EPF Member can withdraw 90% fund for purchase of house

EPF Member can withdraw 90% fund for purchase of house – Labour Minister reply to Rajya Sabha

EPF Member can withdraw 90% fund for purchase of house

GOVERNMENT OF INDIA

MINISTRY OF LABOUR AND EMPLOYMENT

RAJYA SABHA

UNSTARRED QUESTION NO-1535

ANSWERED ON-15.03.2017

Housing schemes for EPF beneficiaries

1535 . Shri Prabhat Jha

(a)whether the Central Government had announced to bring a housing scheme for the members of Employees” Provident Fund Organisation (EPFO);

(b)if so, the details thereof;

(c)the number of members under EPFO at present and whether it is targeted to bring all the members of this organisation under this housing scheme;

(d)whether work on this housing scheme has been started and the targets to make available accommodation to all members in phased manner have been fixed; and

(e)if so, the details thereof?

ANSWER

MINISTER OF STATE (IC) FOR LABOUR AND EMPLOYMENT (SHRI BANDARU DATTATREYA)

(a) & (b): The Government has taken a decision for modification in the Employees’ Provident Funds (EPF) Scheme, 1952 to add a new paragraph 68 BD with the following salient features:

– A member of Employees’ Provident Fund (EPF) being a member of a cooperative society or a housing society having at least 10 members of EPF, can withdraw upto 90 per cent from the Fund for purchase of dwelling house/flat or construction of dwelling house/acquisition of site.

– Monthly installments for repayments of any outstanding payments or interest may also be paid from the amount standing to the credit of the member, to the Government/housing agency/primary lending agency or banks concerned.

(c): The total number of Employees’ Provident Fund (EPF) member accounts as on 31.03.2016, as per Annual Report for 2015-16, is 17.14 crore. On an average, contributions have been received in respect of 3.76 crore members during the year 2015-16. The withdrawal facility from the Provident Fund (PF) account under the Scheme will be available to only those PF members who fulfill the conditions prescribed.
(d) & (e): The paragraph to be inserted in EPF Scheme, 1952 has not been notified, therefore no targets have been fixed.
Source : Rajya Sabha