EPFO Simplifies Transfer Claim Process Through Revamped Form 13 Functionality

Moneylife Digital Team 25 April 2025

Personal Finance

In a significant move to improve service delivery and reduce member grievances, the employees' provident fund organisation (EPFO) has revamped its provident fund (PF) transfer process and introduced a new facility for employers to generate universal account numbers (UANs) in bulk without Aadhaar seeding.

Earlier this year, EPFO simplified the procedure for transferring PF accounts when employees change jobs. Traditionally, such transfers involved both the source EPF office (from which the funds were being moved) and the destination EPF office (to which the funds were credited), leading to delays and complications.

Now, with the introduction of the revamped Form 13 functionality, the requirement for destination office approval has been removed. Once the source office approves the transfer, the PF amount will be instantly credited to the member's current account at the new employer.

The updated system also includes a new feature that bifurcates the taxable and non-taxable components of PF accumulations. This ensures more accurate calculation of TDS on taxable interest earned on PF contributions.

With these changes, EPFO expects the faster processing of PF transfers amounting to around Rs90,000 crore annually and direct benefits for over 1.25 crore members.

In another major decision aimed at easing compliance for employers and addressing long-pending grievances, EPFO has now permitted the generation of UANs without Aadhaar in specific cases. These include scenarios involving the remittance of past PF contributions by exempted PF trusts after surrendering their exemption status, or after quasi-judicial or recovery proceedings.

To support this, a software facility for bulk UAN generation has been rolled out to EPFO’s field offices. This enables the creation of UANs using member ID and other available member details, allowing for the timely crediting of funds even without immediate Aadhaar verification.

"However, as a precautionary measure, all such UANs will remain in a frozen state until Aadhaar details are successfully seeded. Once this step is completed, the accounts will be fully activated, ensuring the security of PF funds while enabling efficient processing," EPFO says.

These reforms are expected to significantly enhance the member experience, reduce processing time, and resolve long-standing complaints related to delayed PF transfers and account mismatches.

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