EPFO Online: Want to claim money from dormant EPF account? Rs 26,497 crore unclaimed amount at stake; Do this at epfindia.com
EPFO Online: According to the EPFO, around Rs 26,497 crore of the unclaimed amount is lying idle in the dormant EPF accounts.
EPFO Online: Provident Fund (PF) is a long-term mandatory investment for a salaried individual. The Employees' Provident Fund Organisation (EPFO) handles the Employees' Provident Fund (EPF). However, due to job loss, job switch and some other reasons, it has been found that a large number of EPF accounts have become dormant and a huge amount of EPF balance is lying unclaimed. According to the EPFO, around Rs 26,497 crore of the unclaimed amount is lying idle in the dormant EPF accounts. According to the tax and investment experts, one should claim one's money from the dormant EPF account within 7 years of dormancy, otherwise, the money will be deposited into the Senior Citizen Welfare Fund by the EPFO.
Speaking on when an EPF account will become a dormant EPF account and what will happen if the money remains unclaimed, Jitendra Solanki, a SEBI registered tax and investment expert said, "If the monthly EPF contribution doesn't come into an EPF account for 36 months then the EPF account becomes dormant." However, Solanki maintained that one can withdraw the EPF balance even after dormancy but it has to be done within seven years of dormancy otherwise the EPFO will transfer the unclaimed money in the dormant EPF account into the Senior Citizen Welfare Fund.
See Zee Business Live TV streaming below:
Highlighting the income tax clause in the EPF withdrawal Manikaran Singhal, a SEBI registered tax and investment expert said, "If the PF withdrawal happens before 5 years continuous contribution of the monthly PF contribution means if your PF account is less than 5 years old, then you PF withdrawal is subject to income tax." Singhal suggested that one can withdraw one's money lying idle in the dormant EPF account by using EPFO online services.
According to the EPFO, one can claim one's money lying idle in the dormant EPF account via EPFO online services. Here is the step by step guide to claiming money lying in the dormant EPF account:
1] Log in at the official EPFO website epfindia.com;
2] Select 'For Employees’ on the home page and click at ‘Inoperative A/c Helpdesk’;
3] you will be redirected to a new web page where you have to select ‘(a) First Time User Click Here to Proceed’;
4] There you will get ‘Problem Description’, where you need to answer why you EPF account has been dormant;
5] After doing this, you have to fill-in all details of the dormant EPF account and click at 'Next';
6] In the next page you will have to fill up your KYC details like Aadhaar number, PAN number, bank account number and IFSC code;
7] Then click at 'Generate PIN';
8] EPFO will send PIN on your registered mobile number;
9] Enter the PIN and click at 'Verify PIN and Submit';
10] After the successful PIN verification, you will receive an SMS that contains your reference ID. You will also receive an ‘Acknowledgement’ on your screen;
11] Then log on to the Helpdesk log in as a registered member and enter your mobile number and reference number to check the status of your EPF withdrawal application; and
12] The request will be transferred to the field officer, who will then get in touch with you personally and assist you on steps to be taken further.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.