Unpaid salary

This query is : Open

Querist : Anonymous

Querist : Anonymous (Querist)

23 July 2012 Dear all,

We have our details as under:

Unpaid salary (For 09-10): 10L
Bonus Salary (For 06-07, 07-08, 08-09) : 30L
Leave Encashment payable: 19L
Other credit balances of employees: 2L

All the liablities are unclaimed. Most of the employees have left the org without Full & final Settlement.

Please guide whether we can write back the amount in Profit & loss account or we need to transfer the amount in any government fund under any law in force in India(with references ) after a a certain period of time (like it is done in investors protection fund in case of unpaid dividends after 7 years) .

Also we have a debit balances of employees like tour advance recovery, other loan & advances. can we adjust the amount with the liablities as above.???

Amol S Joglekar

Amol S Joglekar (Expert)
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23 July 2012 The balances have to be written back after reasonable period of time. ( The reasonableness will differ from case to case) Do not forget to pass the resolution to that effect provided you are a COMPANY.

Querist : Anonymous

Querist : Anonymous (Querist)

30 July 2012 some more views???

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