GPF Withdrawals - Amendment orders issued on 7.3.2017
Amendment
to the provisions of General Provident Fund (Central Service )Rules 1960
- liberalization of provisions for withdrawals from the Fund by the
subscribers - regarding.
No.3/2/2017-P&PW(F)(ii)
Ministry of Personnel, PG & Pensions
Department of Pension & Pensioners' Welfare
Desk-F
3rd Floor, Lok Nayak Bhavan,
Khan Market, New Delhi-11 0003
Dated the 7th March, 2017.
OFFICE MEMORANDUM
Subject:
Amendment
to the provisions of General Provident Fund (Central Service) Rules
1960 - liberalization of provisions for withdrawals from the Fund by the
subscribers - regarding.
The General Provident Fund
(Central Service )Rules came into force in 1960 and Rule 15 of the said
rules provide for withdrawals by the subscribers. Some amendments have
been made from time to time to address the concerns raised by the
subscribers. However, the provisions, largely remain restrictive. There
is a felt need to liberalize provisions, raise limits and simplify the
procedure.
2. The provisions in the rules have been reviewed and
it has now been decided to permit withdrawals from the fund by the
subscriber for the following purposes:
(i) Education - This will include primary, secondary and higher education, covering all streams and institutions,
(ii) Obligatory Expenses viz. betrothal, marriage, funerals, or other ceremonies of self or family members and dependants,
(iii) Illness of self, family members or dependants,
(iv) Purchase of consumer durables.
3.
It has been decided to permit withdrawal of upto twelve months payor
three-fourth of the amount standing at credit, whichever is less. For
illness, the withdrawal may be allowed upto 90% of the amount standing
at credit of the subscriber. A subscriber may seek withdrawal after
completion of ten years of service.
(v) Housing including building or acquiring a suitable-house or a ready-built flat for his-residence,
(vi) Repayment of outstanding housing loan,
(vii) Purchase of house site for building a house,
(viii) Constructing a house on a site acquired,
(ix) Reconstructing or making additions on a house already acquired,
(x) Renovating, additions or alterations of ancestral house.
4.
A subscriber may be allowed to withdraw upto ninety percent of the
amount standing at credit for the above purposes. It is also decided do
away with the present instructions which lay down that subsequent to the
sale of house for which GPF withdrawal has been availed, the amount.
withdrawn has to be deposited back. GPF withdrawal for housing purpose
will no longer be linked with the limits prescribed under HBA rules. A
subscriber may be permitted to avail the facility at any time during his
service.
(xi) Purchase of motor car/motor cycle/ scooter etc. or repayment of loan already taken for the purpose,
(xii) Extensive repairs /overhauling of motor car,
(xiii)Making deposit to book a motor car/motor cycle/scoter, moped etc.
5.
A subscriber may be permitted to withdraw three- fourth of the amount
standing at credit or cost of the vehicle, whichever is less for the
above purposes. Withdrawal for the above purpose will be permitted after
completion of 10 years of service.
6. Presently, withdrawal of
upto 90% of balance without assigning reasons is allowed for Government
servants who are due for retirement on superannuation within a year. It
is proposed that this may be allowed for upto two years before
superannuation.
7. In all cases of withdrawal from the fund by the
subscriber, the declared Head of Department is competent to sanction
withdrawal. No documentary proof will be required to be furnished by the
subscriber. A simple declaration form by the subscriber explaining the
reasons for withdrawal would be sufficient.
8. As per the GPF(CS)
Rule 1960, no time limit has been prescribed for sanction and payment of
withdrawal amount. Therefore, it has been decided to prescribe a
maximum time limit of fifteen days for sanction and payment of
withdrawal from the Fund. In case of emergencies like illness etc., the
time limit maybe restricted to seven days.
9. Necessary amendment
to the GPF(Central Service)Rules 1960, giving effect to the above
provisions will be issued in due course.
10. In so far as persons
serving in Indian Audit and Accounts Department are concerned, these
orders issue in consultation with the Comptroller and Auditor General of
India.
11. This issues with approval of Department of Expenditure, vide their ID No. 4(1 )/EV/2017 dated 28.02.2017.
12. Hindi version of this OM will follow
sd/-
(Sujasha Choudhu)
Director
Click to view the order
Authority: http://www.pensionersportal.gov.in/
