I am confusing regarding Payment of Bonus Act Topic.. As per Institute's suggested answer of May'08 PCC exam, The upper limit for payment of bonus has been revised from 3,500p.m. to Rs.10,000 p.m. by way of notification dated 15th November 2007,... Now my question is "what does it mean" ???? Is It mean limit of person drawing salary or limit for calculating Bonus liability ???? As per Paduka latest addition, they are still with 3,500/- limit for calculating Bonus liability !!!!!
9 Replies
CA Sandeep Kumar
(Audit Assistant)
(804 Points)
Replied 19 October 2010
you are correct. employee drawing salary upto 10,000 alone shall be eligible to claim bonus. Please note the that limit is only to categorise the employees. For the purpose of calculation of bonus to employees, Rs 3500/- shall be considered (i.e minimum or maximum bonus shall be calculated in acc with Rs 3500)
I suggest u to read the bare act once atleast (amended one) before relying upon any reference book. Choose a good book. According to me, book which u have mentioned is good for nothing, you will realise once you advance to next stages in CA course. Mark my words
aksingal
(CA FINAL)
(96 Points)
Replied 19 October 2010
if u see compliation of suggested ans. it is 10000
pdf file is available on the net https://www.icai.org/post.html?post_id=5771
Vikas Gupta
(CHARTERED ACCOUNTANT)
(16295 Points)
Replied 20 October 2010
| Originally posted by : A.Jayasri | ||
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Yep! it is updated now... Bonus is available to the employees only who are drawing 10,000/-. |
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Harshit Gandhi
(Chartered Accountant)
(136 Points)
Replied 20 October 2010
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The amended limit is for Salary limit nd not for the bonus liability.
advasable is go through the Bare Act of bonus before relying on any other reference book.
Pulkesh Mehta
(Chartered Accountant)
(243 Points)
Replied 20 October 2010
Only eligibility criteria to get bonus is amended from 3500 p.m to 10,000 p.m & still employees having salary more than 3500 p.m ,their salary is deemed as 3500 p.m in calculation of Max. Bonus,Min. Bonus,set on limit.
Kalpesh Chauhan,
(Tax Assistant (Accounting Technician CA FINAL CS PROF. PROG. B.Com))
(8311 Points)
Replied 20 October 2010
| Originally posted by : Pulkesh Mehta | ||
|
Only eligibility criteria to get bonus is amended from 3500 p.m to 10,000 p.m & still employees having salary more than 3500 p.m ,their salary is deemed as 3500 p.m in calculation of Max. Bonus,Min. Bonus,set on limit. |
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