Hi,
Would like to know whether should we deduct ESI, PF & P.T on stipend payable to a student, who attends project work in a company.??
In case if stipend attracts the above, under which head we can pay the sum without any deductions.??
Please suggest me.
-
vishwanath
From India, Hyderabad
19Would like to know whether should we deduct ESI, PF & P.T on stipend payable to a student, who attends project work in a company.??
In case if stipend attracts the above, under which head we can pay the sum without any deductions.??
Please suggest me.
-
vishwanath
From India, Hyderabad
dont deduct ESIC, EPF & P-Tax from their stipend amount act are not applicable for this kind of student.ESIC, EPF & P-Tax deduct from the wages/salary, but stipend amount we are never call wage/ salary
From India, Kolkata
From India, Kolkata
Dear Vishwanath,
According to my understanding, No, you cannot deduct ESI, PF and PT on Stipend.
"Stipend" would be constituted as a payment made to "Trainees" and would be goverened by "APPRENTICESHIP ACT 1961". Please go through this Act which is avaialble on internet at various sources including www.citehr.com.
"Stipend" is not "Salary" and hence I guess you cannot not give them the same treatment as you would give to "Salaried Employees".
Ukmitra
From Saudi Arabia, Riyadh
According to my understanding, No, you cannot deduct ESI, PF and PT on Stipend.
"Stipend" would be constituted as a payment made to "Trainees" and would be goverened by "APPRENTICESHIP ACT 1961". Please go through this Act which is avaialble on internet at various sources including www.citehr.com.
"Stipend" is not "Salary" and hence I guess you cannot not give them the same treatment as you would give to "Salaried Employees".
Ukmitra
From Saudi Arabia, Riyadh
Dear Vishwanath,
Just recently, I have given reply about difference between stipend and salary. You may click the following link:
https://www.citehr.com/423069-differ...ml#post1915777
Ok...
Dinesh V Divekar
From India, Bangalore
Just recently, I have given reply about difference between stipend and salary. You may click the following link:
https://www.citehr.com/423069-differ...ml#post1915777
Ok...
Dinesh V Divekar
From India, Bangalore
Hi Divekar,
I had gone through the link. Thank you. I come across a discussion, to deduct P.T on Stipend. Can u plz clarify this.? Since stipend is not considered as wage/ salary, don't we have to pay P.T on it.?
-vishwanath
From India, Hyderabad
I had gone through the link. Thank you. I come across a discussion, to deduct P.T on Stipend. Can u plz clarify this.? Since stipend is not considered as wage/ salary, don't we have to pay P.T on it.?
-vishwanath
From India, Hyderabad
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