EPFO VISHWAS, 2026: Eligibility, Reduced Damages and How to Apply

VISHWAS, 2026 was introduced to resolve long-pending matters, reduce litigation and help employers regularise past defaults through an online settlement process.

Your establishment may be eligible if it falls under any of the following categories:

• A damages order has been challenged before the Central Government Industrial Tribunal, a High Court, the Supreme Court or another competent forum
• EPFO has issued a final damages order, but the amount remains unpaid or has been paid only partly
• EPFO has issued a notice proposing damages, but a final order has not yet been passed
• EPFO records show a qualifying delay, but no damages notice has been issued

The last category means you do not necessarily need to wait for EPFO to initiate proceedings. If your records show an eligible default, you may be able to disclose it and apply under the scheme.

How Much Relief Does the EPFO VISHWAS Scheme Provide?

For eligible defaults relating to periods before 14 June 2024, damages are recalculated according to the duration of the delay.

These reduced rates apply to damages under Section 14B of the Employees' Provident Funds and Miscellaneous Provisions Act, 1952, or Section 128 of the Code on Social Security, 2020.

However, damages are only one part of your liability. You need to distinguish between three amounts:

• Original PF contribution: The amount that should have been deposited for employees. The scheme does not reduce or waive it.
• Interest on the delayed payment: This is charged under Section 7Q of the older EPF law or Section 127 of the Social Security Code. You must pay it in full.
• Damages for the default: These are imposed under Section 14B or Section 128 and can be recalculated at the reduced VISHWAS rates.

For example, assume that an eligible PF amount of ₹1 lakh remained unpaid for five months. At 1% per month, the damages would broadly work out to ₹5,000. This is only an illustration. The actual amount will depend on the exact period of default, EPFO records and any previous payments. Full statutory interest would remain payable separately.

EPFO VISHWAS Conditions, Exclusions and Treatment of Existing Cases

To apply, you must first pay the complete interest due under Section 7Q or Section 127 for the relevant default.

You cannot generally use the scheme where:

• Damages have already been recovered in full
• The case involves fraud or misappropriation
• Records have been deliberately falsified
• The complete statutory interest has not been paid

If you have partly paid the damages, that payment will be considered when calculating the balance. You must pay any shortfall, but an excess payment will generally not be refunded. Amounts deposited for filing an appeal will be treated according to the scheme's adjustment rules.

You must also undertake not to initiate further proceedings concerning the settled dues. If a case is pending before a court or tribunal, EPFO's digitally signed settlement certificate can be submitted to close the proceeding. You should therefore consider the effect of ending an existing appeal before accepting the settlement.

How Can an Employer Apply for EPFO VISHWAS?

Applications must be submitted through the EPFO Employer Portal. Before applying, check that your establishment's PAN, email address, mobile number and authorised-signatory details are updated. You should also ensure that the Digital Signature Certificate or e-sign facility is working.

The application process broadly involves the following steps:

1. Identify the eligible periods of delayed PF payment
2. Reconcile the contributions, interest and damages already paid
3. Pay the complete interest due under Section 7Q or Section 127
4. Log in to the EPFO Employer Portal and open the VISHWAS, 2026 module
5. Select the applicable case category and enter the required details
6. Upload the relevant orders, notices, challans and payment records
7. Submit the application using Digital Signature Certificate (DSC) or e-sign

After submission, the system will generate an application ID. EPFO will verify the details and communicate the revised damages through the portal.

You will ordinarily have 15 days from the communication of the offer to pay the revised amount. EPFO's clarification also provides for an automatic additional period of 15 days where required. Once payment is confirmed, EPFO will issue a digitally signed settlement certificate. If you do not use the scheme within the prescribed period, the existing proceedings can continue. This may include recovery of damages at the regular rates, recovery certificate proceedings and pending litigation.

Final Thoughts

EPFO VISHWAS offers eligible employers a limited opportunity to settle older PF damages at reduced rates. However, you must still clear the original PF dues and full statutory interest. Settlement may also require you to close pending legal proceedings.

Since the scheme ends on 28 December 2026, you should review your payment records, pending orders and litigation early. This will give you time to resolve differences in EPFO records and decide whether the settlement is suitable for your establishment.

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