Dear All,
I have a query to ask,if PF is being deducted from employees salary, but due to size of the organization PF cannot be deposited,then what are the legal actions that can happen to the organization? what are the precautionary measures that can be taken against it?
please help
Regards
Tanushree
From India, Kolkata
1I have a query to ask,if PF is being deducted from employees salary, but due to size of the organization PF cannot be deposited,then what are the legal actions that can happen to the organization? what are the precautionary measures that can be taken against it?
please help
Regards
Tanushree
From India, Kolkata
Hi
please give brief description regarding the same
If you have submitted PF return you may file revised return
if the matter after mar-12 (PF online) you may upload ecr of this member
VikramTrivedi
PF ESI Consultant
Mob.8898841995
From India, Mumbai
please give brief description regarding the same
If you have submitted PF return you may file revised return
if the matter after mar-12 (PF online) you may upload ecr of this member
VikramTrivedi
PF ESI Consultant
Mob.8898841995
From India, Mumbai
Dear Tanushree,
You can deposit the deducted amount right now.
But the belated payment will attract Damages and Interest at 5% for up to 2 months delay, 10% for 2-4 months, 15% for 4-6 months, 25% thereafter.
You need not pay these damages right now, a letter will be issued later in this regard.
Try to deposit the arrears immediately.
S.Sethupathy,
Excellent HR Services,
Erode.
From India, Coimbatore
You can deposit the deducted amount right now.
But the belated payment will attract Damages and Interest at 5% for up to 2 months delay, 10% for 2-4 months, 15% for 4-6 months, 25% thereafter.
You need not pay these damages right now, a letter will be issued later in this regard.
Try to deposit the arrears immediately.
S.Sethupathy,
Excellent HR Services,
Erode.
From India, Coimbatore
good morning all
Mr. S.Sethupathy said right in another way if you deducted the PF amount & not deposited to PF organization is a Legal offense.
as per law your are the collection agent who collect (deduct) money form the wages & deposited in the respective PF accounts. But i your case you did't did that you kept with you. means in one way you stolen money in between. legally its an offense.
you used a word Size with that we got a doubt that : Your company was not fall under PF act according to the size (number of emp) if that is the case. legally you cant deduct with the name of PF. But you did it in this case also you stolen the money............
first pay the deducted money then pay the Damage charges according to the PF authorities given letter
From India, Hyderabad
Mr. S.Sethupathy said right in another way if you deducted the PF amount & not deposited to PF organization is a Legal offense.
as per law your are the collection agent who collect (deduct) money form the wages & deposited in the respective PF accounts. But i your case you did't did that you kept with you. means in one way you stolen money in between. legally its an offense.
you used a word Size with that we got a doubt that : Your company was not fall under PF act according to the size (number of emp) if that is the case. legally you cant deduct with the name of PF. But you did it in this case also you stolen the money............
first pay the deducted money then pay the Damage charges according to the PF authorities given letter
From India, Hyderabad
i hv few questions to find possible way out
not given clarity on what made you fail to remit.
your size of org in small ? means no of employees
did you register your co with RPFC? if yes,
if you know that you have deducted and not paid due to any other reason (person in charge of pf is not well and left organisation without paying such dues) and is payable pay without waiting thru a challan.
during inspections, this may be pointed out by inspectors. As long as you hv not intentionally evaded, you will not have any problem and approach pf authorities , they will help in solving your issue.
else, pay without any delay further. Let what may come afterwards and defend or pay penality at a later.
From India, Hyderabad
not given clarity on what made you fail to remit.
your size of org in small ? means no of employees
did you register your co with RPFC? if yes,
if you know that you have deducted and not paid due to any other reason (person in charge of pf is not well and left organisation without paying such dues) and is payable pay without waiting thru a challan.
during inspections, this may be pointed out by inspectors. As long as you hv not intentionally evaded, you will not have any problem and approach pf authorities , they will help in solving your issue.
else, pay without any delay further. Let what may come afterwards and defend or pay penality at a later.
From India, Hyderabad
The query is incomplete and therefore giving a correct answer is not possible.
Like others, I will assume that you are a company with less than 20 employees
In that case, you are not required to register or pay for pf.
Therefore you should not deduct pf of the concerned employees.
I assume you deducted by error or on assumption that you would cross the limit.
(Which is also wrong as you need to deduct only after crossing the limit)
If you have deducted the same, refund the money to the employees as arrears.
You can not be persecuted for not depositing pf where it does not apply.
However, you can face action under payment of wages act for illegal deduction.
From India, Mumbai
Like others, I will assume that you are a company with less than 20 employees
In that case, you are not required to register or pay for pf.
Therefore you should not deduct pf of the concerned employees.
I assume you deducted by error or on assumption that you would cross the limit.
(Which is also wrong as you need to deduct only after crossing the limit)
If you have deducted the same, refund the money to the employees as arrears.
You can not be persecuted for not depositing pf where it does not apply.
However, you can face action under payment of wages act for illegal deduction.
From India, Mumbai
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PF is to be deducted on canteen allowance - Delhi HC 22.7.2013.pdf