Bonus - Pf Esic

Dear Sir,
IS ESI AND PF DEDUCTED ON BONUS AMOUNT & IS THERE ANY EXEMPTION FOR NEW COMPANY FOR PAYMENT OF BONUS OR WHEN THE EMPLOYEE GET BONUS FIRST TIME IN NEW COMPANY.
HEMANT

ESI and EPF are not to be deducted from Bonus amount paid to employees.
As per Payment of Bonus Act, 1965, a new company need to pay bonus only in the year in which the company makes profits. However, this is available only for five years from the date of first production.
Regards,
Madhu.T.K

Dear Hemant,
With reference to the payment of bonus for newly set up establishments you may go through section 16 of the Payment of Bonus Act, 1965.
Regards,
R.N.Khola