EPFO Launches Amnesty Scheme to Regularise Provident Fund Trusts

The Employees’ Provident Fund Organisation (EPFO) has introduced the Amnesty Scheme, 2026, offering a one-time, six-month window for establishments operating private provident fund (PF) trusts to regularise their legal status. Notified on June 29, 2026, the initiative targets entities recognized under the Income Tax Act, 1961, that lack formal exemption notifications from central or state governments. This move follows Finance Act 2026 amendments requiring exemptions under Section 17 of the EPF Act to maintain Income Tax Act recognition.

Eligible establishments can receive retrospective trust recognition from their inception up to a designated cut-off date. The scheme waives minimum employee headcount and corpus size rules and deems the three-year prior compliance rule satisfied. Additionally, the government may abate pending assessments for dues, damages, and interest, provided that member accounts received contributions and interest at rates equal to or higher than statutory EPFO levels.

Establishments may choose to migrate to the EPFO framework or continue as exempted trusts under the Code on Social Security, 2020. To apply, entities must submit formal requests to the central government via email to the relevant EPFO regional office, supported by financial statements audited by a chartered accountant.