Dear sir My question is that Is PF & ESI is Applicable on the owner of the company or they can be exempted
From India, Chandigarh
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1From India, Chandigarh
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It depends if your owner is on the rolls of the company, then all statutory complinace need to be taken care.
From India, New Delhi
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From India, New Delhi
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Hi Sanjeev,
As per the Provident Fund Act of 1952, PF shall be applicable to all employees working with 20 or more employees in the organization. If the owner of the company is considered an employee, they must be treated as a member of PF.
According to the Employees' State Insurance Act of 1948, the mentioned eligibility criteria apply to this act. However, you can avoid the same if the gross salary exceeds 10,000/- per month. In such cases, those employees will not be considered under ESIC.
For more details, feel free to revert back to me.
Thanks & Regards,
From India, Mumbai
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As per the Provident Fund Act of 1952, PF shall be applicable to all employees working with 20 or more employees in the organization. If the owner of the company is considered an employee, they must be treated as a member of PF.
According to the Employees' State Insurance Act of 1948, the mentioned eligibility criteria apply to this act. However, you can avoid the same if the gross salary exceeds 10,000/- per month. In such cases, those employees will not be considered under ESIC.
For more details, feel free to revert back to me.
Thanks & Regards,
From India, Mumbai
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dear sanjeev your query is confusing and not clear .what do u want to ask make it clear. tks j s malik
From India, Delhi
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From India, Delhi
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Dear, If the owner’name is enrolled in the company records as a company employee , So that the all rules & reguation will be applicable on him.
From India, Hyderabad
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From India, Hyderabad
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Tushar Rightly said ,one addition if basic is above Rs.6500/- it is not mandatory to become member of PF
From India, Madras
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From India, Madras
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Dear Malik Sir,
I have one more question for you regarding PF applicability. If the factory and head office are located at different places, and the PF code is obtained from the head office location, is it acceptable? Can the PF inspector from the factory location inspect the factory even though the number is not registered under that area's PF commissionerate?
Please guide.
Regards,
Brijesh
From India, Pune
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I have one more question for you regarding PF applicability. If the factory and head office are located at different places, and the PF code is obtained from the head office location, is it acceptable? Can the PF inspector from the factory location inspect the factory even though the number is not registered under that area's PF commissionerate?
Please guide.
Regards,
Brijesh
From India, Pune
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Dear Sanjeev,
For the purpose of the PF & Misc. Provisions Act, the owner of the firm cannot be said to be an employee of the firm as a person cannot be both an employer and an employee. The ESIC is applicable to employees drawing a salary below Rs. 10,000. Since the owner does not draw a salary, he shall not be entitled to ESIC as well.
Regards,
Brijesh
From India, Pune
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For the purpose of the PF & Misc. Provisions Act, the owner of the firm cannot be said to be an employee of the firm as a person cannot be both an employer and an employee. The ESIC is applicable to employees drawing a salary below Rs. 10,000. Since the owner does not draw a salary, he shall not be entitled to ESIC as well.
Regards,
Brijesh
From India, Pune
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Dear Sir,
If the owner is the proprietor of the company, PF & ESI are not applicable. You cannot enroll the proprietor as an employee of the company. Partners and directors of the company may contribute to PF.
Regarding the factory not covered under PF, you can include the factory details in the main code and remittance may be started irrespective of the number of employees. When the PF inspector visits your area, you can show the Form 6 return copy and the list of covered employees. However, for ESI, you need to obtain a separate code number.
I hope this is clear.
D.D. Narasimhan
From India, Coimbatore
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If the owner is the proprietor of the company, PF & ESI are not applicable. You cannot enroll the proprietor as an employee of the company. Partners and directors of the company may contribute to PF.
Regarding the factory not covered under PF, you can include the factory details in the main code and remittance may be started irrespective of the number of employees. When the PF inspector visits your area, you can show the Form 6 return copy and the list of covered employees. However, for ESI, you need to obtain a separate code number.
I hope this is clear.
D.D. Narasimhan
From India, Coimbatore
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Statutory Compliance of a Industrial or Commercial Unit.xls
Statutory-compl iance.pdf
Statutory Compliance.zip