Important news for 7 crore PF account holders, EPFO made a big change in the rules
EPFO - Important news for the country's seven crore PF account holders. Actually, according to a recent update, let us tell you that EPFO has made a big change in the rules... This information was given in an official statement, which will give great relief to the employees. To know the complete details related to this update, read this news completely-
Breaking News, Digital Desk- (PF Account Transfer) Good news for crores of employed people! Retirement fund body EPFO has simplified the process of transferring PF account.
Now in most cases, employer's approval will not be required when changing jobs. This information was given in an official statement issued on Friday, which will provide great relief to the employees.
Ministry of Labor and Employment gave information-
According to the Ministry of Labour and Employment, earlier Provident Fund (PF) transfer involved two EPF offices - source and destination.
Now, EPFO has introduced 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 at the next office.
This new arrangement will simplify the process for EPFO members. Additionally, this revised system separates the taxable and non-taxable parts of PF accumulation, helping in correct calculation of TDS on taxable PF interest.
The ministry said that a new initiative will benefit more than 1.25 crore members and will speed up the transfer 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.