A surprising figure has been revealed about the amount deposited in the Provident Fund account. A sum of Rs 62,500 crore is deposited in the PF accounts of 1.23 lakh people with high salary. According to sources, there is a deposit of Rs 103 crore in the PF account of one of the most contributing individuals. Explain that according to the budget proposal of FY 2021-22, if the annual investment of a person in the Employees Provident Fund (EPF) account is more than Rs 2.50 lakh, then he will not get tax rebate on the interest on the higher amount. Will get
Sources in the Revenue Department told news agency PTI that there are 4.5 crore contributors contributing to the Employees Provident Fund Organization, EPFO account. Of these, 1.23 lakh accounts belong to high net worth individuals, HNIs. These people deposit a huge amount every month in EPF account.
A source justifying the bringing of higher interest to the tax net, a source said that these high-income people currently have Rs 62,500 crore deposited in their PF account and the government is giving them a fixed return of 8 percent with tax exemption. is. They are getting this benefit at the expense of honest low and middle income, salaried and other taxpayers. According to sources, there is more than Rs 103 crore deposited in a person’s account. At the same time, two other such people have more than Rs 86-86 crore in their accounts.
The accounts of the top 20 high-income people have deposits of about Rs 825 crore, while the accounts of 100 HNIs receiving top-notch salaries have more than Rs 2,000 crore. He said that the proposal in the budget aims to remove the abnormality among the contributors and rein in those high-income groups who are depositing large amounts to take advantage of the provision of fixed high-interest rate and honest taxpayers Are earning incorrectly at the cost of money.
Sources also said that these HNI contributors constitute 0.27 per cent of the total number of EPF account holders and their average per capita fund is Rs 5.92 crore. Hence, they are earning Rs 50.3 lakh per person annually with tax-free fixed returns. This earning is being made at the cost of the salaried class and other taxpayers. He said that the removal of interest rebate on the contribution of Rs 2.5 lakh and above in the budget is based on the principle of equality. Removing this flaw in the system will not affect the average normal EPF or GPF contributor.