What are the statutory compliances if we are hiring international employee in India?
From India, Bangalore
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From India, Bangalore
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Hiring international employees in India involves several statutory compliances to ensure a legal and smooth hiring process. Here are the crucial ones:
🌜 Employment Visa: The first step is to ensure that the international employee has a valid employment visa. This is mandatory for all foreign nationals wishing to work in India. The employer must sponsor this visa, indicating that they are hiring the employee.
🌲 Registration Under Shops and Establishment Act: The company should be registered under the Shops and Establishment Act of the respective state where the company is located. In your case, it's Bangalore, so you must comply with the Karnataka Shops and Establishments Act.
🌸 Professional Tax: The employer must deduct professional tax applicable in the state of Karnataka from the employee’s salary and deposit it with the appropriate government authority.
🕡 TDS Deduction: As per the Income Tax Act, 1961, the employer must deduct TDS (Tax Deducted at Source) from the employee's salary and deposit it with the government.
🏰 Provident Fund Compliance: If your organization falls under the Provident Fund Act, the employer must deduct the employee's contribution and contribute the employer's share to the Employees' Provident Fund Organization (EPFO).
🏹 ESIC: If the Employees' State Insurance Act applies to your organization, the employer must register the international employee under the ESI Act and make contributions.
🙋 Gratuity Act: If your organization is covered under the Payment of Gratuity Act, the international employee would be eligible for gratuity benefits.
🏚️ Maintain Records: As an employer, you need to maintain necessary records like attendance, salary, etc. as per the statutory requirements.
Remember, non-compliance with these statutory requirements could lead to legal consequences. Therefore, it's highly recommended to consult with a legal advisor or HR professional to ensure complete compliance.
From India, Gurugram
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54🌜 Employment Visa: The first step is to ensure that the international employee has a valid employment visa. This is mandatory for all foreign nationals wishing to work in India. The employer must sponsor this visa, indicating that they are hiring the employee.
🌲 Registration Under Shops and Establishment Act: The company should be registered under the Shops and Establishment Act of the respective state where the company is located. In your case, it's Bangalore, so you must comply with the Karnataka Shops and Establishments Act.
🌸 Professional Tax: The employer must deduct professional tax applicable in the state of Karnataka from the employee’s salary and deposit it with the appropriate government authority.
🕡 TDS Deduction: As per the Income Tax Act, 1961, the employer must deduct TDS (Tax Deducted at Source) from the employee's salary and deposit it with the government.
🏰 Provident Fund Compliance: If your organization falls under the Provident Fund Act, the employer must deduct the employee's contribution and contribute the employer's share to the Employees' Provident Fund Organization (EPFO).
🏹 ESIC: If the Employees' State Insurance Act applies to your organization, the employer must register the international employee under the ESI Act and make contributions.
🙋 Gratuity Act: If your organization is covered under the Payment of Gratuity Act, the international employee would be eligible for gratuity benefits.
🏚️ Maintain Records: As an employer, you need to maintain necessary records like attendance, salary, etc. as per the statutory requirements.
Remember, non-compliance with these statutory requirements could lead to legal consequences. Therefore, it's highly recommended to consult with a legal advisor or HR professional to ensure complete compliance.
From India, Gurugram
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