1.12 The Employees' Provident Fund & Miscellaneous Provisions Act 1952
1.12 The Employees' Provident Fund & Miscellaneous Provisions Act 1952
.
EMPLOYEES’ PROVIDENT FUND ORGANIZATION,
INDIA
Providing old age / post service financial support / income security to the member /
dependent survivors.
Assigning employers liability to make contribution in raising the fund for the
benefit of employees and their dependent survivors on compulsory basis.
Promoting thrift habit amongst employees and enlarging domestic savings base.
Providing risk free and immunized deposit accretion to the member free from
attachment etc.
c) Any statutory body whose employees are entitled to the benefits of CPF / Old
age pension in accordance with the scheme / rule framed under that act
governing such benefits.
THE EMPLOYEES’ PROVIDENT FUNDS
& MISCELLANEOUS PROVISION ACT, 1952
Applicability:
[Sec. 1(3) of the Act]
Subject to the provisions contained in Sec. 16, the act shall apply:
(a) In every establishment which is a factory engaged in any industry specified in schedule I
in which twenty or more persons are employed, and
(b) To any other establishment employing twenty or more persons or class of such
establishments which the Central Government may, by notification in the official
Gazette, specify in this behalf.
1. ESTABLISHMENT :
The term “establishment” has not been defined in the Act, and
consequently, it shall have to be given its ordinary meaning with
reference to the definition of the term “factory”.
[E. Delhi Cloth & General Mills Co. Ltd.
vs.
Regional P.F. Commissioner, U.P.
[1961 (2) LLJ 444]
4. Pay ceiling limit for contribution payment liability not provided for.
Contribution payable on total Salary
1. House Rent Allowance., Overtime Allowance, Bonus Commission or any other similar allowance
payable to the employee in respect of his Employment or work done in such employment.
(Provision u/s 2(b)(ii) of the EPF & MP Act.,’52.)
3. Any ex-gratia / ad-hoc payment in lump sum as a result of bilateral settlement with unions.
(High Court ruling given in the case Burma Shell Oil Storage & Distributing Co. Ltd.-vs-RPFC, Delhi
[1981(2)LLJ86,] and EID parry (I) Ltd.-vs-RPFC. [1985-FJR-205])
5. Notice Pay / Retrenchment Compensation paid as per law u/s 33(2)(b) of I.D.Act.
(Dinesh Khare-vs-Ind. Tribunal, Rajasthan, Jaipur & others.[1959 LIC.517]
Ghanshyam & Co. – vs – RPFC, Delhi [ 51 FJR 357 ]
RPFC –vs– Southern Alloy Foundry. [1982(1)LLJ.28 ])
IV. Benefit Admissibility
(i) For the purpose of avoiding any payment to be made under the Act or
Scheme by himself or of enabling any other person to avoid such
payments, knowingly making or causing to be made any false statement
or false representations.
(ii) Failure to pay any contribution and/or administrative charges as
specified under para 38 of the EPF Scheme, para 10 of Family Pension
Scheme and para 8 of EDLI Scheme/inspection charges payable under
Section 17(3) and 17(3A) of the Act which he is liable to pay.
(iii) Deductions or attempt to deduct from the wages or any other
remunerations of a member, the whole or any part of the employers’
contributions;
(iv) Failure or refusal to submit any return, statement or other document
required by the scheme or submission of false return, statement or other
document or making a false representation;
(v) Obstructing any Inspector in the discharge of his duties or failure to
produce any record for inspection by such Inspector or other official;
(Section 14 of the Act and para 76 of Employees' Provident Fund Scheme, 1952)
THE EMPLOYEES’ PROVIDENT FUND SCHEME,
1952
Circumstances in which accumulations in the Fund are
payable to a member by way of final settlement. [Para –
69 of EPF Scheme, ‘52]
Accumulations in the provident fund account of a member
becomes payable for final settlement under following situations:-
(i) On retirement from services after attaining the age of 55 years;
(ii) On retirement as a result of total and permanent disablement
rendering incapable for work;
(iii) Immediately before migration from India for permanent settlement
abroad or for taking employment abroad;
(iv) Termination of service upon mass or individual retrenchment;
(v) Termination of service under a voluntary retirement scheme; and
(vi) Termination of job and remaining unemployed for over two months
or leaving the job from a covered establishment and joining an
establishment not covered by P.F.
II. Classification & periodicity of existing Returns and
information aspect there against
Form No. Periodicity Purpose
FOR FURNISHING ONE TIME INITIAL INFORMATION
(1) Form 5A Initially once. Details of establishment and the
Subsequently as and when there is owners/Directors etc.
change.
(2) Form 9 Initially once. Updated monthly Details of employees entitled to become
through information furnished in F/5 & member on the date of coverage.
F/10.
PERIODICAL INFORMATIVE RETURNS
(3) Form 5 Monthly New Members added during the month.
(4) Form 10 Monthly Existing members leaving during the
month.
ACCOUNTING RETURNS
(5) Form 12A Monthly Contribution/Adm. Charges under the
three schemes due and remitted by the
establishments.
(6) Form 3A Monthly / Annual Individual subscriber’s Ledger Card –
maintained by the employer –
contribution entered on monthly basis –
closed at the end of the year and sent to
EPFO alongwith F/6A.
(7) Form 6A Annual Consolidated annual statement of
contribution due and remitted in respect
of all the members.
THANK YOU