Understanding Principal Employer Role in Ensuring Compliance with Service Tax & EPF Deposits

Hi there, I am Deepak, working as an executive in BSNL. BSNL gives many work contracts to contractors. Service tax is charged by them against the service provided. Now, being the principal employer, may I ask the contractor to present the proof of service tax deposition to the service tax department & EPF challans while he submits bills every month? He has the registration of Service tax as well as EPF. Is it the responsibility of the principal employer to ensure compliance with statutory obligations/payments such as Service tax & EPF for his employees? What documents should I ask him to present as proof of Service Tax deposition & EPF deposition?

Hi, you can ask about challans for PF deposition. You can also inquire about Form No. 6 for PF. As the employee has an ST number, you need to ask for the returns of S. tax deposited.

Dear Sir,

You have full right to ask him for proof of service tax deposition as well as EPF challan. For releasing future payment, you can, when the bill is presented, ask the contractors for the challans (EPF/Service tax) for the work done and then release the payments because he has to deposit the same in the first hand and then claim from the party.

Regards