ESI Query .

Dear Friends,
Would like to know from you all whether Conveyance allowance is not taken into consideration for coverage purpose in ESI i.e if employee X draws a gross salary of Rs. 10,150/- per month which also includes a conveyance allowance of Rs. 200/- as such whether since we exclude Rs. 200/- (Conveyance from Gross) it is Rs. 9950/- hence ESI is deducted.
But whether on Conveyance allowance is ESI deducted or excluded? I am confused… I hope I could convey my query to you’all.
Pls help me … I need ur opinions / advice on the above.
Pls respond…

"travelling allowance" had been excluded from the definition of "wages" in ESI Act. Conveyance allowanec is nothing but travelling allowance.
So not included for the purpose of calculation contribution.

Dear
lot of decision of court came in this regard,presently coveyance allowance has to taken in to consideration for ESI ,so he is to be excluded from ESI contribution.
regards
js malik

"reimbured" or "fixed" it is conveyance allowance, so has to be excluded for the purpose of calculation of ESI contributions.