How to Fill Form 15G for PF Withdrawal

Form 15G is a declaration for individuals seeking to avoid Tax Deducted at Source (TDS) on certain incomes, including Provident Fund (PF) withdrawals. It allows eligible taxpayers to declare that their total income for the financial year falls below the taxable limit, making them exempt from TDS on specific earnings. Understanding and accurately completing Form 15G can help individuals receive their full PF withdrawal amount without immediate tax deductions.

Understanding Form 15G and Eligibility

Form 15G is designed to prevent Tax Deducted at Source (TDS) on income payments when the recipient’s total income is below the income tax exemption threshold. For Provident Fund (PF) withdrawals, Section 192A of the Income Tax Act mandates TDS if the withdrawal amount exceeds ₹50,000 and the service period is less than five continuous years. Submitting Form 15G allows eligible individuals to declare that no tax should be deducted from their PF withdrawal, even if the amount surpasses the specified threshold.

Eligibility to submit Form 15G is specific to individuals, not companies or firms. The individual must be a resident of India for tax purposes. A primary condition is that the person should be below 60 years of age during the financial year for which the income is earned. Individuals aged 60 years or above are required to use Form 15H.

The estimated total income of the individual for the financial year must be below the basic exemption limit. For individuals below 60 years, this limit is ₹3 lakh for the financial year 2024-25, increasing to ₹4 lakh from April 1, 2025 (FY 2025-26). Additionally, the estimated interest income from the PF withdrawal itself must not exceed this basic exemption limit. Meeting these criteria ensures the individual’s income profile aligns with the purpose of Form 15G, which is to avoid TDS when overall income is not taxable.

Information Needed and Completing Form 15G

Gathering all necessary information is an important preparatory step to ensure accuracy when filling out Form 15G. You will need your Permanent Account Number (PAN), which is a mandatory identifier for tax purposes. An accurate assessment of your estimated total income for the entire financial year from all sources is also required. This includes not just the PF interest but also any other income such as salary, interest from bank deposits, or rental income.

You must also determine the correct Assessment Year, which is the year following the financial year in which the income is earned. For example, income earned in the financial year 2024-25 (April 1, 2024, to March 31, 2025) pertains to the Assessment Year 2025-26. The estimated interest income specifically from your PF withdrawal is another crucial detail.

Additionally, have your PF account number readily available. Information about the deductor, typically the Employees’ Provident Fund Organisation (EPFO) office or your employer, is also necessary, including their name and address. Finally, ensure you have your bank account details where the PF amount will be credited, including the account number and IFSC code. The blank Form 15G can be obtained from the EPFO website, various bank websites, or in physical form from PF offices.

Filling out Form 15G involves completing both Part I and Part II with precision. Part I requires personal details such as your name, PAN, and current address. You will need to declare your estimated total income for the relevant financial year, ensuring this figure encompasses all sources of income, not just the PF withdrawal. This declaration is crucial for the deductor to verify your eligibility. The form also asks for the estimated income for which the declaration is being made, which in this case refers to the interest component of your PF withdrawal. It is important to accurately state the amount of the PF withdrawal for which you are seeking TDS exemption.

Part I also requires details of the deductor, which would be the EPFO or your former employer responsible for processing your PF withdrawal. You will need to provide their name and address. Additionally, you must specify the section under which the declaration is being made, which for PF withdrawals is Section 192A. Part II of Form 15G concerns declarations related to previous Form 15G submissions during the same financial year. If you have made prior submissions, you must include the total number of forms submitted and the aggregate amount for which declarations were made. This ensures transparency and helps prevent misuse of the exemption.

Submitting the Form and Next Steps

Once Form 15G has been accurately completed, the next step involves its submission to the relevant authority. The method of submission can vary, with both online and offline options available depending on the Employees’ Provident Fund Organisation (EPFO) or employer’s procedures. For online submissions, individuals may be required to upload the digitally signed form through the designated EPFO portal or their employer’s online platform. This digital process often streamlines the submission.

For those preferring or requiring offline submission, the physical form must be submitted to the appropriate EPFO office or directly to the employer who is processing the PF withdrawal. It is advisable to retain a photocopy of the filled Form 15G for your records. When submitting physically, always obtain an acknowledgment receipt as proof of submission. This acknowledgment confirms that the form has been received and serves as an important document for future reference.

After successful submission, individuals can expect a processing period during which the EPFO or employer verifies the details provided in Form 15G. The avoidance of Tax Deducted at Source (TDS) will be reflected in the final PF withdrawal amount that is credited to the bank account. While specific processing timelines can vary, maintaining communication with the PF office or employer can provide updates on the status of the withdrawal. Keeping a comprehensive record of the submitted Form 15G and any acknowledgment is a prudent practice for personal financial management.