I have constructed a building with 8000 sq. ft. for running an Ayurveda hospital. The construction was carried out by me employing different workers. Now the labor enforcement department has sent a notice to furnish a return in Form No. 1. Does the Building and Other Construction Workers Welfare Fund Cess Act apply to me? The majority of the workers employed were Bengalis.
From India, Cochin
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From India, Cochin
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The said construction work, if it is for repair, modification, or maintenance, then the Act is not applicable. Again, if the total cost of the fresh work, excluding the value of land and machines, is Rs. 10 lakhs or more, then you need to comply with the same. You may call me at 09634532026 for further clarification.
Regards,
RDS Yadav
Management Advisor
From India, Delhi
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153Regards,
RDS Yadav
Management Advisor
From India, Delhi
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Dear Rnc1471,
You have constructed a building which is not meant for your own residence. You must have employed more than 10 laborers to construct this building. Irrespective of the cost of construction, the provisions of the BOCW Act 1996 are applicable to you.
You were supposed to:
1. Obtain a registration certificate under this Act from the authority.
2. Submit a notice of commencement / completion of construction work.
3. Enroll the laborers as beneficiaries under the Act.
4. Submit Form I to the assessment officer.
5. Pay cess of 1% of the construction cost, apart from many other compliances under this Act.
The Labor Enforcement department is very right in issuing a notice to you to furnish a return in Form No. I.
From India, Mumbai
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You have constructed a building which is not meant for your own residence. You must have employed more than 10 laborers to construct this building. Irrespective of the cost of construction, the provisions of the BOCW Act 1996 are applicable to you.
You were supposed to:
1. Obtain a registration certificate under this Act from the authority.
2. Submit a notice of commencement / completion of construction work.
3. Enroll the laborers as beneficiaries under the Act.
4. Submit Form I to the assessment officer.
5. Pay cess of 1% of the construction cost, apart from many other compliances under this Act.
The Labor Enforcement department is very right in issuing a notice to you to furnish a return in Form No. I.
From India, Mumbai
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Dear Rnc1471,
As per your post contents, it is crystal clear that the BOCW Act/Rules are fully applicable to your establishment. The Government Labour Authorities are absolutely right in issuing a notice to your establishment. You have to statutorily abide by the core provisions of the BOCW Act/Rules and the Labour Welfare Cess Act/Rules and follow the line of action in terms of compliance. Any deviation will attract penal action under the provisions of the said Act/Rules.
Secondly, since you have engaged "Inter-State Migrant Workmen" for carrying out the said construction activity, the "Inter-State Migrant Workmen Act/Rules" are also applicable. Please abide by the core provisions of the said Act/Rules; otherwise, any deviation from the same would attract penalties/punishment from the concerned Government Labour Authorities.
Thanks, AK Sharma
From India, Mumbai
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As per your post contents, it is crystal clear that the BOCW Act/Rules are fully applicable to your establishment. The Government Labour Authorities are absolutely right in issuing a notice to your establishment. You have to statutorily abide by the core provisions of the BOCW Act/Rules and the Labour Welfare Cess Act/Rules and follow the line of action in terms of compliance. Any deviation will attract penal action under the provisions of the said Act/Rules.
Secondly, since you have engaged "Inter-State Migrant Workmen" for carrying out the said construction activity, the "Inter-State Migrant Workmen Act/Rules" are also applicable. Please abide by the core provisions of the said Act/Rules; otherwise, any deviation from the same would attract penalties/punishment from the concerned Government Labour Authorities.
Thanks, AK Sharma
From India, Mumbai
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Sir,
Could anybody share the mode of payment? When is it due? Is it due at the beginning of construction or stage-wise? What is the criteria for considering construction costs? Is it as per the books of accounts or any other simple method?
This information will be helpful to the forum.
Regards & Thanks,
Pramod Thakar
From India, Pune
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Could anybody share the mode of payment? When is it due? Is it due at the beginning of construction or stage-wise? What is the criteria for considering construction costs? Is it as per the books of accounts or any other simple method?
This information will be helpful to the forum.
Regards & Thanks,
Pramod Thakar
From India, Pune
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Building-and-ot her-constructio n-workers-act-1 996.pdf
THE BUILDING AND OTHER CONSTRUCTION WORKERS (REGULATION OF EMPLOYMENT AND CONDITIONS OF SERVICE).doc