PF Account Transfer: Good news for crores of employed people! Retirement fund body EPFO has simplified the process of transferring PF accounts. Now in most cases, the employer's approval will not be required to change jobs. This information was given in an official statement issued on Friday, which will give great relief to the employees.
Ministry of Labor and Employment gave information-
According to the Ministry of Labor and Employment, earlier Provident Fund (PF) transfer involved two EPF offices - source and destination. Now, EPFO has launched a new Form-13 software. With this change, the need for approval of transfer claims by the destination office has been eliminated, making the process simpler and faster.
What is the detail-
Once the transfer claim is approved at the parent office, the previous EPF account will automatically be transferred to the member's current account in the next office. This new arrangement will make the process easier for EPFO members. Additionally, this revised system segregates taxable and non-taxable parts of PF accumulations, thereby helping in the correct calculation of TDS on taxable PF interest.
The ministry said the new initiative will benefit over 1.25 crore members and speed up transfers of about ₹90,000 crore annually. Under this process, a facility has also been introduced to instantly credit funds into members' accounts by merging multiple UANs based on member ID and other information.
Disclaimer: This content has been sourced and edited from Hr Breaking. While we have made modifications for clarity and presentation, the original content belongs to its respective authors and website. We do not claim ownership of the content.
