Provident Fund: India - Revision history

Jyoti: /* Extends to contractual workers */

2024-05-13T18:07:41Z

‎Extends to contractual workers

Jyoti: /* 2015-24 */

2024-02-17T20:50:44Z

‎2015-24

Jyoti: /* Interest rates */

2024-02-17T20:43:21Z

‎Interest rates

Jyoti: /* Employees’ Provident Fund Organisation EPFO */

2022-08-31T07:02:41Z

‎Employees’ Provident Fund Organisation EPFO

Jyoti: /* Amnesty scheme, 2017 */

2022-02-28T01:44:28Z

‎Amnesty scheme, 2017

Jyoti: /* =2018>21 */

2021-08-10T19:35:36Z

‎=2018>21

Jyoti: /* Interest rates */

2021-08-10T19:35:04Z

‎Interest rates

Jyoti: /* Public Provident Fund (PPF) */

2021-02-07T08:01:51Z

‎Public Provident Fund (PPF)

Jyoti: /* A critique */

2021-01-28T08:08:21Z

‎A critique

Jyoti: /* Employees' Provident Fund */

2021-01-28T08:07:09Z

‎Employees' Provident Fund

← Older revision		Revision as of 18:07, 13 May 2024
Line 380:		Line 380:

	The court said Pawan Hans failed to fulfil the second condition as it restricted the PF scheme to only regular employees. It said that since PF Trust regulations are in force and are applicable to all employees of the company, it would be preferable to direct that members of the union and other similarly situated contractual employees are granted the benefit of PF Trust regulations so that there is uniformity in service conditions of all the employees of the company.		The court said Pawan Hans failed to fulfil the second condition as it restricted the PF scheme to only regular employees. It said that since PF Trust regulations are in force and are applicable to all employees of the company, it would be preferable to direct that members of the union and other similarly situated contractual employees are granted the benefit of PF Trust regulations so that there is uniformity in service conditions of all the employees of the company.
		+
		+	==Foreigners not eligible: HC, 2024==
		+	[https://epaper.indiatimes.com/article-share?article=07_05_2024_017_005_cap_TOI May 7, 2024: ''The Times of India'']
		+
		+
		+	New Delhi:Fifteen years after the law was amended to include international workers within the ambit of employees’ provident fund and pension scheme, the Karnataka HC has struck down the provisions as “unconstitutional and arbitrary”.
		+
		+	The move, which is likely to be challenged by govt and the Employees Provident Fund Organisation (EPFO), will impact thousands of expatriates who have contributed to the social security scheme or are currently part of it.
		+
		+	The petitioners, which included those from sectors such as education, logistics, real estate and technology, argued that the provisions are hit by Article 14 of the Constitution dealing with equality before law. “Their grievance was that international workers are covered under the PF scheme irrespective of salary drawn whereas domestic workers who draw monthly pay exceeding the prescribed statutory ceiling (i.e. Rs 15,000 per month) are outside the purview... The petitioners further argued that international workers work in India only for a limited period and requiring them to pay contributions on their entire global salary would cause irreparable injury,” EY said in a note. The order throws several challenges for expat workers and govt.
		+
		+	“This ruling has much larger ramifications as the same is on the provisions introduced 16 years back. To name a few, should international workers stop contributing or those who contributed earlier and left the co- untry can claim refunds even before attaining age of 58? Then, what will happen to income tax paid on such contributions and interest as for the past few years employer’s contribution to the PF in excess of Rs 7.5 lakh and employee’s own contribution to PF exceeding Rs 2.5 lakh and interest thereon on such excess contributions have been subjected to tax,” said Kuldip Kumar, partner at Mainstay Tax Advisors.
		+
		+	In an April 25 order, Justice K S Hemalekha ruled that Employees’ PF and Miscellaneous Provisions Act, 1952 was enacted to ensure that employees with lower salary brackets get retirement benefits and “by no stretch of imagination, could it be said that employees” drawing a higher salary should be given benefit under the law. It said that para 83 of EPF (dealing with international workers) “is in the nature of subordinate legislation” and cannot extend beyond the scope of the law.
		+
		+	The judgment said an Indian employee working overseas continues to contribute Rs 15,000 towards PF, while a foreign worker is made to make a contribution on the entire salary is “discriminatory” and violative of Article 14.
		+
		+	The HC dismissed as “unsustainable” the Centre’s pitch on making the contribution mandatory as a measure of reciprocity to honour social security agreements. As a result of the agreements, employees from foreign countries are either exempted from being members or are allowed to withdraw the corpus when the leave India, instead of waiting till they turn 58 years.

	[[Category:Economy-Industry-Resources\|P PROVIDENT FUND: INDIAPROVIDENT FUND: INDIA		[[Category:Economy-Industry-Resources\|P PROVIDENT FUND: INDIAPROVIDENT FUND: INDIA

@@ Line 176: / Line 176: @@
 ==Interest rates==
 ===2015-24===
-[https://epaper.indiatimes.com/article-share?article=11_02_2024_018_003_cap_TOI  February 12, 2024: ''The Times of India'']
+[https://epaper.indiatimes.com/article-share?article=11_02_2024_018_003_cap_TOI  February 11, 2024: ''The Times of India'']
-[[File: EPFO rates through the years, 2015-24; How it compares with other instruments, PPF, KVP, NSC, SBI FD.jpg|EPFO rates through the years, 2015-24; How it compares with other instruments, PPF, KVP, NSC, SBI FD <br/> From: [https://epaper.indiatimes.com/article-share?article=11_02_2024_018_003_cap_TOI  February 12, 2024: ''The Times of India'']|frame|500px]]
+[[File: EPFO rates through the years, 2015-24; How it compares with other instruments, PPF, KVP, NSC, SBI FD.jpg|EPFO rates through the years, 2015-24; How it compares with other instruments, PPF, KVP, NSC, SBI FD <br/> From: [https://epaper.indiatimes.com/article-share?article=11_02_2024_018_003_cap_TOI  February 11, 2024: ''The Times of India'']|frame|500px]]
 '''See graphic''':
 '' EPFO rates through the years, 2015-24; How it compares with other instruments, PPF, KVP, NSC, SBI FD ''
 ===Dec 2016: cut to 8.65%===

@@ Line 175: / Line 175: @@
 ==Interest rates==
 ===Dec 2016: cut to 8.65%===
 [http://epaperbeta.timesofindia.com/Article.aspx?eid=31808&articlexml=EPFO-cuts-interest-rate-to-865-20122016013009 ''The Times of India''], Dec 20 2016
@@ Line 225: / Line 234: @@
 Chadha says, "Under the tax laws, the accumulated balance, as it stands on the date of cessation of employment, is considered as an exempt income (subject to satisfaction of certain conditions). Any accreditation in the EPF account after cessation of employment would be taxable income. ITAT, in its recent decision, has also held likewise. Therefore, it is important for employees to consider this aspect while making a decision on retaining their EPF account once their employment ceases."
 ==Investments ==

@@ Line 335: / Line 335: @@
 '' Interest rates given by the EPFO to its six crore subscribers, 2012-20 ''
-[[Category:Economy-Industry-Resources|P
+=Entitlement =
 PROVIDENT FUND: INDIA]]
-[[Category:India|P
+[[Category:India|P PROVIDENT FUND: INDIAPROVIDENT FUND: INDIA
 PROVIDENT FUND: INDIA]]

← Older revision		Revision as of 01:44, 28 February 2022
Line 116:		Line 116:

	However, it is not clear whether the amnesty scheme will cover cases where employees had been enrolled in the EPF scheme but where there was a shortfall in depositing contributions.		However, it is not clear whether the amnesty scheme will cover cases where employees had been enrolled in the EPF scheme but where there was a shortfall in depositing contributions.
		+
		+
		+	== Employers’ contribution ==
		+	===Default or delay in payment of===
		+	[https://epaper.timesgroup.com/article-share?article=25_02_2022_014_009_cap_TOI February 25, 2022: ''The Times of India'']
		+
		+
		+	New Delhi: The Supreme has held that in case of any default or delay in payment of Employees Provident Fund (EPF) contribution by employers, the authorities can impose penalty and damages without establishing if there was any criminal intent, reports Amit AnandChoudhary.
		+
		+	A bench of Justices Ajay Rastogi and Abhay S Oka dismissed a plea of a company which had challenged imposition of damages of Rs 85,548 in addition to Rs 74,288 which it had not contributed towards EPF. It held that once default in payment of contribution is admitted, the damages are consequential and the employer is under an obligation to pay the damages for delay in payment of contribution of EPF.
		+
		+	“We are of the considered view that any default or delay in payment of EPF contribution by the employer under the Act is a sine qua non for imposition of levy of damages under Section 14B of the Act 1952 and mens rea (criminal intent) or actus reus (criminal act) is not an essential element for imposing penalty for breach of civil obligations/liabilities,” it said.
		+	In this case, the defaulter company failed to comply with the provisions of Act from January 1, 1975 to October 31, 1988.
		+
		+	[[Category:Economy-Industry-Resources\|P PROVIDENT FUND: INDIAPROVIDENT FUND: INDIA
		+	PROVIDENT FUND: INDIA]]
		+	[[Category:India\|P PROVIDENT FUND: INDIAPROVIDENT FUND: INDIA
		+	PROVIDENT FUND: INDIA]]
		+	[[Category:Pages with broken file links\|PROVIDENT FUND: INDIAPROVIDENT FUND: INDIA
		+	PROVIDENT FUND: INDIA]]

	== EPFO to settle death claims within 7 days==		== EPFO to settle death claims within 7 days==

@@ Line 207: / Line 207: @@
 ==Investments ==
-===2018>21==
+===2018>21===
 [https://epaper.timesgroup.com/Olive/ODN/TimesOfIndia/shared/ShowArticle.aspx?doc=TOIDEL/2021/08/03&entity=Ar00411&sk=CD53EB18&mode=text  August 3, 2021: ''The Times of India'']
@@ Line 217: / Line 217: @@
 The government also submitted that equity investment of EPFO was Rs 31,025 crore in 2020-21, Rs 32,377 crore in 2019-20 and Rs 27,743 crore in 2018-19. The minister also said EPFO received Rs 57,846 crore as contribution from its subscribers in the first quarter of this fiscal. TNN
 [[Category:Economy-Industry-Resources|P PROVIDENT FUND: INDIAPROVIDENT FUND: INDIA

← Older revision		Revision as of 19:35, 10 August 2021
Line 205:		Line 205:

	Chadha says, "Under the tax laws, the accumulated balance, as it stands on the date of cessation of employment, is considered as an exempt income (subject to satisfaction of certain conditions). Any accreditation in the EPF account after cessation of employment would be taxable income. ITAT, in its recent decision, has also held likewise. Therefore, it is important for employees to consider this aspect while making a decision on retaining their EPF account once their employment ceases."		Chadha says, "Under the tax laws, the accumulated balance, as it stands on the date of cessation of employment, is considered as an exempt income (subject to satisfaction of certain conditions). Any accreditation in the EPF account after cessation of employment would be taxable income. ITAT, in its recent decision, has also held likewise. Therefore, it is important for employees to consider this aspect while making a decision on retaining their EPF account once their employment ceases."
		+
		+	==Investments ==
		+	===2018>21==
		+	[https://epaper.timesgroup.com/Olive/ODN/TimesOfIndia/shared/ShowArticle.aspx?doc=TOIDEL/2021/08/03&entity=Ar00411&sk=CD53EB18&mode=text August 3, 2021: ''The Times of India'']
		+
		+	Retirement fund body EPFO has made equity investment of Rs 7,715 crore up to June 30 this year, junior minister for labour and employment Rameshwar Teli told Lok Sabha.
		+
		+	In a written reply to a poser by DMK MP K Shanmuga Sundaram, the government said EPFO can invest up to 15% in equity as per the ‘Pattern of Investment’ notified by the central government and internal guidelines of the EPFO that were approved by the Central Board of Trustees (CBT) and Employees’ Provident Fund (EPF).
		+
		+	The minister also clarified that EPFO invests only in Exchange Trading Fund (ETF) and not in individual share/ stock through ETF Manufacturers like SBI-Mutual Fund and UTI-Mutual Fund.
		+
		+	The government also submitted that equity investment of EPFO was Rs 31,025 crore in 2020-21, Rs 32,377 crore in 2019-20 and Rs 27,743 crore in 2018-19. The minister also said EPFO received Rs 57,846 crore as contribution from its subscribers in the first quarter of this fiscal. TNN
		+
		+	[[Category:Economy-Industry-Resources\|P PROVIDENT FUND: INDIAPROVIDENT FUND: INDIA
		+	PROVIDENT FUND: INDIA]]
		+	[[Category:India\|P PROVIDENT FUND: INDIAPROVIDENT FUND: INDIA
		+	PROVIDENT FUND: INDIA]]
		+	[[Category:Pages with broken file links\|PROVIDENT FUND: INDIAPROVIDENT FUND: INDIA
		+	PROVIDENT FUND: INDIA]]

	==Rules==		==Rules==

@@ Line 375: / Line 375: @@
 The amendments were made after labour minister Bandaru Dattatreya received representations from trade unions. A government release said the ministry had decided to pay the full accumulations to the credit of a member, including interest up to the date of payment, if he or she fulfils any of the above-mentioned conditions. In February , the ministry had said PF subscribers would not be able to withdraw their provident fund after attaining the age of 54 years, and will have to wait till they are 58 years old.
 =See also=
 [[Pensions and retirement: India]]
 [[Provident Fund: India]]

@@ Line 12: / Line 12: @@
 ===As in 2020 ===
 [https://epaper.timesgroup.com/Olive/ODN/TimesOfIndia/shared/ShowArticle.aspx?doc=TOIDEL%2F2021%2F01%2F28&entity=Ar00202&sk=C5B28F80&mode=text  Rama Karmakar, January 28, 2021: ''The Times of India'']
 For a vast number of the salaried, the employee provident fund (EPF) is the only social security net they have. But the EPF rules are such that they tend to discriminate against the young and vulnerable — those who have not yet worked for five years without a break. It took a pandemic to expose how this hurts the private-sector salaried workers most when they have already been hit hard by job loss.
@@ Line 38: / Line 41: @@
 The government is in the process of implementing the new Labour Codes, likely to be effective from April 1, 2021. One of the important aspects of the code is to provide ‘social security for all’. In keeping with this spirit, there is a need to amend the tax laws also, to no longer subject EPF withdrawals to tax.
 The writer is Tax Partner at EY India. Ankur Agrawal, senior tax professional with EY, also contributed to this article (Views expressed are personal)
 == 2016/ SC: employees can raise contributions without cut-off date for eligibility ==

@@ Line 9: / Line 9: @@
 [[Category:Economy-Industry-Resources |P ]]
 = Employees' Provident Fund=
 == 2016/ SC: employees can raise contributions without cut-off date for eligibility ==
 [http://epaper.timesgroup.com/Olive/ODN/TimesOfIndia/shared/ShowArticle.aspx?doc=TOIM%2F2017%2F11%2F22&entity=Ar00324&sk=3FEF1339&mode=text  Prabhakar Sinha, SC ruling enables massive rise in pvt sector pensions, November 22, 2017:  ''The Times of India'']
@@ Line 232: / Line 262: @@
 It was proposed to amend the investment pattern of the EPFO to enable the body to invest in equity index ETF beyond NIFTY 50 and Sensex ETF.
 =Employees’ Provident Fund Organisation EPFO=