Bonus payment

This query is : Resolved

Mr.Doubt (Querist)
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11 October 2013 In our organisation, One Employee joined during 2nd week of June, he is still continuing with our organisation.

His Salary for June month is below 10k as per Bonus act provisions, from july onwards his salary exceeds the slab of 10k i.e., he is not covered under Bonus act.

His working days (as per bonus act) for june month is below 30 days say 22 days, and total days for whole year is above 30 days say 290-300 days

As per my view he is not eligible for bonus for the said F.Year as his working days are below 30 while his salary covered under bonus act even though he worked for total year from june.

please advice me with justification.

CA Pallav Singhania

CA Pallav Singhania (Expert)
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11 October 2013 Every employee who is drawing a salary or wage upto Rs. 10000.00 per month (w.e.f. 1-4-2006) and who has worked for minimum period of 30 days in a year is entitled to be paid bonus. {Section 2(13) & 8}

If the Salary exceed the prescribed limit. then he's not eligible for the Bonus...

Mr.Doubt

Mr.Doubt (Querist)
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17 October 2013 My confusion still prevails, I am sorry probably I am unable to ask my query properly, My question is, In my case whether am I need to pay bonus or not??????

CA Pallav Singhania

CA Pallav Singhania (Expert)
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17 October 2013 If the Salary of the employee exceed the 10000 level then no need to pay bonus...

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