Sir, We have a contractor who is engaged in 2 to three cos. as contractor under same firm, though we regularly deposit esi contribution on his behalf against his employees engaged at our premises, since he hasn't deposited the contributions against employees engaged at other cos. He hasn't file the returns. Now, I need to know, is there any options where we can file returns of his employees working at our unit.
From India, Dharamsala
From India, Dharamsala
Dear gyalpo, There is provision exist in ESI Act that Principal Employer ( co. in which you are employed) can deposit the contribution towards ESI and PF for the employees of Contractor.Since its your responsibility as to whether contractor is adhere to various legal and statutory requirements. However P.E. can deduct such contribution from the invoices raised by contractor. regards, Nawazish
From India, Calcutta
From India, Calcutta
primary responsibility lies with Contractor to file the returns towards ESIC for its employees. In case he fails to do the same ; Principal Employer has to deposit the contribution for contract employee. Amount of contribution made by P.E. in this regard needs to be recovered from the payment made to the contractor. Hope my reply answers your query.
From India, Calcutta
From India, Calcutta
hi. gyalpo, the responsibility of the P.E. will not disvolves by giving contract to others. No i suggest you to file the ESI Returns in r/o of the workmen engaged through the contractor on your co. code ,since you deposited the contributions on your co. code and suggest the contractor to apply for a individual code no. since he is having contracts in another co.'s also. and then ask him to deposit the statutory payments seperately for your co. workers and deposit the same after remittances.
From India, Hyderabad
From India, Hyderabad
Mr.Gyalpo, The reason for non submission of the returns might be the contractor doesn't have ESIC numbers of the other company employees.There is a solution for this problem.You can ask the contractor to file supplimentary returns for your employees only.Later once he got the 100% ESIC numbers he can submi the entire returns for pending employees. Regards, Keshav Reddy.
From India, Bangalore
From India, Bangalore
first of all, not filling ESI returns is very risky on the part of the principal employer. Insist on the contract to pay the same soon. to have a better control on the contractor, you need to ask for the copy of the monthly challan from the contractor for being paid the remittance. Ask him to produce the records like form 7,6 etc on a monthly basis. if you could help him. prepare the same in excel sheet and tell him to submit the same to the ESI local office and keep a file copy with you regards Devarajan
From India, Madras
From India, Madras
Dear Mr Gyalpo, Section 40 of the ESI Act clearly states that it is your responsibility to comply in respect of contract employees also. Accordingly what you have done is correct. Now you can submit the esi return in Form 5 superscribing on the top of the form as "CONTRACTOR" and submit the same to the concerned local office. Then only your liability ceases.
From India, Hyderabad
From India, Hyderabad
Dear Mr. Gyalpo, If your company has deposited the ESI dues (Both Shares) on behalf of such default contractor, you can submit the ESI return for contactor employees of your company on behalf of contractor. Such return would be able to provide the facilities and all to your contractor employees. Be sure that the amount of challan may be clearly tallied with your contractor staff salary. Thanks & Regards, Ajay Shukla, Kanpur 09839066035
From India, Calcutta
From India, Calcutta
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