One-Time Amnesty Scheme Announced
The Employees' Provident Fund Organisation (EPFO) has announced a one-time amnesty scheme enabling Provident Fund (PF) trusts recognised under the Income Tax Act, 1961, but lacking a formal exemption order under the EPF law, to regularise their exemption status until December 28, 2026. The scheme was introduced as a transitional measure under the Employees' Provident Fund (EPF) Scheme 2026, notified on June 29, 2026, according to the Ministry of Labour and Employment.
Under the scheme, eligible trusts can retrospectively regularise their exemption if they have recognition under the Income Tax Act but do not hold a formal exemption order under Section 17 of the Employees' Provident Funds and Miscellaneous Provisions (EPF&MP) Act, 1952, or Section 143 of the Code on Social Security (CoSS), 2020. The amnesty provisions are valid for six months from the date of notification, making December 28, 2026, the deadline for eligible trusts, as stated by the ministry.
Operational Guidelines and Benefits
The detailed operational guidelines, including the application process and procedural requirements, were issued by the EPFO through a circular dated July 11, 2026. The scheme offers several benefits beyond retrospective regularisation, including waiver of certain requirements prescribed under the CoSS, 2020, such as minimum employee headcount, minimum corpus size, and the three-year compliance requirement. Following retroactive regularisation, establishments can choose to continue operating either as exempt or unexempt, the ministry said.
Interest and Outreach
As reported by The Hindu Business Line, 46 private trusts have already shown interest in the amnesty scheme, and the EPFO expects to receive approximately 105 applications. The same report notes that around 3,000 EPF-exempted trusts exist in the country. The EPFO has also reached out to the Income Tax department seeking details of PF trusts to cross-verify whether establishments are exempted under the EPF&MP Act or CoSS, 2020, before granting or withdrawing recognition under the Income Tax Act.
To ensure widespread awareness before the deadline, the EPFO has launched an extensive stakeholder outreach campaign. As part of this, the body has approached professional organisations, including the Institute of Chartered Accountants of India (ICAI). The ministry suggested that chartered accountants can assist in identifying eligible PF trusts, according to Lokmat Times.