Budget Gives Fair & Lovely Scheme to Thieves but tax on PF of honest Employees

Discussion in 'Ask A Query About Your Stock Picks And Portfolio' started by kharb, Mar 3, 2016.

  1. kharb

    kharb Well-Known Member

    Joined:
    Aug 15, 2015
    Messages:
    1,023
    Likes Received:
    735
    Excuse me for this post as I have no intention to pick a political statement to take any side and just want to speak for employees .I fully agree that Modi Govt has given a Fair & Lovely Scheme for thieves but has taxed the PF of hard working honest tax payers employees of private sector.Any form of change which attract tax is totaly deplorable. Indian govt which leaves it's elder without any social security after paying taxes through their nose through out life is shameful act.Forget about taxing PF ,people must know the unhuman soul behind this bad idea .
     
  2. Srouta Mukherjee

    Srouta Mukherjee Well-Known Member

    Joined:
    Mar 28, 2015
    Messages:
    1,898
    Likes Received:
    769
    Affairs are very sad for honest taxpayers pay through nose and even saving get tax if withdrawn for emergency situation. Black money people are happy and laughing. They avoid tax have fun and now get clean chit to go Scot free. How anyone can be hone
     
    kharb likes this.
  3. Farhan Ghumra

    Farhan Ghumra Active Member

    Joined:
    Nov 11, 2015
    Messages:
    223
    Likes Received:
    105
    [​IMG]

    In today's Divya Bhaskar (Gujarat's leading daily), this article was posted.

    Summary in English:

    Suppose a 25 year old man is earning Rs. 15,000/month then Rs. 2,400/month will go to PF. Assume the salary grows 8% per annum then when he retires his PF would have Rs. 1.536 crore including interest. If 60% of corpus is taxed then, 30% tax on 92.2 lacs would be applied, which results into 27.6 lacs. In other words 18% from total corpus of Rs. 1.536 would go in tax.

    Assume government, being liberal, applies tax only on interest earned then the guy would have Rs. 107.4 lacs as interest and 60% of it would be 64.4 lacs. 30% of tax on it would results into 19.3 lacs. In other words 12.6% from total corpus of Rs. 1.536 would go in tax.
     
    Srouta Mukherjee, w4wealth and kharb like this.
  4. Srouta Mukherjee

    Srouta Mukherjee Well-Known Member

    Joined:
    Mar 28, 2015
    Messages:
    1,898
    Likes Received:
    769
    Shocking situation for all. How Govt can do such thing? Foolish step :(
     
  5. darth

    darth Active Member

    Joined:
    Dec 9, 2015
    Messages:
    682
    Likes Received:
    193
    So now EPF tax has been withdrawn...
     
Loading...