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Ajay Agarwal (Executive)     11 September 2012

Pf on special allowance

Can PF officer order PF contribution on special allowance ? Our salary structure is like this.

Basic 25%

Special allowance 25%

HRA 25%

Conveyance 25% 

EPFO is saying that they cannot accept 25% as basic and will add special allowance for contribution. Is he well within his right ?



Learning

 1 Replies

Sudhir Kumar, Advocate (Advocate)     12 September 2012

No they cannot.  But on mere sight this appears to be case of artifical reduction of basic pay.  They appear to be right.


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