What PF withdrawal rule says for medical emergency like Covid

Provident Fund (PF) is taken into account long-term retirement fund corpus however as per the Employees Provident Fund Organisation (EPFO) guidelines, PF withdrawal is allowed in sure circumstances like medical emergency, shopping for a flat or land, house development and so on. According to tax and funding specialists, one can use the PF stability throughout medical emergency or important sickness that draws excessive value of therapy. They stated {that a} PF or EPF account holder can withdraw PF cash for Covid too, offered there may be hospitalisation post-infection.

Speaking on the PF withdrawal guidelines for medical therapy SEBI registered tax and funding knowledgeable Jitendra Solanki stated, “A PF/EPF account holder is allowed for withdrawal, in the case of medical emergency happening with him, spouse, children or parents. But, remember, medical emergency for PF withdrawal means critical illness that attracts high cost of treatment.”

On how a lot one can withdrawal from one’ PF/EPF stability throughout medical emergency Mumbai-based tax and funding knowledgeable Balwant Jain stated, “One can withdraw six times of one’s one month basic salary or his or her net contribution plus interest, whichever is lower.” Jain stated that there isn’t any lock-in or obligatory service interval for PF/EPF withdrawal for medical emergency.

On whether or not one is eligible for PF/EPF stability withdrawal for Covid therapy too, Balwant Jain stated, “Yes. If a PF account holder, his spouse, children or parents gets hospitalised post-Covid infection, then PF/EPF withdrawal is possible. But, the PF account holder will have to show the hospital bills and hospitalisation papers to establish the critical illness and high cost of treatment.”

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