If you are planning on switching your job or have already switched it, read ahead: While switching jobs people sometimes forget to transfer their EPF (Employee provident fund) account. They leave it as it is and open a new account with the new employer. This results in creation of multiple accounts for the same person. But, what most people don't know is that if they do this – the money in their account with the previous employer may get taxable. This is because the law says that this amount will be exempt from tax only if the employee has spent 5 years of continuous service with the same employer. A simple solution to this however is transfer the EPF (Employee provident fund) Account from the old employer to the new employer, then the period worked with the previous employer/employers would be included in computing the period of continuous service - hence not taxable post 5 years. Just in case you are wondering what EPF is - If you are an employee, you pay a certain part of your salary towards the EPF scheme. This amount is often matched with an equal contribution from your employer. This is done so that your retirement can be comfortably accounted for! The employee gets a lump sum amount including self and employer's contribution along with interest on retirement! PS: This skit is purely for educational and entertainment purpose and not a representation of Human resource personnel or any organisation. . . #taxseason #taxtips #savetax #personalfinancetips #personalfinance