Blitz Bureau
Retirement fund body EPFO has simplified the process of transferring provident fund (PF) accounts on job change by removing the requirement of approval from an employer in the majority of the cases, an official statement said on April 25.
The requirement of approval of all transfer claims at the “destination office” has been removed by launching a “Revamped Form 13” software functionality. The EPFO said more than 1.25 crore subscribers will get the benefit of the new simplified process for transfer of PF account on change of jobs. As of now, the transfer of PF accumulations is done with the involvement of two EPF offices, the source office and the destination office. “Now, with an aim to further simplify the process, EPFO has removed the requirement of approval of all transfer claims at the destination office by launching a ‘Revamped Form 13 software functionality’,” the EPFO said in a statement.
With the new decision, once the transfer claim gets approved at the source office, the previous account will automatically get transferred to the present account of the member at the destination office instantly, the EPFO added. “This revamped functionality also provides the bifurcation of taxable and non-taxable components of PF accumulations to facilitate accurate calculation of tax deducted at source on taxable PF interest. It is expected to benefit more than 1.25 crore members facilitating the transfer of around ₹90,000 crore every year henceforth as the entire transfer process shall be speeded up,” the EPFO added.
The EPFO has also relaxed the requirement of Aadhaar for generation of Universal Account Number / credit of past accumulations. “Also, a facility for bulk generation of UANs based on the Member Id and other member information available on record so as to enable prompt crediting of funds in the accounts of such members has been provided,” the EPFO said. B