Chipping away at EPFO's benefits

If the Centre only enforces mobility between the EPFO and NPS, the subscribers will settle the argument by voting with their feet

The interest payable by the Employees' Provident Fund Organisation (EPFO) on provident fund (PF) contributions by the employee of more than Rs 2.5 lakh per year is now taxable. The income-tax department went ahead and notified rules requiring the EPFO to separate the accounting for all contributions made in an employee’s PF account till March 31 and thereafter to separately account for employees’ contribution below Rs 2.5 lakh.

There has been complete silence from the EPFO on how it is going to deal with this issue and whether it has systems to deliver what the department requires.

An example will