Posted by & filed under Income Tax.

No need to run around to get tax receipts to claim the house rent allowance ( HRA) benefit anymore. You can generate them online now. Cleartax.in, the online tax filing platform has launched an auto rent receipt generator for its users. It is a free-to-use product that automates the generation of rental receipts and assists individuals in submitting their House Rent Allowance (HRA) proofs to their employers. 
All you have to do is go to the site and enter details such as their name, rent amount, address, the landlord’s name and PAN card details and the duration for which the receipts are to be generated. The Rent Receipt Generator then displays the required receipts, which can either be printed or downloaded for accessing later. The receipts can then be signed by the landlords and submitted towards the tax rebate. “It takes about a minute to generate rent receipts. The employee can print the PDF gen .. 

You don’t even need the revenue stamp if you are payment of rent is made via cheque. The receipt generated by ClearTax is sufficient. Revenue stamp is only needed if payment made in cash per receipt is more than Rs 5,000. “The service has become very popular in a very short time. We have already generated 2.5 lakh rent receipts across India,” said Gupta. 



@courtesy http://economictimes.indiatimes.com/

Posted by & filed under High Court Order on Bonus Act 2015.

Dear All,

Pls refer to the Vide Circular No. 15/2016 dated 2.2.2016  the Karnataka Employers’ Association and another Establishment have filed the Writ Petition before Hon’ble High Court of Karnataka in WP No.5272 & 5311/2016 challenging the portion of the Payment of Bonus (Amendment) Act 2015).

In my view as two  State High Court Order have been passed in regards to effective date should be from 1st Apr 2015 instead of 1st Apr 2014 ,we should Keep on hold the calculation & disbursement of the same. 
If  anyone has come across in regard to the said matter or update pls share the same.

Pls refer to the necessary order as attached 

interim-Order-in-Bonus (2015) Ammendment -Matter Karnataka High Court

Posted by & filed under Minimum Wages-Maharashtra.

Dear all,

As per per earlier blog as published in regards to Maharashtra Minimum wages Revision from 1st Jan 2016 till 30th Jan 2016 which was in local State Language & as per the earlier comments & demand I have made the English Version of the same.

In the said Minimum wages revision Pls add 5% HRA( As per Maharashtra Minimum  HRA Act 1983)  if no of employee count is 50. 

Pls refer to the said attach if anything have been missed out or any correction is to be done pls suggest me.



Minimum-Wages-Maharashtra 1st Jan 2016 to 30th June 2016-english

Posted by & filed under Factory Act.

Amendments taken place under Maharashtra Factories Act on 2.12.2015 are enforced by Govt. of Maharashtra w.e.f. 1st Feb., 2016 as per Notification dated 1.2.2016 hence earlier effective date of amendments as 2.12.2015 now stands cancelled. Following are amendments in nutshell.

The respective changes have been enclosed here.

FACTORIES-ACT-AS-AMENDED-BY-MAHARASHTRA-GOVERNMENT

Particulars Prior to Amendment Post Amendment Remarks
Section 2(m) definition of term ‘Factory’ Term ‘Factory’ has been defined to mean premises where:

  1. manufacturing process is carried on with the aid of power and 10 or more workers work on any day in the preceding 12 months; or
  2. manufacturing process is carried on without the aid of power and 20 or more workers work on any day in the preceding 12 months;
Factory means premises where:

  1. where manufacturing process is carried on with the aid of power and 10 or more workers or such number of workers as may be specified by the State Government by notification, from time to time work on any day in the preceding 12 months; or

    Provided that the number of workers to be specified by State Government shall not exceed 20 workers.

  2. where manufacturing process is carried on without the aid of power and 20 or more workers or such number of workers as may be specified by the State Government by notification, from time to timework on any day in the preceding 12 months;

    Provided that the number of workers to be specified by State Government shall not exceed 40 workers.

Pursuant to this amendment, the State Government is empowered to classify any premises as ‘Factory’ even when:

  1. the manufacturing is with the aid of power and less than 10 workers are working therein; or
  2. the manufacturing is  without the aid of power and less than 20 workers are working therein.

Conversely, pursuant to this amendment, the State Government is also empowered, to issue a notification, and thereby not classify any premises as ‘Factory’ even if:

  1. the manufacturing is with the aid of power and 19 or less workers are working therein; or
  2. the manufacturing is without the aid of power and 39 or less workers are working therein.
Section 65(2) (Power to make exempting orders) The State Government or the Chief Inspector were empowered to exempt any or all adult workers of any factory or group/class of factories  from compliance of any or all Sections 51(Weekly hours), 52 (Weekly holidays), 54(Daily hours), 56(Spread over).

This exemption was made available to enable the factory or factories to deal with an exceptional press of work.

For this purpose, the State Government or the Chief Inspector had to pass a written order stipulating the conditions for exemption.

In order to deal with exceptional press of work, any or all adult workers of the factories shall be exempted from compliance of any or all Sections 51(Weekly hours), 52 (Weekly holidays), 54(Daily hours), 56(Spread over).

The terms and conditions for aforesaid exemption shall be prescribed in the rules.

Pursuant to this amendment, the terms and conditions for availing exemption from compliance under Sections 51(Weekly hours), 52 (Weekly holidays), 54(Daily hours), 56(Spread over)would be prescribed under Maharashtra Factories Rules, 1963.

Thus the need to approach authorities under the Principal Act for exemptions has been done away and instead the terms and conditions for the exemption will be prescribed in the rules.

Note: At present the rules for the exemption have not been notified. Once the State Government notifies the rules, it would become clear as to when and under what circumstances the factory would be exempted from compliance with aforesaid provisions of Principal Act.  

Section 65(3)(iv) (Power to make exempting orders) The exemption granted under Section 65(2) is subject to certain conditions set out in Section 65(3). One of the conditions is that no worker shall work overtime for more than 7 days at a stretch and the total overtime hours shall not exceed 75 hours in any quarter. The limit of overtime hours has been increased from 75 hours to 115 hours per quarter. The overall exemption/relaxation with respect to overtime hours that a factory can avail for dealing with exceptional press of work shall not exceed 115 hours per quarter.
Section 66(1)(b) proviso (Further restrictions on employment of women) Section 66(1) amongst others restricted women employees to work in any factory except between the hours of 6 A.M. to 7 P.M.

However, the State Government may, by a notification in the Official Gazette, vary these limits to the extent that no woman shall be employed in factory between the hours of 10 a.m. to 5 p.m.

The women workers are now allowed to work even between 7:00 p.m. and 6:00 a.m. in any factory in which prescribed adequate safety and security measures or safeguards are provided. Women workers are now allowed to work in night shift provided the prescribed rules as to their safety and safeguards is adequately provided.

Note: At present the rules for adequate safety and safeguard of women employees have not been provided in the Maharashtra Factories Rules 1963.

Section 79(1) (Annual leave with wages) In order to be eligible for leave with wages, every worker was required to work in a factory for 240 days or more during a calendar year. The requirement of working 240 days has now been reduced to 90 days.

Similar change has been incorporated inExplanation 1 which deals with computation of the period of 240 days.

Now workers will become eligible for leaves with wages in the subsequent year if they work for 90 or more days in a calendar year.
Section 85(1)(i) (Power to apply the act to certain premises) Pursuant to this section the State Government may notify applicability of any or all provisions of the Principal Act on any premises where manufacturing process is carried on:

  1. with aid of power and employing less than 10 workers;
  2. without the aid of power and employing less than 20 workers.
The State Government may notify applicability of any or all provisions of the Principal Act on any premises where manufacturing process is carried on:

  1. with aid of power and employing less than 10 workers or such number of workers as may be specified by the State Government under Section 2(m)(i);
  2. without the aid of power and employing less than 20 workers or such number of workers as may be specified by the State Government under Section 2(m)(ii).
This amendment is in lines with the amendment carried out in the definition of the term ‘Factory’ under Section 2(m) of the Principal Act.
Section 92A (Compounding of certain offences) and Fourth Schedule A new Section has been introduced pursuant to which offences set out in the Fourth Schedule (new schedule) may be compounded before the institution of prosecution.

The offences shall be compounded by an officer not below the rank of Deputy Chief Inspector.

The amount of fine shall not be more than Rupees one lakh as mentioned in Section 92 of the Principal Act.

Once the offence set out in the Fourth Schedule is compounded no further proceedings shall be taken against the offender in respect of the offence.

The Fourth Schedule sets out 33 non-compliances under the Principal Act which can be compounded prior to initiation of the prosecution.
Section 105 (1) (Cognizance of offences) Court will take cognizance of any offence upon complaint by or written sanction of an Inspector. Court will take cognizance of any offence upon complaint by or written sanction of a Chief Inspector. The process of investigation into any offence under the Principal Act and subsequent prosecution for the same can start only upon complaint made/sanction given by Chief Inspector of Factories.


Posted by & filed under Provident Fund Benefits.

Retirement fund body Employees’ Provident Fund Organisation​ (EPFO) may announce 9% interest rate on provident fund (PF) deposits for 2015-16 in its trustees’ meet on February 16, higher than 8.75% provided in previous two financial years
Retirement fund body Employees’ Provident Fund Organisation​ (EPFO) may announce 9% interest rate on provident fund (PF) deposits for 2015-16 in its trustees’ meet on February 16, higher than 8.75% provided in previous two financial years.
“The 211th meeting of the Central Board of Trustees (CBT) has been scheduled to be held on February 16, 2016 in Chennai,” an EPFO circular stated.
According to the circular, the issues to be placed for consideration of the CBT include rate of interest to be credited to EPFO members’ account for the year 2015-16, cadre restructuring of the body and annual accounts in respect of EPF Scheme 1952, EPS 1995 and EDLI Scheme 1976 for the year 2014-15.

Earlier, the EPFO’s advisory body had recommended 8.95% rate of interest for the current fiscal which is higher than 8.75 per cent provided in 2013-14 and 2015-16.
According to EPFO income projections worked out in September, providing 9% interest on PF will result in a deficit of Rs 100 crore.
9% rate of interest on PF deposits when EPFO will work out the latest estimates. FAIC can change its recommendation in the next meeting and suggest 9% interest rate for 2015-16,” a CBT and FAIC member P J Banasure had said.

The proposal has to be endorsed by the Central Board of Trustees (CBT) before the Finance Ministry notifies it.
However, there has been indications from the Finance Ministry that it will slash interest rate on small savings like public provident fund in view of the rate cut by Reserve Bank of India.
The EPFO provides rate of interest from the earning on investments of formal sector workers’ funds without any assistance from the government
Thus, the workers’ representative are of the view that if there is no deficit on providing 9 per cent rate of interest for the current fiscal, then government should not have any issue with it.

Necessary Circular is appended below
CBT Meeting Circular in regards to Interest Rate 2015-2016

@Courtesy http://www.dnaindia.com/money


Posted by & filed under Esic-Circulars.

Dear all,

In exercise of the powers conferred by sub-section (3) of Section 1 of the Employees’ State Insurance Act, 1948 (34 of 1948) the Central Government hereby appoints the 1st January, 2016 as the date on which the provisions of Chapter IV (except Sections 44 and 45 which have already been brought into force) and Chapter-V and VI (except Sub-Section (1) of Section 76 and Sections 77, 78, 79 and 81 which have already been brought into force) of the said Act shall come into force in the following areas in the State of Karnataka Srirangapatna Taluk of Mandy a district.

Respective Circular Enclosed for your Kind Perusal.

Posted by & filed under Esic-Circulars.

Dear all,

In exercise of the powers conferred by sub-section (3) of Section 1 of the Employees’ State Insurance Act, 1948 (34 of 1948) the Central Government hereby appoints the 1st January, 2016, as the date on which the provisions of Chapter IV (except Sections 44 and 45 which have already been brought into force) and Chapter-V and VI (except Sub-Section (1) of Section 76 and Sections 77, 78, 79 and 81 which have already been brought into force) of the said Act shall come into force in the following areas in the State of Andhra Pradesh in new geographical areas of revenue Village Amalapuram and its surrounding areas in Guntur District.

Respective circular enclosed  for your kind perusal.

Posted by & filed under Esic-Circulars.

Dear all,

In exercise of the powers conferred by sub-section (3) of Section 1 of the Employees’ State Insurance Act, 1948 (34 of 1948) the Central Government hereby appoints the 1st January, 2016 as the date on which the provisions of Chapter IV (except Sections 44 and 45 which have already been brought into force) and Chapter-V and VI (except SUb-Section (1) of Section 76 and Sections 77,78,79 and 81 which have already been brought into force) of the said Act shall come into force in the following areas in UT of Andaman & Nicobar 

Pls refer to the respective notification of the same 

Posted by & filed under Esic-Circulars.

In exercise of the powers conferred by sub-section (3) of Section 1 of the Employees’ State Insurance Act, 1948 (34 of 1948) the Central Government hereby appoints the 1st January, 2016 as the date on which the provisions of Chapter IV (except Sections 44 and 45 which have already been brought into force) and Chapter-V and VI (except Sub-Section (1) of Section 76 and Sections 77, 78, 79 and 81 which have already been brought into force) of the said Act shall come into force in the following areas in the State of Punjab

Respective Notification as enclosed

mplementation of ESI Scheme in Punjab