Interest on EPF and PPF is tax-exempt. In case of EPF, interest is tax-free if you remain in employment for at least five continuous years under the EPF Act, 1952. If withdrawn earlier, the tax benefits are reversed. In the case of PPF, the interest is always tax-free, irrespective of who holds the account. Given these exemptions, should one declare this interest? Experts suggest that one should do so, nonetheless.