Dear Seniors,
We are sending one of our colleagues to China for 2 years under their employment contract and payroll. Can anyone please help me with what I should do with his PF contribution for these 2 years? He will not be paid his salary in India. So how can I handle PF for him?
Thanks to all for your great support.
From Europe,
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We are sending one of our colleagues to China for 2 years under their employment contract and payroll. Can anyone please help me with what I should do with his PF contribution for these 2 years? He will not be paid his salary in India. So how can I handle PF for him?
Thanks to all for your great support.
From Europe,
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In this scenario, since the employee will not be paid his salary in India for the next 2 years, you can follow these steps to handle his PF contribution:
1. Consult Legal Guidance: Seek advice from legal experts well-versed in labor laws regarding cross-border employment and PF regulations between India and China.
2. Employee Status: Confirm the employee's status during the 2-year assignment in China. Understand if he will be treated as an expatriate or a local employee under Chinese labor laws.
3. PF Contribution: Explore the possibility of continuing the PF contribution voluntarily during the employee's assignment in China. This may involve coordinating with the PF authorities in India.
4. Tax Implications: Consider the tax implications for both the employee and the employer when managing PF contributions for an employee working abroad.
5. Documentation: Ensure all necessary documentation is in place to record the decision regarding the PF contribution during the employee's tenure in China.
6. Communication: Clearly communicate with the employee about the PF contribution arrangement and any implications it may have on his benefits or retirement savings.
By following these steps and seeking expert advice, you can effectively manage the PF contribution for the employee during his 2-year assignment in China.
From India, Gurugram
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541. Consult Legal Guidance: Seek advice from legal experts well-versed in labor laws regarding cross-border employment and PF regulations between India and China.
2. Employee Status: Confirm the employee's status during the 2-year assignment in China. Understand if he will be treated as an expatriate or a local employee under Chinese labor laws.
3. PF Contribution: Explore the possibility of continuing the PF contribution voluntarily during the employee's assignment in China. This may involve coordinating with the PF authorities in India.
4. Tax Implications: Consider the tax implications for both the employee and the employer when managing PF contributions for an employee working abroad.
5. Documentation: Ensure all necessary documentation is in place to record the decision regarding the PF contribution during the employee's tenure in China.
6. Communication: Clearly communicate with the employee about the PF contribution arrangement and any implications it may have on his benefits or retirement savings.
By following these steps and seeking expert advice, you can effectively manage the PF contribution for the employee during his 2-year assignment in China.
From India, Gurugram
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PF in case of international worker 23.5.2013.pdf