EPFO New Rule: Provident Fund Account Should be Aadhaar Verified

The Employees’ Provident Fund Organisation (EPFO) has introduced a new rule of mandatory Aadhaar seeding with the EPF account. The Aadhaar number linking with the Universal Account Number (UAN) has been made mandatory from 1st June 2021 by EPFO.

Aadhaar can be linked to PF UAN either online or offline. To know how to link Aadhaar with your EPF account online, follow the steps below:

Step 1: Visit EPFO’s member portal https://unifiedportal-mem.epfindia.gov.in/memberinterface/ and login through username and password.

Step 2: Go to the “Manage” tab in the menu bar.

Step 3: Select “KYC” from the drop-down.

Step 4: On the page, select “Aadhaar” to link with your EPF account.

Step 5. Provide your Aadhaar number and name as mentioned in your Aadhaar card and save the details.

Step 6. Your Aadhaar will be verified from UIDAI’s data.

Step 7. Your KYC verification will be successful if you find “Verified” written next to your Aadhaar details. Hence, Aadhaar will be linked to your EPF account.

Section 142 of the Code on Social Security, 2020, notified by the Central Government, requires an employee or an unorganised worker or any other person seeking registration, benefits, or receiving any payment under various schemes made thereunder to provide an Aadhaar number as a proof of identity.

Therefore, EPFO has issued a notification requiring employers not to fill the Electronic Challan cum Return (ECR) for its employees whose Aadhaar number is not linked with an EPF account. Hence, it is to be noted that if the PF UAN is not Aadhaar verified, the employer will not remit the employer’s contribution to the EPF account.

However, the employer can file a separate ECR after completing the Aadhaar linking for non-Aadhaar linked EPF accounts. Once the Aadhaar number is linked, the employer should remit the contributions to the EPF account for the past halted periods. 

Hence, it is mandatory to link Aadhaar and PF UAN to avoid uninterrupted services such as withdrawal claims and interest credit.

For any clarifications/feedback on the topic, please contact the writer at namita.shah@cleartax.in