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Can I Close My Previous PF Account: A Guide to Withdrawing EPF Balance

“Closing a Previous PF Account: Exploring the Possibility. Discover the necessary steps, requirements, and potential implications involved in closing your previous Provident Fund (PF) account. Gain valuable insights to make an informed decision regarding your financial future.”

Conditions for closing a previous PF account

To close a previous PF account, there are certain conditions that you must meet. These conditions include:

1. Leaving the job or retiring: You can only close your previous PF account if you have left your job or have retired. If you are still employed, you cannot close your PF account.

2. Completion of service period: In order to withdraw the entire amount from your PF account, you must have completed a minimum service period of five years. If you have not completed five years of service, you can only withdraw a partial amount from your PF account.

3. Submission of necessary forms: You need to submit the necessary forms to the EPFO (Employees Provident Fund Organization) in order to initiate the process of closing your PF account. These forms include Form 19 (for final settlement), Form 10C (for pension withdrawal), and Form 15G/15H (if applicable).

4. Verification of details: The EPFO will verify the details provided by you in the forms and cross-check them with their records. It is important to provide accurate information to avoid any delays in the closure process.

5. Settlement of dues: Before closing your PF account, it is important to settle any outstanding dues or loans that you may have with your employer. This includes any pending EMIs or loan repayments.

6. Compliance with tax regulations: You must ensure that all tax regulations related to PF withdrawal are followed. If required, you may need to provide your PAN card details or submit Form 15G/15H for claiming exemptions from TDS (Tax Deducted at Source).

7. Valid bank account: You should have a valid bank account linked with your UAN (Universal Account Number). The EPFO will transfer the withdrawn amount directly into this bank account.

8. Declaration of intention: Lastly, you need to declare your intention to close your PF account by submitting the necessary forms and documents to the EPFO. This declaration should be made in writing and should clearly state your reasons for closing the account.

Documents required:

– Form 19 (for final settlement)
– Form 10C (for pension withdrawal)
– Form 15G/15H (if applicable)
– PAN card (if applicable)
– Bank account details
– ID proof (Aadhaar card, passport, etc.)
– Address proof

Steps to close a previous PF account:

1. Download and fill out the necessary forms like Form 19 and Form 10C.
2. Submit the forms along with the required documents to your employer or directly to the EPFO office.
3. The EPFO will verify the details provided and initiate the closure process.
4. Once the closure process is complete, you will receive the withdrawn amount directly into your bank account.

It is important to note that closing a previous PF account can take some time, so it is advisable to start the process well in advance of your retirement or job change.

Possible to close a previous PF account before retirement?

Currently, it is not possible to close a previous PF account before retirement. As per the Employee Provident Fund Act 1952, an employee can only withdraw the entire amount and close the EPF account after retirement. However, there are certain conditions where an employee can claim the EPS (Employee Pension Scheme) amount before retirement.

Conditions for claiming EPS amount before retirement:

1. If an employee has not completed 10 years of service but has left the company or retired, they can claim both EPS and PF amounts by filling out the Composite Claim form and selecting ‘pension withdrawal’ and ‘final PF balance’.
2. Employees who have completed their service period of 10 years and are between the ages of 50 and 58 can easily claim an early pension by filling out the Composite Claim form and Form 10D for the scheme certificate.
3. If an employee’s service period is more than 10 years but they are less than 58 years of age, they cannot withdraw their EPS amount. They can fill out the Composite Claim form and Form 10C, but will receive their pension amount after attaining 58 years of age.
4. Employees who are 58 years of age and above are eligible to get the full amount and can claim their pension by submitting Form 10D.

Although closing a previous PF account before retirement is not currently possible, understanding these conditions can help employees plan their withdrawals accordingly.

Documents required to close a previous PF account

To close a previous PF account, you may need to submit certain documents as per the requirements of the Employee Provident Fund Organization (EPFO). The specific documents required may vary based on factors such as your employment status, tenure with the company, and reason for closure.

Commonly required documents for closing a previous PF account:

1. Composite Claim form: This form is used to apply for the withdrawal of PF amount and may require details such as UAN (Universal Account Number), bank account information, and attestation from your employer.
2. Form 10C: This form is used to apply for pension withdrawal and may be applicable if you meet certain conditions, such as completing 10 years of service but being less than 58 years of age.
3. Form 10D: This form is used to claim a monthly pension and may be required if you have completed your service period of 10 years and are between the ages of 50 and 58.

It is important to check with the EPFO or consult with your employer to determine the specific documents needed for closing your previous PF account. Providing accurate and complete documentation can help facilitate the closure process smoothly.

Withdrawing entire balance from a previous PF account

If you have a previous PF account and wish to withdraw the entire balance, you can do so after retirement as per the rules specified by the Employee Provident Fund Organization (EPFO). Withdrawing the entire balance involves following a set procedure, either online or offline, depending on your preference.

Procedure for withdrawing entire balance from a previous PF account:

1. Online method:
– Visit the official website of EPFO.
– Enter your UAN (Universal Account Number), password, and captcha code to sign in.
– Under the ‘Online services’ tab, click on ‘Claim (Form-31,19,10D & 10C)’.
– Fill in all necessary information requested.
– Verify the information provided.
– Select ‘yes’ to sign the ‘Certificate of Undertaking’.
– Choose ‘only PF withdrawal (Form 19)’ from the drop-down menu.
– Enter your complete address and complete the necessary steps to get Aadhaar OTP.
– Enter the OTP received on your registered mobile number.
– Submit your application.
– Upon successful submission, a reference number will be generated.
– Within 15-20 days, the full amount will be credited to the bank account linked with your UAN.

2. Offline method:
– Download the Composite Claim form (Aadhaar or non-Aadhaar) from the official website of EPFO.
– For the Composite Claim form (Aadhaar), fill it out and submit it to the respective jurisdictional EPFO office without requiring attestation from your employer.
– For the Composite Claim form (non-Aadhaar), fill it out and submit it to the jurisdictional EPFO office along with attestation from your employer.

By following these steps, either online or offline, you can withdraw the entire balance from your previous PF account after retirement.

Processing time for closure of a previous PF account

Processing time for closure of a previous PF account
The processing time for the closure of a previous PF account depends on various factors, including the mode of withdrawal chosen by the individual. If the withdrawal is done through the online portal of the Employees’ Provident Fund Organization (EPFO), it usually takes around 15-20 days for the amount to be credited to the bank account linked with the UAN (Universal Account Number). However, if the withdrawal is done offline by submitting physical forms to the EPFO office, it may take slightly longer for the processing to be completed.

It is worth noting that delays in processing time can occur due to various reasons, such as discrepancies in documentation or incomplete form submission. To ensure a smooth and timely closure of a previous PF account, individuals should carefully follow all instructions provided by the EPFO and submit all required documents accurately.

Documents Required for PF Account Closure:

1. Composite Claim form (Aadhaar or non-Aadhaar)
2. Scanned copy of passbook or chequebook
3. UAN (Universal Account Number)

Factors that can affect Processing Time:

1. Accuracy and completeness of submitted forms and documentation
2. Verification process conducted by EPFO
3. Pending employer approvals, if applicable
4. Technical glitches or system issues with online submissions

It is crucial for individuals to keep track of their application and reference number provided by EPFO during the submission process. In case of any delays or issues, it is advisable to contact EPFO helpline or visit their regional office for assistance.

PAN card requirement for closing a previous PF account

While providing a PAN card is not mandatory for closing a previous PF account, it is highly recommended to provide one during EPF withdrawal. The reason behind this recommendation is that individuals who fail to provide their PAN card details may be subject to a higher tax deduction at source (TDS) rate of 30% on the withdrawal amount.

By providing the PAN card details, individuals can avail the benefit of a lower TDS rate, which is generally 10% if the withdrawn amount is more than Rs 50,000. Therefore, it is advisable to ensure that accurate PAN details are provided while submitting the withdrawal forms to avoid unnecessary tax deductions.

Benefits of Providing PAN Card:

1. Lower TDS rate on EPF withdrawal
2. Ease of tax compliance and documentation
3. Avoidance of higher tax deductions

It is important to note that even if an individual does not provide their PAN card details during EPF withdrawal, they can still claim a refund for any excess TDS deducted by filing an income tax return.

Procedure for closing a previous PF account

The procedure for closing a previous PF account involves several steps that need to be followed in order to ensure a successful closure. Here is a step-by-step guide:

Step 1: Gather Required Documents

Before initiating the closure process, gather all necessary documents such as Composite Claim form (Aadhaar or non-Aadhaar), scanned copy of passbook or chequebook showing bank account details, and UAN.

Step 2: Choose Online or Offline Method

Decide whether you want to withdraw your PF amount through the online portal of EPFO or offline by submitting physical forms at the EPFO office.

Step 3: Online Procedure

– Log in to the official EPFO website using your UAN, password, and captcha code.
– Navigate to the ‘Online services’ tab and click on ‘Claim (Form-31, 19, 10D &10C)’.
– Fill in the required information and click on ‘Verify’.
– Sign the ‘Certificate of Undertaking’ and choose ‘only PF withdrawal (Form 19)’ from the drop-down menu.
– Enter your complete address, tick off the disclaimer, and proceed to get an Aadhaar OTP.
– Enter the OTP received on your registered mobile number and submit your application.
– Note down the reference number generated for future tracking.

Step 4: Offline Procedure

– Download the Composite Claim form (Aadhaar or non-Aadhaar) from the EPFO website.
– Fill out the form as per instructions provided.
– Submit the form along with appropriate documentation to the jurisdictional EPFO office. In case of non-Aadhaar forms, employer attestation may be required.

Step 5: Track Application Status

Keep track of your application status using the reference number provided by EPFO. This will help you monitor the progress and ensure timely closure of your previous PF account.

It is important to remember that accurately filling out all details in the forms, providing correct documentation, and following instructions provided by EPFO are crucial steps to ensure a smooth closure process.

In conclusion, closing a previous PF account is possible, but it requires following the necessary procedures. One must ensure that all dues are settled and the relevant forms are filled accurately. It is advisable to consult with the concerned authorities or seek professional guidance to successfully close your previous PF account.

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