Taxability of PF withdrawn at the time of leaving service.

[Shrikant Shirodkar]

I have been in service of a Company for last one and a half year.

Company has its own trust for handling PF; it is not deposited with PF office.

I am leaving the service now. What portion of the PF will get taxed when I withdraw the same.

Additonal Information:-

I am not going to be in employment from now on and this is my last job.

[Guest]

if trust is recognised by the  EPFO than it can be  exempted for you.

[CAGOPALJI AGRAWAL]

If withdrawals are made before five years of contribution, then barring few exceptional cirumstances (which does not seem in your case), the withdrawal is taxable.

AI Summary

PF withdrawal taxability: EPFO recognition and minimum service period determine exemption or taxability on leaving employment. Taxability of provident fund withdrawn on leaving service depends on EPFO recognition of the employer's trust for exemption; withdrawals made before completion of the five-year minimum membership period are generally taxable except for narrowly defined statutory exceptions.