Case Study: Employment Compliance for Remote Workers
Suppose a person X is based in Assam and is working for a private limited company Y from his home in Assam. The closest office of the private limited company Y is based in Delhi. Company Y is paying that person Rs. 16,000 per month. Is it legal or compliant if company Y shows person X as a full-time employee of the company on payroll? Person X has no other income source. Or does company Y have to show that person X as a contractor, making TDS applicable?
Compliance Documentation Requirements
Also, for compliance purposes, what are the documents (PAN card, appointment letter, etc.) we should keep in our company file for such employees?
Salary Increment and Payment Frequency Compliance
Is there any compliance requirement that makes it mandatory to increase the salary of employees every year, or can we keep it the same if the employee is happy?
Can we transfer a few months' salary of an employee together, or is it mandatory to transfer it every month? The employee is happy if we transfer the salary together. Please let us know.
Regards,
Khusboo
From India, Mohali
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Suppose a person X is based in Assam and is working for a private limited company Y from his home in Assam. The closest office of the private limited company Y is based in Delhi. Company Y is paying that person Rs. 16,000 per month. Is it legal or compliant if company Y shows person X as a full-time employee of the company on payroll? Person X has no other income source. Or does company Y have to show that person X as a contractor, making TDS applicable?
Compliance Documentation Requirements
Also, for compliance purposes, what are the documents (PAN card, appointment letter, etc.) we should keep in our company file for such employees?
Salary Increment and Payment Frequency Compliance
Is there any compliance requirement that makes it mandatory to increase the salary of employees every year, or can we keep it the same if the employee is happy?
Can we transfer a few months' salary of an employee together, or is it mandatory to transfer it every month? The employee is happy if we transfer the salary together. Please let us know.
Regards,
Khusboo
From India, Mohali
Acknowledge(0)Amend(0)
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