 60 years) or 15H (claimants below the age of 60) is submitted by the member, no TDS is deducted. If PAN is not furnished or 15G/15H is not submitted TDS is deducted at maximum marginal rate of 34.608%.

TDS shall not be deducted in case of transfer of PF from one account to another and in case of withdrawal after 5 years.