Dear Seniors/Colleagues,
An employee takes an advance as a loan from his employer that can be recovered from his monthly salary in installments. After some time, the employee resigns from the organization and submits the PF withdrawal as per the rules.
Now, the employer submits the PF withdrawal with a letter stating that Rs.... so and so amount is due from the employee as an advance, and please recover it from his EPF remittance.
The question now is, can the PF commissioner recover the advance amount that was taken by the employee from his employer or not? If yes, please mention the clause/rules/section of the EPF Act.
Regards,
Imran Alam
From India, Pune
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4An employee takes an advance as a loan from his employer that can be recovered from his monthly salary in installments. After some time, the employee resigns from the organization and submits the PF withdrawal as per the rules.
Now, the employer submits the PF withdrawal with a letter stating that Rs.... so and so amount is due from the employee as an advance, and please recover it from his EPF remittance.
The question now is, can the PF commissioner recover the advance amount that was taken by the employee from his employer or not? If yes, please mention the clause/rules/section of the EPF Act.
Regards,
Imran Alam
From India, Pune
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EPF-Circular-da ted-23-May-2011 -Splitting-of-M inimum-Wages-fo r-the-Purpose-o f-PF-Contributi on-Not.pdf