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PF applicability

VISHES KUMAR (Manager Accounts & Tax) (55 Points)

12 May 2011

Dear sir,

please tell me that when bonus Applicability Bcz now i have registered in PF but still we have not received bonus from company so what bonus is mandatary or not in case of PF applicable.

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7 Replies

Ankit (ca final) (287 Points)
Replied 12 May 2011

I think there is no relation btn PF & Bonus applicability

Bonus Act 1965 is applicable to

all factories
all estabilishments in which greater than 20 persons are employed on any date of A/C ing year

PF Act 1953 is applicable to

al estabilishment which arel factories
engaged in business mentioned in 1st schedule of this act
in which greater than 20 persons are employed on any day of A/C ing year

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(Guest)

Originally posted by : Ankit Mehta
	I think there is no relation btn PF & Bonus applicability Bonus Act 1965 is applicable to all factories all estabilishments in which greater than 20 persons are employed on any date of A/C ing year PF Act 1953 is applicable to al estabilishment which arel factories engaged in business mentioned in 1st schedule of this act in which greater than 20 persons are employed on any day of A/C ing year

U S Sharma (glidor@gmail.com) (21063 Points)
Replied 12 May 2011

1. Short title, extent and application - (1) This Act may be called the Payment of Bonus Act,1965

(2) It extends to the whole of India [Note: The words "except the State of Jammu and Kashmir" omitted by Act 51 of 1970, Sec.2 and Schedule (w.e.f. 1^st September,1971).

(3) Save as otherwise provided in this Act, it shall apply to -

(a) Every factory; and

(b) Every other establishment in which twenty or more persons are employed on any day during an accounting year :

[(Note: Ins. by Act 23 of 1976, Sec.3 (w.e.f. 25^th September, 1975) Provided that the appropriate Government may, after giving not less than two months' notice of its intention so to do, by notification in the official Gazette, apply the provisions of this Act with effect from such accounting year as may be specified in the notification, to any establishment or class establishments [including an establishment being a factory within the meaning of sub-clause (ii) of Cl. (m) of Sec.2 of the Factories Act, 1948 (63 of 1948)] employing such number of persons less than twenty as may be specified in the notification ; so however, that number of persons so specified shall in no case be less than ten.]

APPLICABILITY OF EMPLOYEES' PROVIDENT FUND AND MISCELLANEOUS PROVISIONS ACT '1952

The Employees' Provident Fund and Miscellaneous Provisions Act 1952 applies to the whole India except Jammu & Kashmir.

Employees' Provident Fund and Miscellaneous Provisions Act 1952 is applicable to:

Every establishment which is engaged in any one or more of the industries specified in Schedule I of the Act or any activity notified by Central Government in the Official Gazette. (List of Industries/Establishments)

Employing 20 or more persons .

Cinema Theatres employing 5 or more persons.

The Act does not apply to:

The co-operative societies employing less than 50 persons and working without the aid of power.16(1)(a)

The establishment to which this Act applies shall continue to be governed by this Act , even if the number of employees falls below 20 at a later date. [ 1(5)].

16(1)(b) Establishments under the control of state/central Govt.& employees who are getting benefits in the nature of 16(1) (b) contributory P.F. or old age pension as per rules framed by the Govt.

16(1)(c) Establishment set up under any central, provincial or state act and the employees who are getting benefits in the nature of contributory P.F. or old age pension as per rules.

ADITYA (Manager Finance) (742 Points)
Replied 13 May 2011

I do agree with Mr Ankit mehta.

The Provident Fund is governed by EMPLOYEES' PROVIDENT FUND AND MISCELLANEOUS PROVISIONS ACT '1952 and Bouns is governed by Payment of Bonus Act,1965 having its own criteria for applicability.

You have to check your salary pattern for applicablity of Bonus in your case.

CA Nikhilesh Singla (CA) (83 Points)
Replied 13 May 2011

there is no inter-relation b/w bonus nd pf...

you just go through the bonus applicability act nd then you can know weather bouns is applicable on your company or not..

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prem varma (accountant) (31 Points)
Replied 15 May 2011

i am an accountant from last 11 yrs in chemical company ( constitution- proprietorship)my employar has given me 3000/- Rs. bonus for deepavali. my salary is 8500/- no extra leaves taken by me in hole year, but he said that said bonus as per rools and regulation, who can tell me is it true of wrong

kindly help me above said matter