What are the deduction components in a Payslip?

Hi All, We are a small startup with 3 employees. We don't have a dedicated HR and we end up doing many things on our own. We are revising the pay of our employees to 2.88 LPA. What are the deduction components in the Payslip? We understand we should deduct Professional tax ( TN ) which is Rs.200 pm. We don't have PF as we are too small. Is this amount taxable and what component does it fall under

Please advise the salary slip format for this. Waiting for your kind help in this regard.

Thanks in advance.

Regards,
Swarna
27th July 2023 From India, Coimbatore

Add Reply → Start New →

Parkash HR

Hi Swarna,
As per your request, there is an deduction of EPF, ESI, PT, is there for monthly basis foese you have to register the EPF(PF Regional office), ESI (Regional office)and PT(Coimbatore) corporation, then only you will deduct from employees and pay to concern dept.
The deduct are exempted from Income Tax under sec10.

Regards,
Prakash G
9003009639
28th July 2023 From India, Chennai

jeevarathnam

639

Hi Swarna

EPF is applicable only if you have 20 and more headcount including contractual workmen & ESI is 10 & above.

Yes PT need to be deducted & remitted to the local municipal authorities & its not Rs. 200. In TN there are 5 slabs & paid on half yearly basis ie. March & Sep & for than u need registration too.

If the salary is around 2.88 PA then IT is not applicable as its lesser than the limit
28th July 2023 From India, Bangalore

swarna-sundararaman

Hi Sir, Thank you very much for the clarity provided. We will go ahead and design our salary structure as suggested. Regards Swarna
28th July 2023 From India, Coimbatore

swarna-sundararaman

Sir ,

A quick Query. The employees would draw an amount of Rs 23000 pm and located in Chennai. What would be the PT deduction per month for the employee.

Thanks for your help in advance.

Regards,
Swarna
31st July 2023 From India, Coimbatore

Community Support and Knowledge-base on business, career and organisational prospects and issues - Register and Log In to CiteHR and post your query, download formats and be part of a fostered community of professionals.

Other Discussions That May Be Relevant

Does notice pay deduction should be equal to basic pay or gross pay?

Professional tax deduction - calculated on ctc or gross pay or net pay?

Is any private deduction possible from employee's salary without employee's permission by any central government organisation in india?

Related Files & Downloads Shared By Members