PF deduction

Pankaj K · #1 17-09-2009, 02:10 PM

Hi friends,

I need to know if I can pay someone working with us as 'consultant' , an amount more than 15000/- and not deduct P.F /ESIC etc.?
If yes pls tell me whether there is any other deduction or I give a flat amount of 15000/-

Pankaj Katgara
Kolkata

mnbhuvanendran · #2 01-11-2009, 11:40 AM

On a joint request in writing, any employee allow him to contribute on more than Rs.6500/- of his pay per month if he already a member of the fund and thereupon such employee shall be entitled to the benefit and subject to the conditions of the fund,provided that the employer gives an under taking in writing that he shall pay the administrative charges payable and shall comply with all statutory provisions in respect of such employee.Excluded employees means – an employee whose pay at the time he is other wise entitled to become a member of the Fund exceeds Rs.6500/- per month

chandrakant · #3 01-11-2009, 11:52 PM

if any person working as a consultant need not require to deduct the PF or ESI, As he is consultant you need to deduct his TDS and give the balance cheque..

Avika · #4 02-11-2009, 10:22 AM

You can pay any agreed amount to a consultant. You need not deduct PF, ESI etc as he is not on your payroll.

Please make sure that you deduct TDS and pay the net amount to the person.