Can We Provide a Payslip to Consultants? Let's Discuss the Pros and Cons

Can we give a payslip to a consultant?

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Dear Geeta,

Consultants need to raise an invoice, and payment is made against the invoice. There is no payslip involved or required to be given in such a circumstance.

Regards,
Rahul

Pay slips are for employees. A consultant is not an employee. Thus, the issuance of a pay slip is not applicable.

Thanks,
S. Sensharma

Pay slips are given to employees, not consultants.

Based on the employment agreement, we can employ a person on a consultancy basis to minimize taxation, and they can pay the applicable percentage of TDS. Thus, we can issue a payslip, which can be referred to as a consultancy fee slip. There is no legal binding that prevents us from providing any statement to the retainers or consultants.

Thanks