Mistaken PF Deduction: How Can I Correct This for My Employee Next Month?

Hi, I just wanted to confirm with seniors that due to a mistake, I deducted PF from an employee, and the same amount has been deposited in the bank. Can we manage this amount for another employee next month and pay the deducted amount to the respective employee? What may be the procedure to do so? Please revert; your reply is awaited.

Regards,
Rajendra Jha

Your question is not clear. If you have deducted PF from an employee and deposited the same, then what is wrong with it? You are supposed to contribute the same amount along with administrative charges. The only thing is that your contribution should be bifurcated into two parts: Pension Fund and Provident Fund. If you mean to say that the entire 12% was deposited in PF account No. 1, then you can adjust the same in your next return of contribution. Please make it clear.

Regards,
Madhu T.K

Thank you very much for your reply. I am trying to clarify my question a little more. I have deducted an amount, and the same has been deposited as usual. Starting next month, that employee will not be covered by EPF. Can we adjust that amount for another employee? If you understand my point, please advise.

An employee once covered under the EPF will continue to be covered irrespective of any increase in their salary. Yes, you can restrict the contributions to 12% of Rs 6500. Therefore, there is no question of adjusting the amount paid against another employee.

Regards,
Madhu.T.K