ESI deduction by immediate employer
This query is : Resolved
30 December 2007
Dear Sir/Madam,
A company takes service of a electrician in it's premises and electrician is not registered under ESI.Whether ESI is deductible by the company being immediate employer,If yes at what amount ESI should be deducted when material is also used by the electrician.(Electrician is a firm)
Please reply soon and refer relevant sections/provisions.
Thank you,
Sachin garg
A company takes service of a electrician in it's premises and electrician is not registered under ESI.Whether ESI is deductible by the company being immediate employer,If yes at what amount ESI should be deducted when material is also used by the electrician.(Electrician is a firm)
Please reply soon and refer relevant sections/provisions.
Thank you,
Sachin garg
31 December 2007
Hi Sachin,
Further, please clarify whether the electician is within the payroll of the company.
ESI is not applicable on firms.
There is a concept of immediate liability of the principal incase of default by the contractor.
As per the example, the electrician shall be treated as a contractor. The obligaiton of meeting all the statutory requirements is of electrician (firm) towards its employees failing which itb shall fall on the company. To be on the safer side you may claim for ESIC challsn from the electrician if its a big contract. In case of small contract you my ignore.
Rgds/
Vineet
Further, please clarify whether the electician is within the payroll of the company.
ESI is not applicable on firms.
There is a concept of immediate liability of the principal incase of default by the contractor.
As per the example, the electrician shall be treated as a contractor. The obligaiton of meeting all the statutory requirements is of electrician (firm) towards its employees failing which itb shall fall on the company. To be on the safer side you may claim for ESIC challsn from the electrician if its a big contract. In case of small contract you my ignore.
Rgds/
Vineet
31 December 2007
Dear Sir,
Company has paid towards machin repair(Vending machine)of rs.750/- to SMC wheter i should deduct ESI on it?If yes On Which amount?
Company has paid towards machin repair(Vending machine)of rs.750/- to SMC wheter i should deduct ESI on it?If yes On Which amount?
03 October 2008
The ESI liability is there on the pricipal employer. As the amount is small you may not be affected much. But precaution is necessary for future.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- GST ITC REVERSE
- Fixe term employment
- Is any professional CA is here please reply
- EXPORT BILL UNDER LUT FREIGHT CHARGE INCLUED IN INVOICE IT LIABLE TO TAX
- Gift Received from nonblood relative
- Section 50-fixed asset-->building ceases to exist
- RCM ISSUE ON RENT AND TRANSPORTATION CHARGES
- Foreign lottery ticket bought online from India: legality, tax and consequences
- Putting a heading on received mail
- Tax Audit u/s 44AB for Transport Business A proprietorship is engaged in transportation business and
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- STATUTORY AUDIT OF A SMALL PRIVATE COMPANY INCORPORATED ON 28.03.2025
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
- Resigning a auditor from the company for misconduct
- RCM @ 5% on Hamali charges, Transport Charges, Unloading charges we take ITC or not
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
