Dear Seniors,
I need suggestions in the following regards:
I was working with one of the educational institutes where I was the admin head. It was a newly started college in the year 2014 and had not registered under PF & Professional Tax statutory compliances. The company had never deducted any single rupee for PF & PT. They were providing a fixed salary only. However, when I left and after around 20 days, I received the full and final amount cheque after a deduction of Rs. 800/- for professional tax for 4 months.
What steps can I take against them, and is it really feasible for the company to take such action? Can they do this even if they have now registered for PF & PT? Please guide me on further actions.
Thanks in advance.
From India, Pune
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4I need suggestions in the following regards:
I was working with one of the educational institutes where I was the admin head. It was a newly started college in the year 2014 and had not registered under PF & Professional Tax statutory compliances. The company had never deducted any single rupee for PF & PT. They were providing a fixed salary only. However, when I left and after around 20 days, I received the full and final amount cheque after a deduction of Rs. 800/- for professional tax for 4 months.
What steps can I take against them, and is it really feasible for the company to take such action? Can they do this even if they have now registered for PF & PT? Please guide me on further actions.
Thanks in advance.
From India, Pune
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Hi,
They may not have deducted PF, as it cannot be registered overnight. But Professional tax is mandatory for all organizations to deduct and pay to local corporations/panchayats. If they have deducted but not paid to the authorities, you can send a letter through registered post asking for proof of challan or payment details to the authorities.
I believe that they would have paid that professional tax, which is deducted every 6 months (April to Sep will be deducted in Sep, and Oct to March will be deducted in March) by most organizations.
From India, Chennai
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They may not have deducted PF, as it cannot be registered overnight. But Professional tax is mandatory for all organizations to deduct and pay to local corporations/panchayats. If they have deducted but not paid to the authorities, you can send a letter through registered post asking for proof of challan or payment details to the authorities.
I believe that they would have paid that professional tax, which is deducted every 6 months (April to Sep will be deducted in Sep, and Oct to March will be deducted in March) by most organizations.
From India, Chennai
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Let me understand this.
You worked for a college for a year. 20 days after you left, they have given you full and final settlement. They have deducted ₹800 from that for profession tax which you have not paid during the one year you have worked there.
Now you want to take some legal action to recover that ₹800. Does it even matter?
It is an amount that by law you should have paid monthly for the last one year. The company is liable to pay it. They have deducted it rightly.
If you want, you can always ask for proof of payment to your previous employer. If he does nothing to get it, you can complain to the labor officer (I think your salary is above ₹18,000 per month so actually you are not covered under the Payment of Wages Act) or go and file a case in the small causes court. You can also file a complaint with the profession tax department.
But any of this will cost more than the ₹800. And of course, your previous employer will ensure you get a bad review every time someone does a background check on you.
From India, Mumbai
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You worked for a college for a year. 20 days after you left, they have given you full and final settlement. They have deducted ₹800 from that for profession tax which you have not paid during the one year you have worked there.
Now you want to take some legal action to recover that ₹800. Does it even matter?
It is an amount that by law you should have paid monthly for the last one year. The company is liable to pay it. They have deducted it rightly.
If you want, you can always ask for proof of payment to your previous employer. If he does nothing to get it, you can complain to the labor officer (I think your salary is above ₹18,000 per month so actually you are not covered under the Payment of Wages Act) or go and file a case in the small causes court. You can also file a complaint with the profession tax department.
But any of this will cost more than the ₹800. And of course, your previous employer will ensure you get a bad review every time someone does a background check on you.
From India, Mumbai
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Salary Sheet & PF PT Calculation & Challan Nov 2010.xls