PF and ESI Compliances

Employees Provident Fund (EPF) is governed by Employees Provident Fund and Miscellaneous Provisions Act 1952 and regulated by Employees Provident Fund Organisation India; EPFO is established under Ministry of Labour & Employment, Government of India.

All the PF returns are filed in electronic mode on the portal of epfindia on the link https://unifiedportal-emp.epfindia.gov.in herein the employer use to sign-in the establishment sign-in section and proceed for filing of return and online generation of challan and payment of PF dues.

Employees State Insurance (ESI) is governed by Employees State Insurance Act 1948 and regulated by Employees State Insurance Corporation commonly known by its abbreviated name ESIC; ESIC is established under Ministry of Labour & Employment, Government of India.

All the ESI returns are filed in electronic mode on the portal of esic.in on the link https://www.esic.in/ESICInsurance1/ESICInsurancePortal/PortalLogin.aspx herein the employer use to sign-in and proceed for filing of return and online generation of challan and payment of PF dues.

In order to ease the PF and ESI compliances the employer has also the option for filing one single return instead of filing two different returns monthly at two different platforms (i.e. PF portal and ESI portal). For filing one single return for compliance of both PF and ESI the employer need to register its organization on Shram Suvidha portal established under initiative of Ministry of Labour and Employment. It can be accessed on shramsuvidha.gov.in

Due date of filing of PF and ESI Return is 15^th of every month which carries return of complete details of 30/31 days of the previous month.

Considering the pandemic covid-19 situation, the government has made certain relaxation in filing of PF/ESI return and also in payment of challan for the month of March-2020, this relaxes the PF and ESI Compliances.

Relaxation provided to employers is they can file the return i.e. ECR without making payment through challan and the payment date is deferred to 15^th May 2020 without levying any interest and penalty.

Considering pandemic covid-19 situation Government relaxes certain PF and ESI Compliances, Government has also announces to provide benefit to employers under PMGKY (Pradhan Mantri Garib Kalyan Yojana), in accordance with PMGKY those employers who enroll employees upto 100 and whose 90% of the employees were getting wages less than INR 15,000 can avail the upfront benefit given under PMGKY. Under PMGKY scheme government proposes to pay 24% of monthly wages into epf account for wage earners below INR 15,000. The benefit under PMGKY is available for the month of March, April and May-2020, this benefit can be availed after submitting a declaration on Shram Suvidha unified portal and the subsidy amount will automatically reduced from the total challan amount payable by the employer.

Apart from the statutory dues of PF and ESI compliances which is required to be met on due dates, in certain cases wherein there is delay in remittance of payment of filing of return, there shall be levied interest on delayed payment at the rate of 12 percent per year for each day of delay in payment. This delayed payment interest shall be levied on PF remittance and ESI remittance separately. However, if the employer chooses to file single return along-with single remittance, this delayed payment interest is calculated on combined PF and ESI remittance amount.

With the ever changing Law and regulatory requirements, we keep on track and advise the same on timely manner in order to ensure proper PF and ESI compliances. We at ReturnFilings.Com will understand the purpose of your labour law complaince and thereafter will provide you detailed analysis mentioning the law requirement and compliance need to fulfill in order to operate it economically and efficiently. We at ReturnFilings.Com will provide you details of regulatory filings in order to ensure proper smooth and timely compliances. We at ReturnFilings.Com are determinate to provide end to end solution; our motto is you concentrate on your business while we at ReturnFilings.Com will take care of all your PF and ESI compliances need.