Arrears salary

dear all,

greetings.

 

i want to know whether a company can not pay any salary in the starting months after incorporation and pay it afterwards as arrears? can i also request the relevant extract in law regarding this.

Thanks in anticipation.

Replies (7)

 salary payment is depends on employee & employer mutual consent... it can be paid some time later after incorporation.. but have to keep in mind PF & esic acts also..

Originally posted by : CA Lokesh Pokharna

 salary payment is depends on employee & employer mutual consent... it can be paid some time later after incorporation.. but have to keep in mind PF & esic acts also..

the acts do not apply in the case and the salary is to be paid to Director. plz give your views 

thanx

yes , it can be paid as arears................i dont think any problem in it ..

.what problem you are thinking....???????

i just want things to be within legal framework. and this case is of key managerial remuneration. wanted if i copuld get sumthing to support the opinion.

let see other views also....

as i dont have any legal conclusion on this matter............

I think it depends upon the agreement between the employee and the employer (considering u abide by the pf and esc..)

Then again, i am just a student and not fully qualified for this question :)

Ms Saxena, The company may pay salary as and when it wishes (provided with mutual consent). However, make sure the salary is properly accrued in the books and TDS compliance is taken care of. In any case, the statutory auditor is going to ask for provision for the same!

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