Archive for Blog
Currently, employees who wish to avail HRA exemption are required to submit the PAN of their landlord(s) to their employer if the aggregate rent payment exceeds Rs 1 lakh in a year. Until FY 2015-16, employers were not required to submit information on landlord PAN to the Income Tax Department. This changed in FY 2016-17. […]
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A reader of this blog sent us the below question some days ago. As per 192 TDS on salary is to be deducted on actual payment and not on accrual basis, here if a person resigns in Feb, his salary for the month of Jan and Feb is paid in April along with F&F settlement, […]
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Organizations pay what is called per diem (per day) allowance to employees who travel for business purposes. The allowance is meant to help employees cover daily expenses pertaining to food, local travel, etc. When employees travel abroad they receive the allowance in foreign currency. Many organizations do not seek information on the actual daily expenses […]
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The Income Tax Department has issued the “TDS on Salary” circular for FY 2016-17. You can take a look at it here. Please ensure that all tasks (income tax deduction, investment proof scrutiny, etc.) related to salary TDS compliance in your organization for FY 2016-17 are carried out as per the circular. Para 4.6.5 in […]
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Leave a Comment (2) →The Employees’ Provident Fund Organization has made significant changes to the processes related to generation of the Electronic Challan cum Return (ECR) file. From now on, the Universal Account Number (UAN) shall be the unique identifier for PF remittance, transfer and withdrawal. The process of using the PF number as the identifier has been done […]
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What’s in a name? that which we call a rose By any other name would smell as sweet; – William Shakespeare in Romeo and Juliet While it is perfectly legitimate for organizations to hire consultants (along with hiring full-time employees) during the course of business, it is important that the underlying statutory requirements are fully […]
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The Ministry of Labour and Employment has, by way of a gazette notification, enhanced the ESI wage ceiling from Rs 15,000 per month to Rs 21,000 per month. This comes into effect from 01-Jan-2017. As you are aware, the current limit is Rs 15,000 – in other words, employees who draw an ESI wage of […]
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Leave a Comment (92) →We find that the most frequently used pay period (the period of time for which salary is paid), at least in the organized sector in India, is monthly. According to Section 4 of the Payment of Wages Act, 1936, one of the relevant statutes governing salary payments, 4. Fixation of wage-periods (1) Every person responsible for […]
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The Employee’s Provident fund Organization (commonly referred to as the PF Department) has announced that Universal Account Number (UAN) will be the unique identifier for PF remittance for each employee in the Electronic Challan cum Return (ECR) file in future. Please take a look at the PF Department circular dated 26-Oct-2016 in this regard. While […]
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Leave a Comment (2) →The Ministry of Labour and Employment has, by way of a gazette notification, sought feedback regarding enhancing the ESI wage limit from Rs 15,000 per month to Rs 21,000 per month. As you are aware, the current limit is Rs 15,000 – in other words, employees who draw an ESI wage of more than Rs […]
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