Who Pays the Cess Under BOCW Act if the Contractor Defaults? Main Employer's Role Explained

Who is liable to pay cess under BOCW Act?

If a contractor has not paid the cess under the BOCW Act, the main employer can deduct cess dues from their bills or recover them as a debt.

The primary liability to pay the cess falls on the contractor who has completed the work by engaging or employing his workers. At the same time, if the contractor does not pay it, the owner of the building will have to pay it. It is up to the owner whether to recover the same from the contractor or not. If there is no amount pending, the owner of the building will have to bear the cost.

Who is liable to pay BOCW Cess?

Answer:

(1) The contractor is responsible for paying the BOCW Cess.

(2) The owner of the building or construction project is also liable to pay the BOCW Cess if the contractor did not obtain registration under the BOCW Act or if the contractor failed to pay the cess under the BOCW Act.