Indian FM says withdraws proposal on taxation of pension fund


(MENAFN- Khaleej Times)

India has withdrawn a budget proposal to tax pension fund withdrawals Finance Minister Arun Jaitley told lawmakers on Tuesday in parliament after an outcry by salaried workers.

Last month Jaitley proposed taxing lump-sum withdrawals exceeding 40 per cent of an individual's retirement pot in the Employees' Provident Fund (EPF) unless the sum is reinvested in a pension product such as an annuity.

At present withdrawal from the EPF is entirely tax-free.


Khaleej Times

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