Serious resentment among employees against Budget proposal to levy Income Tax on withdrawal of 60% of Provident Fund

Serious resentment among employees against Budget proposal to levy Income Tax on withdrawal of 60% of Provident Fund

NFIR
National Federation Of Indian Railwaymen
3, Chelmsford Road, New Delhi – 110 055
Affiliated to;
Indian National Trade Union congress (INTUC)
International Transport Workers Federation (ITF)

No.IV/Budget/Part II

Dated: 05-03-2016

Shri Narendra Modiji
Hon’ble Prime Minister Of India
152, South Block
Raisina Hill
New Delhi – 110 011

Respected Sir,

Sub: Serious resentment among employees against Budget proposal to levy Income Tax on withdrawal of 60% of Provident Fund – reg.

The employees in general and Rail workforce in particular are extremely unhappy over the Budget proposal presented by the Hon’ble finance Minister to impose income tax on 60% of provident fund withdrawals. This proposal if enforced would cause harm to the workers at their fag end of service on superannuation.

Hon’ble Prime Minister may please appreciate that the employee withdraws his\her legitimate provident Fund for meeting the requirements of children Education. construction of house or for the purpose of performing marriages of Children. Levying Income Tax on these withdrawals that too when the Provident Fund amount is recognized to be the property of the worker, would be unethical. The employees are deeply disappointed over the budget proposal to impose Income Tax on P.F.withdrawal.

NFIR, therefore appeals to the Hon’ble Prime Minister to kindly intervene and see that the above proposal is reconsidered and withdrawn in the interest of industrial peace in the country.

Yours sincerely,

Sd/-
(Dr.M.Raghavaiah)
General Secretary.

Source: NFIR