income tax ( employee contributions towards PF)

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Zeeshan (Querist)
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22 September 2008 Whether the employee contribution towards PF deducted by the employers will be treated as income of the employer if deposited late? is there any case law regarding this fact?

visu iyer

visu iyer (Expert)
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22 September 2008 It cannot be treated as income of the employer; but it involves interest and penalty under PF Act.

Will you call it as income - if service tax collected and not paid to the Government.

The treatment is similar to like that.

God Bless U

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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22 September 2008 No. No need to refer case law.

CA. Amit Daga

CA. Amit Daga (Expert)
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22 September 2008 Zeeshan employer contribution towards PF is not a part of your salary .Its emploers contribution of your retiral benefit

CA Nitin Wadhwani

CA Nitin Wadhwani (Expert)
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23 September 2008 According to Sec.36(1)(va) of the Indian Income Tax Act, 1961;
Employee's Contribution to any Fund will be treated as income of the person u/s 2(24)(x) if not paid within the due date of that particular statute.

However, there is a case law which states that contribution will not be added to income if it is paid " within due date of filing of return"

Zeeshan

Zeeshan (Querist)
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24 September 2008 Thanks Nitin
and mr.amit, mr. chakrapani warrier and mr. visu please refer the answer of mr. nitin.

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