Latest news with #EmployeesProvidentFundOrganisation
India Today
3 days ago
- Business
- India Today
EPFO raises auto-settlement limit to Rs 5 lakh for faster fund access
The Employees Provident Fund Organisation (EPFO) has announced a major enhancement to its auto-settlement limit, increasing it from Rs 1 lakh to Rs 5 move, revealed by Union Labour Minister Mansukh Mandaviya, is designed to facilitate faster fund access for countless EPFO members, particularly during times of urgent financial need.A MOVE FOR QUICK FINANCIAL ACCESSThe EPFO initially introduced the auto-settlement of advance claims during the COVID-19 pandemic to offer quick financial assistance. Over time, this system has been extended to cover advances for illness, education, marriage, and housing. These claims are now handled entirely by the system, without human intervention, ensuring faster processing and greater transparency, said the Union GROWTH IN AUTO-SETTLEMENTS In the fiscal year 2024-25, the EPFO processed a record 2.34 crore advance claims through the auto-settlement process, marking a 161% increase compared to the previous fact, 59% of all advance claims last year were settled through the auto mode, up from just 31% in 2023-24. Further, in the first two-and-a-half months of FY 2025-26, the EPFO has already cleared 76.52 lakh claims automatically, which is 70% of all advance claims, stated the RECOGNITIONThe Minister also shared that the International Labour Organisation (ILO) has praised India for its efforts to expand social security. According to the ILO, 64.3% of the Indian population, which is around 94 crore people, are now covered under at least one social protection is a major leap from 2015, when only 19% of the population had such coverage. In terms of the number of beneficiaries, India now ranks second in the world.- EndsMust Watch
The Hindu
4 days ago
- Business
- The Hindu
EPFO enhances auto settlement limit for members
The Employees Provident Fund Organisation (EPFO) has enhanced the auto-settlement limit for advance claims from ₹1 lakh at present to ₹5 lakh. Union Labour Minister Mansukh Mandaviya told reporters here on Tuesday (June 24, 2025) that the move will help lakhs of EPFO members to receive funds faster, especially in times of urgent need. The Minister said the EPFO had first introduced auto-settlement of advance claims during the COVID-19 pandemic to provide quick financial assistance to members. 'Since then the facility has been extended to cover advance claims for illness, education, marriage, and housing purposes. These claims are processed automatically by the system without any human involvement, ensuring quick turnaround and transparency,' he said. He said the EPFO had taken a series of reforms to make EPFO services faster, transparent and user-friendly. Mr. Mandaviya added that in 2024–25, EPFO processed a record 2.34 crore advance claims through auto-settlement, a 161% increase compared to 89.52 lakh claims in 2023–24. 'Notably, 59% of all advance claims in 2024–25 were settled through the auto mode as compared to 31% in 2023-24. Further, in just the first 2.5 months of FY 2025–26, EPFO has already auto-settled 76.52 lakh claims, constituting70% of all advance claims settled so far,' he said. Increase in Social Protection Coverage The Minister claimed that the International Labour Organisation (ILO) has appreciated the efforts of Narendra Modi Government to expand social security network. 'ILO acknowledged India's achievement and officially published on its dashboard that 64.3% of India's population, i.e. over 94 crore people, are now covered under at least one social protection benefit. In 2015, this figure was just 19%. In terms of beneficiary count, India now ranks second in the world, providing social protection to around 94 crore citizens,' he said adding that the Director General of the ILO praised India's focused welfare policies for the poor and labour class.
The Hindu
5 days ago
- Business
- The Hindu
EPFO, ESIC outreach programme in Coimbatore and the Nilgiris on June 27
The Employees Provident Fund Organisation (EPFO) and Employees State Insurance Corporation (ESIC) will jointly conduct Nidhi Aapke Nikat 2.0, an outreach programme, in Coimbatore and the Nilgiris on June 27. The programme will be held at Sri Ramalinga Sowdambikai College of Science and Commerce in Coimbatore and at the TANTEA Guest Housing at Pandalur in the Nigiris between 10.30 a.m. to 12.30 p.m. EPF members, ESI IPs, Employers, Pensioners and trade unions can visit the convenient venue with details of the grievance/issues they faced. Additionally, any grievances related to EPFO can be shared via e-mail at and for ESIC related grievances, they could mail to benefit-srokovai@
Hans India
15-06-2025
- Business
- Hans India
EPFO official arrested by CBI for taking Rs 10K bribe
Bhubaneswar: An official of the Employees Provident Fund Organisation (EPFO) was arrested by the CBI for taking a bribe of Rs 10,000 from a chartered accountant for approving applications about two companies, an official said on Saturday. Anil Rath, Senior Social Security Assistant (SSSA), EPFO Regional Office, Berhampur, was allegedly harassing the complainant by delaying the approval, the official said. A case was registered by the CBI on June 12 against Rath on the basis of a complaint filed by Suraj Kumar Dash. He was booked for the offence of demanding undue advantage/bribe by a public servant under the Prevention of Corruption Act and criminal conspiracy under the Bharatiya Nyaya Sanhita (BNS). Rath allegedly demanded a bribe of Rs 10,000 from the complainant to approve the Authorised Signatory Application of two employers -- Jai Jagannath Infratech and Uttam Padhi, on the EPFO Portal. Dash said the application was repeatedly rejected by Rath between March and May on the grounds of incomplete documentation. 'I visited the EPFO (Regional Office, Berhampur) again on June 11 to find out the reason why the application is under process where PRO Anil Rath demanded Rs 10,000 (for two employers at the rate of Rs 5,000 per company) to approve the Authorised Signatory Application,' said Dash in his complaint. After negotiation, the accused agreed to accept a bribe of Rs 10,000 from the complainant, the CBI said. On receiving a complaint from Dash, CBI, ACB, Bhubaneswar verified it on June 12.
Time of India
09-06-2025
- Business
- Time of India
EPF 3.0: Withdraw PF by swiping from ATMs
Theoretically, the money lying in our provident fund, or PF, account, is touted as our safest asset class, not subject to any attachment or lien or any market volatility. Practically, though, the very idea of taking out this money makes us fret, courtesy the cumbersome process of making claims for PF withdrawal and the associated long waiting periods for requisite approvals from the Employees Provident Fund Organisation (EPFO). However, the situation is going to change as the EPFO is rolling out its upgraded platform EPFO 3.0, most likely in June, for its 9 crore members. EPF members will be able to take out their PF money instantaneously via ATMs, just like from bank accounts, simply by swiping their PF withdrawal (ATM) cards. For such withdrawals, the members will need to keep their Universal Account Number (UAN) activated and seed their Aadhaar in their bank accounts. The EPFO has extended the last date for activating UAN and Aadhaar seeding in bank accounts to June 30. Currently, for PF withdrawals, EPF members are required to fill their online composite forms on the EPFO website. Though the specified period for settling such composite claim forms by the EPFO is 20 days, in reality, it takes much longer to get one's PF money. With the upcoming UPI integration and withdrawal facility via ATMs, PF withdrawal settlement is set to become swift and hassle-free. The withdrawal limit is expected to be kept at Rs.1 lakh or 50% of the accumulated balance. However, an official notification from the EPFO in this regard is still awaited. Pull-out provisions Live Events Withdrawal from EFP account is permitted for multiple purposes, albeit under certain conditions and till a specified limit. Here are some common instances of taking out PF money. This well-intended reform of enabling PF withdrawals via ATMs is revolutionary indeed. However, the practical implementation of this enabling functionality will be subject to the fulfilment of existing prescribed conditions for partial and full withdrawal of PF money by members. According to the scheme of the Employees Provident Fund & Miscellaneous Provisions (EPFO) Act, 1952, EPF members can withdraw their entire balance of fund contributions at the time of retirement from service. The rules also permit partial withdrawals by EPF members during the continuity of their service, for certain specified purposes and subject to the fulfilment of prescribed conditions. For a bird's eye view of the same, refer to the graphic. Tax implications This watershed moment in PF reforms may have its fair share of tax implications too, with which everyone must be acquainted. Unlike bank balance withdrawals, not all EPF withdrawals via ATMs will be tax free. According to Rules 8 and 9 of Part A of the Fourth Schedule to the Income Tax Act, withdrawals are tax-free only if they are made out of recognised EPF accounts and after rendering continuous service of five or more years with one or more employers. Paradoxically, the current time-consuming and tedious process of submitting claims to take out money, and getting approvals, inherently acts as a disincentive or a deterrent for EPF members from making frequent and early withdrawals. Given the practical difficulties, EPF members usually prefer to wait till retirement to withdraw their funds. However, the upcoming EPFO 3.0 facility for withdrawals via ATMs is naturally going to tempt EPF members to take money out of their PF account, more frequently and much before the completion of five years of continuous service. This, in turn, will make such withdrawals taxable at the applicable slab rates of the concerned EPF members, as per the provisions of the Income Tax Act. TDS on early withdrawals Another practical consideration to be mindful of while taking out PF money from ATMs will be the applicability of tax deducted at source (TDS) provisions. Any PF withdrawal via ATMs in excess of Rs.50,000 before completion of five years of service will require TDS at 10%, as per Section 192A of the Income Tax Act on premature withdrawals. Thus, the tempting urge of withdrawing one's PF money by just a swipe of the card needs a cautious and well-informed restraint. Provident fund money is our retirement corpus, so we should swipe it carefully. The author is founder, Taxaaram India and Partner, S M Mohanka & Associates
