Dear All,
There seems to be some confusion whether Employee's Contribution towards ESIC is exempted under Income Tax Act?
While calculation of Income earned by employee, whether Employee's contribution of 1.75% of Gross Salary towards ESI is deducted or added?
Request an early reply please.
Regards,
J. Alexander
From India, Calcutta
There seems to be some confusion whether Employee's Contribution towards ESIC is exempted under Income Tax Act?
While calculation of Income earned by employee, whether Employee's contribution of 1.75% of Gross Salary towards ESI is deducted or added?
Request an early reply please.
Regards,
J. Alexander
From India, Calcutta
Till recently those covered by ESI and contributing towards ESI should have gross salary of less than Rs 120000 which was insufficient for an employee to be liable to Income Tax. Now with an increase in ESI salary ceiling to Rs 15000, there might be some employees who may become IT payer. ESI being a social security measure and is like any other contribution towards medical or like mediclaim premium it shall be allowed as a deduction. Let us wait for more inputs.
Regards,
Madhu.T.K
From India, Kannur
4249Regards,
Madhu.T.K
From India, Kannur
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.
ESIC HANDICAPED EMPLOYEE REGISTRATION-23 0311PhyHEmp.pdf