Hi,
I’m working in a Financial Company & we have a sub branch of Real E-state, both of the companies are separate Pvt. Ltd. farm with two different group of employee but both group employees are getting the salary from its own enrolled farm, means 1st Company (F.C.) employees from 1st Company (F.C.) & 2nd. Company (R.E) employees from 2nd. Company (R.E), as because both of the companies are partly & partially involve to each other so the salary amount which is given to employees should be distribute by both of the company (means each company should give 50% of salary to other else both the companies gonna give penalty for this.
So, can anybody suggest me how to be penalty free from this procedure & what we should write in all employees appointment letter? How they would be enrolled into both of the company?
Waiting for the response!
From India, Bangalore
1I’m working in a Financial Company & we have a sub branch of Real E-state, both of the companies are separate Pvt. Ltd. farm with two different group of employee but both group employees are getting the salary from its own enrolled farm, means 1st Company (F.C.) employees from 1st Company (F.C.) & 2nd. Company (R.E) employees from 2nd. Company (R.E), as because both of the companies are partly & partially involve to each other so the salary amount which is given to employees should be distribute by both of the company (means each company should give 50% of salary to other else both the companies gonna give penalty for this.
So, can anybody suggest me how to be penalty free from this procedure & what we should write in all employees appointment letter? How they would be enrolled into both of the company?
Waiting for the response!
From India, Bangalore
Dear Pushpa,
Greetings!!!!
Double employment is not allowed in India unless specifically mentioned b contracting parties and that too i exceptional cases.
In my opinion, putting your employees on two rolls simultaneously is a very amateurish kind of idea.
From India, Delhi
Greetings!!!!
Double employment is not allowed in India unless specifically mentioned b contracting parties and that too i exceptional cases.
In my opinion, putting your employees on two rolls simultaneously is a very amateurish kind of idea.
From India, Delhi
Dear Pushpa,
Keep employees on roll of one company contributing 50% amount of salaries and others on roll of other company.
This way, employees will escape double employment and Accounting for the purpose of TDS will be easy. For further saving on TDS, you may consult expert of income Tax/
Thanks
V K Gupta
From India, Panipat
Keep employees on roll of one company contributing 50% amount of salaries and others on roll of other company.
This way, employees will escape double employment and Accounting for the purpose of TDS will be easy. For further saving on TDS, you may consult expert of income Tax/
Thanks
V K Gupta
From India, Panipat
Well, in this case however the employees are employed by both companies but if you move them as for one company as onroll and for the other offroll. in that way all the employees will be onroll job for a company and for the other company they continue to work but they work offroll and in this way it will be easier to manage TDS and payroll also, by showing the investment proof you can make your tds zero.
From India, Lucknow
From India, Lucknow
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TDS circular.pdf
Format--new TDS rates.xls
BASICS OF TDS ON SALARY-1.doc