Levy of Penal Damages - Deposit of contributions through Internet Banking. - The Employees Provident Funds and Miscellaneous Provisions Act, 1952
As per the earlier manual procedure for deposition of payment of contribution, cheque or demand draft presented by the employer to the SBI on or before the due date even if the deposit is credited after the due date were not treated as belated deposit of PF contributions. The date of presentation of cheque as indicated in the challan or as verified from the acknowledgement given by the bank or in the establishment’s letter, forwarding the cheque or in the dispatch register may be taken as a proof and accordingly interest and damages were levied. Now, as you all are aware that the payment is compulsorily to be made through online banking/internet banking and in such case, the date of debit from the employer’s account may be taken as date of payment for the purpose of levy of damage by way of penalty.
Call us on 09920-100-462 |Request a quotation
LK Nakashe Consultants Pvt. Ltd is India’s leading compliance & labour law consulting firm. Headquartered in Mumbai, we are ISO 9001 Certified & Crisil Certified, and we serve all 29 states and 7 union territories of India. Our service bouquet includes Registration & Renewal Services, End-to-End Monthly Compliance Services, Audit & Due Diligence Services, Advisory & Consulting Services, Payroll Management Services and Contract Staffing Services. Our client list of 750+ companies includes some of India’s biggest business conglomerates, MNCs, public listed companies & SMEs