Epfo 2026 rule updates
The EPFO’s introduction of a unified Form 121 marks a significant shift in the tax exemption process for EPF withdrawals, effective from April 1, 2026. This change aims to simplify how members claim TDS exemptions on their provident fund withdrawals and interest income.
Previously, members had to navigate through both Forms 15G and 15H to claim their exemptions. Now, with Form 121, the process becomes more straightforward. Labour minister Mansukh Mandaviya emphasized that this new self-declaration form will make it easier for members to manage their funds.
In addition to the new form, EPFO plans to launch a portal named E-PRAAPTI. This digital service will help members trace and link old or inactive PF accounts without needing employer intervention. Mandaviya stated, “The proposed portal will enable subscribers to access legacy accounts, update profiles and complete UAN seeding without any intervention by the employer.”
Currently, the minimum pension under the Employees’ Pension Scheme (EPS-95) is set at ₹1,000 per month. However, labour unions are advocating for an increase to ₹7,500 per month. The Central government contributes over ₹950 crore annually to support this minimum pension.
Discussions are ongoing regarding the potential increase in the minimum pension. Officials have not confirmed a timeline for when this decision might be finalized. Still, many retirees are hopeful that changes will come soon.
These updates reflect EPFO’s commitment to streamlining compliance processes and enhancing access for provident fund subscribers across India. As these changes take effect in 2026, members will likely experience a more efficient system tailored to their needs.
