What is the tax rate on EPFO withdrawal?

[DataVikram]

I'm trying to understand the tax implications of my father's EPFO account. I need to know:

Are taxes deducted currently, or are they applied only when funds are withdrawn? If the deductions happen upon withdrawal, what tax rate will be used, particularly in the context of his potential post-retirement income? Additionally, does the EPFO continue to accrue interest on accounts that have been inactive for more than three years?

[Reema]

The service period and withdrawal amount impact the tax rate on EPFO. If PAN is provided, then TDS is 10% on withdrawals that are made before 5 years and exceed ₹50,000; without PAN, it's 30%.

There will be no tax if the withdrawal is less than 50k or the service is 5+ years.

[Akshita]

What is the tax rate applied to EPFO withdrawals when closing the account? Does the duration of employment affect the taxation on the withdrawn amount? Are there any exemptions or conditions under which EPF withdrawal becomes tax-free?

[Amisha]

EPFO withdrawals are tax-free if the total employment duration is 5 years or more. Withdrawals before 5 years are taxable, with TDS at 10% if the amount exceeds ₹50,000. Exemptions apply if the withdrawal is due to illness, company closure, or reasons beyond the employee’s control.