Hi Friends,
We have to implement "Benevolent Fund" in our organisation.
Basically a Trust is to formed and the exemption from the Commissioner of Income Tax has to be sought. Thereupon the Accounting part is also to be managed / handled.
Does any one of you have information as to how to go ahead about this? Even any Consultant who is expert in this area can also help.
Warm Regards,
Datta P. S.
From India, Mumbai
We have to implement "Benevolent Fund" in our organisation.
Basically a Trust is to formed and the exemption from the Commissioner of Income Tax has to be sought. Thereupon the Accounting part is also to be managed / handled.
Does any one of you have information as to how to go ahead about this? Even any Consultant who is expert in this area can also help.
Warm Regards,
Datta P. S.
From India, Mumbai
Dear Datta,
Benevolent Fund:
Objective:
To safe guard our employee’s family after his/ her passes away.
Process:
Every employee will contribute minimum 10/- or more (monthly) and management also makes equal contribution and on the death of an employee, an amount of Rs.1, 00,000/- or more as fixed by the commitee would be paid from the fund to the nominee of the deceased employee within 30 days of the death of the employee.
Scope:
It Covers all employees except employees covered under life security plan or top management.
Applicability:
Applicable to all natural deaths & accidental death except suicide.
Source of Funds:
Contribution would be directly deducted from the salary and would be remitted to ABC Ltd. Employees’ Benevolent Fund Scheme or trust.
Validity + Grace Period:
if no such circumstance occurred to our employee within one year then collected fund is used for “Employee Recreation” activities or as decided by the panel members.
Panel Decision:
A committee is appointed to certify the death employee.
IT exemption can be done under 80G by getting approval for exemption from the Commissioner of Income Tax for the trust / Benevolent fund scheme.
From India, Mumbai
188Benevolent Fund:
Objective:
To safe guard our employee’s family after his/ her passes away.
Process:
Every employee will contribute minimum 10/- or more (monthly) and management also makes equal contribution and on the death of an employee, an amount of Rs.1, 00,000/- or more as fixed by the commitee would be paid from the fund to the nominee of the deceased employee within 30 days of the death of the employee.
Scope:
It Covers all employees except employees covered under life security plan or top management.
Applicability:
Applicable to all natural deaths & accidental death except suicide.
Source of Funds:
Contribution would be directly deducted from the salary and would be remitted to ABC Ltd. Employees’ Benevolent Fund Scheme or trust.
Validity + Grace Period:
if no such circumstance occurred to our employee within one year then collected fund is used for “Employee Recreation” activities or as decided by the panel members.
Panel Decision:
A committee is appointed to certify the death employee.
IT exemption can be done under 80G by getting approval for exemption from the Commissioner of Income Tax for the trust / Benevolent fund scheme.
From India, Mumbai
It is a continulus process hence the accumulated fund will be under fixed deposit with the nationalized bank and whenever there is a requirement it will be withdrawn and paid to the beneficiary.
you can also add that if any employee who contributes to the benevolent fund resigns in between then the amount contributed till date by him will be paid along with the final settlement amount.
Regards - kamesh
From India, Hyderabad
you can also add that if any employee who contributes to the benevolent fund resigns in between then the amount contributed till date by him will be paid along with the final settlement amount.
Regards - kamesh
From India, Hyderabad
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