I am to do PF audit of a trainin institute in kol,plz tell me hw to go about it? i knw the basics of 12% ee share, 8.33% pnsion fund & 3.67% er share. bt i dnt knw how to proceed with the checking.plz help.
adrita dasgupta (Student CA Final ) (43 Points)
08 May 2014I am to do PF audit of a trainin institute in kol,plz tell me hw to go about it? i knw the basics of 12% ee share, 8.33% pnsion fund & 3.67% er share. bt i dnt knw how to proceed with the checking.plz help.
V P Narasimhan
(Accounts Manager)
(791 Points)
Replied 20 May 2014
Dear
Find outthe following: Isthe calculation is based on Basic or Basic + DA viz., if the basic+ DA comes to 10000 the PF would have deducte3d at 12% i.e 1200 & so on. Suggest to open three a/cs viz., PF employee deduction - which comes from Pay roll (to be tallied with counter checking with Basic or Basic+ DA - as per the comany policy) Open another a/c as PF Employer - it should be equally 12% of the Employer Contribution. Finally Admin Charges- PF i.e Employee + Employer + Admin Charfges = EF Payable a/c - The libility a/c to be squared off at the time of making Payment.
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