Form 15G for EPF Withdrawal – A Complete Guide
When you withdraw money from your Employees’ Provident Fund (EPF), the amount is usually tax-free if your service is more than 5 years. However, in cases where those conditions are not satisfied, Tax Deducted at Source (TDS) may apply. To avoid unnecessary TDS deduction, you can submit Form 15G.
This blog explains what Form 15G is, when it applies in the context of EPF withdrawal, eligibility criteria, the submission process, and common mistakes to avoid.
What is Form 15G? Form 15G is a self-declaration form under Section 197A of the Income Tax Act, 1961. By submitting it, you declare that your total income for the financial year will be below the basic exemption limit, and hence, no TDS should be deducted on your income, including interest or EPF withdrawals. It is primarily used by individuals (other than companies or firms) to ensure that banks, EPFO, or other institutions do not deduct tax at source if your income is below the taxable limit.
Why is Form 15G Important for EPF Withdrawal? ● As per Income Tax Rules, if you withdraw your EPF before completing 5 years of continuous service, the withdrawal becomes taxable.
● In such cases, EPFO may deduct TDS @10% (if PAN is provided) or @34.608% (if PAN is not provided).
● If your total income is below the basic exemption limit i.e ₹2.5 lakh (old regime) OR ₹3 lakh (new regime) in the financial year., you don’t actually owe tax. Submitting Form 15G prevents unnecessary TDS deduction.
Example: Ravi worked for 3 years and accumulated ₹2.8 lakh in his PF account. He resigned and applied for withdrawal. Since his service is < 5 years, EPFO would deduct TDS. But Ravi’s annual income (including PF) is below ₹3 lakh (the exemption limit). By submitting Form 15G, Ravi ensures that no TDS is deducted.
Eligibility Criteria for Submitting Form 15G You can submit Form 15G for EPF withdrawal only if: 1. You are an individual (not a company or firm). 2. You are below 60 years of age. (For senior citizens, Form 15H is applicable instead.) 3. Your total taxable income, including EPF withdrawal, is below the basic exemption limit. ● For FY 2025–26: ● ₹3,00,000 (for individuals below 60 years under the new regime) ● ₹2,50,000 (under old regime, if opted)
Though remember every individual who withdraws the full amount before completing 5 years also has to fill the form 15G mandatory.
How to Fill Form 15G for EPF Withdrawal Filling Form 15G correctly is crucial, because even a small mistake (like wrong PAN or service year) can lead to TDS deduction or rejection of your withdrawal claim. Here’s a field-by-field guide:
Part I – To Be Filled by the Declarant (You) 1. Name of Assessee – Write your full name as per your PAN card and UAN records. 2. PAN of the Assessee – Enter your valid Permanent Account Number. This is mandatory. 3. Status – Select Individual. 4. Previous Year (P.Y.) – Enter the financial year in which you’re making the EPF withdrawal. Example: For withdrawal in FY 2025–26, write 2025–26. 5. Residential Status – Tick Resident Indian. NRIs cannot submit Form 15G. 6–13. Address Details – Fill in your complete residential address (flat number, street, city, state, PIN code, email ID). 6. Telephone / Mobile Number – Provide an active contact number 7. Whether Assessed to Tax – If you’ve filed ITR in any of the last six years, tick Yes and mention the last Assessment Year. Otherwise, tick No. 8. Estimated Income for which Declaration is Made – Write the amount of EPF you are withdrawing. 9. Estimated Total Income of the P.Y. – Include your salary, EPF withdrawal, and any other income expected during that year. 10.Details of other Form 15G filed – If you’ve submitted Form 15G elsewhere (e.g., to a bank for FD interest), mention the total number of forms and total income covered. 11.Details of Income for which Declaration is Filed – ● Identification Number → UAN (Universal Account Number). ● Nature of Income → PF Withdrawal. ● Section → 192A (TDS on PF withdrawal). ● Amount of Income → Withdrawal amount. Finally, sign the declaration at the bottom, confirming that your total income is below the exemption limit.
Part II – To Be Filled by EPFO This section is left blank by you. It will be filled by the EPFO when they process your withdrawal.
Situations Where Form 15G is Needed in EPF ● You are withdrawing EPF before completing 5 years of service. ● The EPF balance (including interest) is above ₹50,000. If your service is 5 years or more, EPF withdrawal is tax-free, and Form 15G is not needed.
How to Submit Form 15G for EPF Withdrawal 1. Online Submission ● ● ● ●
Login to the UAN Member Portal. Go to ‘Online Services’ > ‘Claim19. When filing withdrawal, the system prompts for Form 15G upload if required. Fill Form 15G in PDF format, sign, and upload it.
2. Offline Submission ● Download Form 15G from the EPFO website or Income Tax Department website. ● Fill both Part I (by the assessee) and Part II (by the EPFO). ● Submit the form physically to the EPFO office along with your withdrawal claim form.
Key Points to Remember ● Form 15H vs 15G: ● Form 15G → For individuals below 60 years. ● Form 15H → For individuals above 60 years. ● TDS Threshold: No TDS if EPF withdrawal is < ₹50,000.
● PAN is Mandatory: Without PAN, TDS will be deducted at the highest rate even if you submit Form 15G. ● Final Tax Liability: Even if TDS is not deducted (due to 15G), you must still declare EPF withdrawal in your ITR if taxable.
Conclusion Form 15G is a valuable tool for avoiding unnecessary tax deduction when withdrawing your EPF before 5 years of service. However, it must be used carefully—only if you genuinely fall below the taxable income bracket. Submitting it incorrectly can invite penalties for false declaration. If you are unsure, consult a tax advisor or PF expert before submitting your claim. At the end of the day, the goal is to ensure that your hard-earned savings are not reduced by avoidable tax deductions.
Key Takeaway: Submit Form 15G only if your income is below the basic exemption limit and you’re withdrawing EPF before 5 years. For others, TDS is inevitable, but you can still claim a refund while filing your ITR.
FAQs on Form 15G for EPF Withdrawal 1. What is the income limit for submitting Form 15G? You can submit Form 15G only if your total income is below the basic exemption limit: ● ₹2.5 lakh under the Old Regime ● ₹3 lakh under the New Regime (default from FY 2023–24 onwards) Even though the new regime offers a rebate up to ₹7.5 lakh (from FY 2025–26), this rebate does not extend Form 15G eligibility. For Form 15G, the stricter exemption limit of ₹2.5L/₹3L applies.
2. Why is Form 15G important for EPF withdrawals? If you withdraw EPF before 5 years of continuous service and your balance is more than ₹50,000, EPFO deducts TDS: ● 10% (if PAN is linked) ● 34.608% (if PAN is not linked) Submitting Form 15G ensures no TDS is deducted if your income is below the exemption limit. 3. I don’t fall under the exemption limit slabs. Should I still fill Form 15G? From our experience handling hundreds of PF cases, yes — many EPF offices and systems ask for Form 15G as a process requirement while processing withdrawals above ₹50,000, even if your income is above the exemption limit. While technically you are not supposed to submit it if your income exceeds the limit, in practice, attaching Form 15G often prevents unnecessary rejections or delays.
4. Do senior citizens also use Form 15G? No. For individuals aged 60 years and above, Form 15H must be used instead.
5. Do I need to submit Form 15G if I am withdrawing after 5 years of service? No. If your service is 5 years or more, EPF withdrawal is tax-free, and neither Form 15G nor Form 15H is required.
Source:https://finright.in/blogs/form-15g-for-epf-withdrawal-a-complete-guide/
