EPFO Invites Applications for Amnesty Scheme from Provident Fund Trusts

📌 Summary:

• EPFO has introduced the Amnesty Scheme, 2026 — a one-time, six-month window (notified 29 June 2026) for establishments running PF Trusts recognised under the Income Tax Act, 1961 but lacking a formal exemption notification under Section 17 of the EPF & MP Act, 1952, to regularise their status

• Trigger: the Finance Act, 2026 aligned the Income-Tax framework with the EPF Act — recognition under the Income Tax Act, 2025 will now be available only to provident funds holding Section 17 exemption

• Two eligible categories: (I) establishments moving to compliance as un-exempted establishments; (II) establishments continuing as exempted under the Code on Social Security, 2020

• Key reliefs: retrospective regularisation from the trust's inception; waiver of minimum headcount/corpus rules and the 3-year prior-compliance rule under the Code on Social Security, 2020; abatement of pending proceedings for dues/damages/interest where members received at least statutory interest — past finalised orders treated as void ab-initio

• Obligations: formal application to the Central Government via the regional office; CA-audited accounts; special/compliance audits within 3 months of application

🎯 UPSC Relevance: GS2 (welfare schemes, labour/social-security governance) and GS3 (formalisation of social security); illustrates regulatory simplification and alignment of tax and labour law

📝 Prelims Facts:

• Amnesty Scheme 2026 notified on 29 June 2026; valid for 6 months

• Legal anchors: Section 17 of EPF & MP Act, 1952 and Section 143 of the Code on Social Security, 2020

• EPFO functions under the Ministry of Labour & Employment

🔑 Key Term: Exempted PF Trust — an establishment-run provident fund trust exempted under Section 17 of the EPF Act from depositing PF with EPFO, provided it offers benefits at least equal to statutory rates