EMPLOYEES PROVIDENT FUND & MISCELLANEOUS PROVISIONS ACT, 1952

Assessing the applicability of the enactment

Preparing and submitting the application with the required documents

Helping to complete the inspection for coverage purposes and regular

Obtaining the registration / code number for new coverage

Preparation of monthly challans

Obtaining stability certificate

Maintenance of Monthwise and individual wise contribution details in 3A-12A

Preparation and submission of monthly return in Form no. 12A

Preparation of submission of incoming members details in Form 5 and Form 10 for outgoing members

Completing the nomination Form no. 2

Allotment of new PF account number to new joinees

Preparation and submission of yearly return in Form no. 3A-6A alongwith reconciliation statement

Completing the claim Form no. 19 & 10-C and 10D for pension claim

Completing the transfer Form 13 as well as Form 31 for loan purposes

Visiting the PF offices as and when required

Advising on coverage of International workmen

Advising on coverage of contractors workmen

Enactments

BRIEF DETAIL OF THE ENACTMENT

It’s a central statute. This enactment deals with the compulsory savings of the employees wherein employee gets employer contribution also. It also includes old age pension / widow pension scheme and insurance. There are Income Tax advantages to the employees i.e. non taxability of employer’s contribution and interest earned on PF contributions is tax free.

APPLICABILITY

This enactment is compulsorily applicable if 20 or more employees (including contractor’s) are employed and activities are falling under scheduled I. Option is also available for voluntary coverage, if majority of employees and employer agrees for the coverage

EMPLOYEE’S ELIGIBILITY

Each state has its own rules and procedure for obtaining license and renewals. It includes approval of factory plans and machinery layout application for license / renewals with fees depending upon number of total workmen employed and installed horse power. Maintenance of various registers, records etc. Enactment also requires certain notices and returns to be submitted to the authorities. Industrial Law in Ahmedabad, Civil Law Matters Advocates in Ahmedabad

CONSEQUENCES

Employee’s salary (Basic + DA) rate is below Rs. 6,500/- pm

Remains to be covered, Opted to be covered even rate is above Rs. 6,500/- pm

Coverage of disabled an international workmen u/p 82 & 83 respectively

CONTRIBUTIONS

Normally 12% from employees and 13.61% (12+1.10+0.50+0.01) from employers

LIABILITIES & CONSEQUENCES

Employer is liable for both the shares of past periods

Contractor’s employees liability is on principal employer

Delay / Defaults in payments of contributions and charges leads to levy of damages, interest

Provisions of imprisonment and fine are there