ESI Employee & Employer contributions are reduced from 6.5% to 4% w.e.f 01st July,2019.
Now we will close the attendance for July’19 paysheet from 26th June to 25th July accordingly the reduced contributions are to be deducted as below.
1. 26th June to 30th June Employee & Employer Contributions to be recovered on 1.75% & 4.75%
2. 01st July to 25th July Employee & Employer Contributions to be recovered on 0.75% & 3.25%.
Now while we upload the challan for July month the ESI portal automatically calculate the contributions for Employee and Employer as 0.75% and 3.25% respectively. But there is a difference in deductions as per our Paysheet and generated Challans.
advice please.
From India, Kakinada
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Now we will close the attendance for July’19 paysheet from 26th June to 25th July accordingly the reduced contributions are to be deducted as below.
1. 26th June to 30th June Employee & Employer Contributions to be recovered on 1.75% & 4.75%
2. 01st July to 25th July Employee & Employer Contributions to be recovered on 0.75% & 3.25%.
Now while we upload the challan for July month the ESI portal automatically calculate the contributions for Employee and Employer as 0.75% and 3.25% respectively. But there is a difference in deductions as per our Paysheet and generated Challans.
advice please.
From India, Kakinada
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Hi,
What you have understood is totally wrong. What you have deduced is a complete mistake. Whatever method you may follow for attendance in payroll, whether it is from the 26th to the 25th or from the 1st to the end, in ESI it will be considered as the month of July. If you couldn't upload it in ESI, the postal service will not accept it. You will need to reverse your payroll.
Regards,
P. Packiaraj
From India, Bangalore
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39What you have understood is totally wrong. What you have deduced is a complete mistake. Whatever method you may follow for attendance in payroll, whether it is from the 26th to the 25th or from the 1st to the end, in ESI it will be considered as the month of July. If you couldn't upload it in ESI, the postal service will not accept it. You will need to reverse your payroll.
Regards,
P. Packiaraj
From India, Bangalore
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ESI Notification-12 -Reduced Contribution-we f 01 Jul'19-13.06.20 19.pdf