Provident Fund (PF) Applicability

This query is : Resolved

Guest

Guest (Querist)

04 February 2009 I want to know the applicability of PF. When the company has to deduct PF? What are the rules? Previously our company has 11 employees but we haven't deducted PF on the salaries paid to them since we don't had PF No. at that time but now we got PF No. and started deducting PF and our employees as on today are 25. So plz tell me whether we need to deduct PF from the begining or our liability starts from the day of obtaining PF No.

CA. B.SRINIVASULU

CA. B.SRINIVASULU (Expert)
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04 February 2009 Actually your liability starts from the day the number of people has reached 20. If you have delayedly registered you have to pay the old dues alongwith interest and there is a danger the assessing offier in income tax can disallow the same. But from now onwards you have to deduct pf while paying salaries and the deducted pf alongiwith company's contribution has to be deposited on or before 20th of the month.

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