Finance Minister Nirmala Sitharaman on Wednesday announced measures related to provident fund (PF), which will result in a hike in take home salaries of employees across the board. The announcement came as part of the first tranche of measures detailed upon, as a part of the Rs 20 lakh crore economic package that Prime Minister Narendra Modi announced on Tuesday. Ms Sitharaman on Wednesday said that the statutory deduction of 12 per cent from salaries towards PF by both the employer and employee, will now be reduced to 10 per cent each.
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