Head - Outsourcing
Srinath Sai Ram
Hr Manager
Sr. Manager (p&a)

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Hi,1. If Highly skilled retired employees rejoin the same office, where now they are getting monthly consolidated payment. What could be TDS and Service tax compliance?
2. Can we account such payment as salary payment?
3.If the above employees are from IV class.i.e peon where they getting payment less than 15000, what could be PF compliance? Is there any age bar for PF contribution?

Retired employees when reengaged by the same employer they have deduct TDs as applicable and desired to pay Service tax can do so provided the employee should have TIN no. EPF and ESI shall not be applicable on completion of 58 years of age.

There is no age limit for ESI coverage. Therefore ESI contribution has to be paid. Regards N Nataraajhan, Sakthi Management Services (Hp : + 91 94835 17402 ; e-mail :
TDS is applicable as per IT Act.Service Tax is not applicable, since they are not Service providers.The Question of TIN does not arise.
ESI is Applicable provided Monthly Gross Emoluments is below the Coverage Limit of Rs21,000/-PM Same ESI Insurance # to be used
With regard to PF, Obtain Form 11(New ) Declaration Form
Ensure that they have withdrawn their EPF Accumulations & drawing EPS Pension, if eligible.In such a scenario, you need not cover them under PF on the ground that the Employee has attained the age of Retirement of 58 Years at the time of Re Joining & having been a member of EPF earlier has withdrawn PF Accumulations

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