Hi! Everyone,This is sohail and I want to know that is PF deduction applicable on Leave payment or not? If not then can any body send me the fresh gezzette or notification of it please.Thanx.
From India, Surat
From India, Surat
117
Hi to all
As per the Supreme court judgment of dated 12.03.2009 and to the Provident Fund Commissioner clarification given on dated 06.07.2008, the PF not to be deducted from Leave encashment wages as it does not fall under Basic wage of the employee.
I am attaching here with the clarification given by the Regional Provident Fund Commissioner for your immediate reference and records.
Mohan Rao
Manager HR
From India, Visakhapatnam
As per the Supreme court judgment of dated 12.03.2009 and to the Provident Fund Commissioner clarification given on dated 06.07.2008, the PF not to be deducted from Leave encashment wages as it does not fall under Basic wage of the employee.
I am attaching here with the clarification given by the Regional Provident Fund Commissioner for your immediate reference and records.
Mohan Rao
Manager HR
From India, Visakhapatnam
Hi
dear all
as ot is very correct that there will be no PF deduction on Leave encashment but
when it is been service benefit for an employee such as in case of resignation,retirement,termination. but it will be deductable when any body encahed his/her leave while he/she is in continutaion of service .
Regards
Sandy
From India, Nagpur
dear all
as ot is very correct that there will be no PF deduction on Leave encashment but
when it is been service benefit for an employee such as in case of resignation,retirement,termination. but it will be deductable when any body encahed his/her leave while he/she is in continutaion of service .
Regards
Sandy
From India, Nagpur
DEAR ALL,
WITH REFERENCE TO THE QUESTION ON P.F. DEDUCTION ON LEAVE SALARY, THE FOLLOWING IS THE SUPREME COURT JUDGEMENT.
?Encashment of leave will not attract Provident Funds contributions since the definition of ‘basic wages’ given under the Act did not intend to include such type of payment besides that the Apex Court in Bridge & Roof Company (India) Limited has also clearly interpreted the term ‘basic wage’ hence the reliance as placed by the EPFO on the judgment of Bombay High Court has not been proper.
REFER THE FOLLOWING JUDGEMENT:
From India, Pune
WITH REFERENCE TO THE QUESTION ON P.F. DEDUCTION ON LEAVE SALARY, THE FOLLOWING IS THE SUPREME COURT JUDGEMENT.
?Encashment of leave will not attract Provident Funds contributions since the definition of ‘basic wages’ given under the Act did not intend to include such type of payment besides that the Apex Court in Bridge & Roof Company (India) Limited has also clearly interpreted the term ‘basic wage’ hence the reliance as placed by the EPFO on the judgment of Bombay High Court has not been proper.
REFER THE FOLLOWING JUDGEMENT:
2008 LLR 443
SUPREME COURT OF INDIA
Hon’ble Dr. Arijit Pasayat, J.
Hon’ble Mr. P. Sathasivam, J.
Appeal (Civil) 1832 of 2004
Decided on 12.3.2008
Manipal Academy of Higher Education
vs.
Provident Fund Commissioner
From India, Pune
Community Support and Knowledge-base on business, career and organisational prospects and issues - Register and Log In to CiteHR and post your query, download formats and be part of a fostered community of professionals.
PF deduction on leave encashment.doc
PF Contribution on Leave Encashment - Clarification by EPFO.pdf