PF PAYMENT ON ARREARS

There will be no penalty applicable. WHen arrears are paid the providendent deductible on the difference of pay can remitted and it would be sufficient compliance.

vasudevan

Dear Vasudeval ji,

Your verdic is correct, after enquiry with the RPF officials since the interest rate is giving on arrears the fine will be imposed is it true ?

Regards,

PBS KUMAR

Please review paragraph 29(3) of the EPF Scheme. the contribution paya ble to the PF authorities by the employer is on the wages actually drawn and hence there will be no question of interest on the differential contribution paid on arrears when the arrears were actually paid. 29. Contributions

(1) The contributions payable by the employer under the Scheme shall be at the rate of [ten per cent] of the [basic wages, dearness allowance (including the cash value of any food concession) and retaining allowance (if any)] payable to each employee to whom the Scheme applies:

Provided that the above rate of contribution shall be [twelve] per cent in respect of any establishment or class of establishments which the Central Government may specify in the Official Gazette from time to time under the first proviso to sub-section (1) of section 6 of the Act.

(2) The contribution payable by the employee under the Scheme, shall be equal to the contribution payable by the employer in respect of such employee:

Provided that in respect of any employee to whom the Scheme applies, the contribution payable by him may, if he so desires, be an amount exceeding [ten per cent] or [twelve per cent], as the case may be, of his basic wages, dearness allowance and retaining allowance (if any) subject to the condition that the employer shall not be under an obligation to pay any contribution over and above his contribution payable under the Act;

(3) The contributions shall be calculated on the basis of [basic wages, dearness allowance (including the cash value of any food concession) and retaining allowance (if any)] actually drawn during the whole month whether paid on daily, weekly, fortnightly or monthly basis.

Hi,

In your case no penalty and damages will be attracted because you will pay arrears with salary of March-11 and till 15th April(pf) and 21st April(esic) you have submitt thru challan .

Dear Mahesh Singh ji,

The Provident Fund year ending will be 28th February, now if you pay the arrears w.e.f. Jan,2011 the PF authorities are saying a fine will be imposed since they are also paying Interest rate on arrears.

Regards,

PBS KUMAR