Epf

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

26 January 2018 one employee gross salary 18000 but salary classification as under
Basis Salary 9000
House Rent 3600
Conv. Allow. 1800
Entertainment Allowance 900
Uniform& Washing 900
Other Allowances 1800
Total Salary 18000
this employee gross pay is exceed 15000 but basic salary is less than 15000
what is PF deduction this employee

KAVIRAJA ADDANGADI

KAVIRAJA ADDANGADI (Expert)
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26 January 2018 if the employee's Basic salary is above Rs 15,000, the employer is liable to contribute only on Rs 15,000 that is Rs 1,800. Your BASIC is Rs. 9000/- so PF is calculated on 12% on Rs.9000/ Rs.1080/-

Querist : Anonymous

Querist : Anonymous (Querist)

26 January 2018 My firm deducted Ep only for salary less than and equal to 15000 , but gross salary exceed 15000 not deducted pf
i am ask Queation this limit of 15000 gross or basic salary
tell me about this condition

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CA Suresh Jain

CA Suresh Jain (Expert)
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26 January 2018 It is on Basic Salary which, as per section 2(b) of EPF Act, means :
(b) “basic wages” means all emoluments which are earned by an employee while on duty or on leave or on holidays with wages in either case in accordance with the terms of the contract of employment and which are paid or payable in cash to him, but does not include-
(i) the cash value of any food concession;
(ii) any dearness allowance that is to say, all cash payments by whatever name called paid to an employee on account of a rise in the cost of living, house-rent allowance, overtime allowance, bonus, commission or any other similar allowance payable to the employee in respect of his employment or of work done in such employment;
(iii) any presents made by the employer;

Querist : Anonymous

Querist : Anonymous (Querist)

26 January 2018 what is gross salary is exceed 15000 but basic salary less than 15000 pf deduction is mandatory

KAVIRAJA ADDANGADI

KAVIRAJA ADDANGADI (Expert)
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26 January 2018 If you organisations covered EPF than the have t deduct EPF on The Basic salary up to Rs.15000/-