Hi all
I have resigned from a company recently and because of company policy I will get my October month salary in full and final settlement.
1) Till now my salary is not falling in the tax bracket. But if I include October month salary then it comes into the tax bracket. So my question is that will the employer gives me full and final settlement amount after deducting tax or not.
2) Can I withdraw my PF or transfer is the only option and if it is then if I withdraw PF then that amount is taxable or not?
Any help will be highly appreciated.
From India, New Delhi
I have resigned from a company recently and because of company policy I will get my October month salary in full and final settlement.
1) Till now my salary is not falling in the tax bracket. But if I include October month salary then it comes into the tax bracket. So my question is that will the employer gives me full and final settlement amount after deducting tax or not.
2) Can I withdraw my PF or transfer is the only option and if it is then if I withdraw PF then that amount is taxable or not?
Any help will be highly appreciated.
From India, New Delhi
Logically, if the salary including October is taxable,,the employer should have been deducting tax right from April. It is a requirement that tds on salary be deducted equally every month. Else you are suppose to pay advance tax. The company will definitely have to deduct it from your full and final settlement,
If you are joining another company that already has a PF facility (that is they have more than 19 employees and therefore need to be registered under Pf), then you can you do not have the option of withdrawing the PF amount.
From India, Mumbai
2393If you are joining another company that already has a PF facility (that is they have more than 19 employees and therefore need to be registered under Pf), then you can you do not have the option of withdrawing the PF amount.
From India, Mumbai
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Full n final settlement.doc