Retirement · component
Voluntary provident fund (VPF)
Extra provident fund contributions you choose to make, sharing the 80C umbrella and the interest-taxation rules.
How the taxable value is determined
Contributions count inside the ₹1,50,000 Section 80C limit in the old regime. Interest on your own contributions above ₹2,50,000 in a year (₹5,00,000 where the employer does not contribute) is taxable.
Regime availability
- Old regime
- Available
- New regime
- Not available
Documentation to keep
PF passbook showing the voluntary component separately.
Legal basis: Section 80C and Rule 9D, Income-tax Rules
Frequently asked questions
Is voluntary provident fund (vpf) taxable in India?
Extra provident fund contributions you choose to make, sharing the 80C umbrella and the interest-taxation rules. Contributions count inside the ₹1,50,000 Section 80C limit in the old regime. Interest on your own contributions above ₹2,50,000 in a year (₹5,00,000 where the employer does not contribute) is taxable.
Does the exemption apply under the new tax regime?
Under the old regime this treatment is available; under the new regime it is not available. Legal basis: Section 80C and Rule 9D, Income-tax Rules.
What records should I keep for voluntary provident fund (vpf)?
PF passbook showing the voluntary component separately.
Related tools & guides
Reflects provisions in force for FY 2026-27; verify against the latest government publications (incometax.gov.in). Information, not tax advice.