You have to evaluate compliance not as an expense, but as a money saver
Managing compliance takes resources, but it’s nowhere near as expensive as the costs associated with a breach. We are constantly working towards the highest level of compliance possible.
What is Statutory Compliance?
Statutory compliance refers to the mandatory compliance’s which every organization should fulfill within the frame of mentioned laws.
In India, there are various acts under which various compliances need to be done and are mandatory for smooth functions and to avoid penalties & fines. Compliances are framed in interest of employer and employees to protect their interest and give them proper justice.
Adhering to statutory compliances is necessary for all big and small companies in the world to keep their businesses safe from the legal trouble. A deep knowledge of statutory compliances is required to minimize the risk associated with the noncompliance of statutory requirements.
Provident Fund is considered as retirement benefit for the employee or for his dependents in case of his early death. Contribution in these funds is equal by employer and employee. Also, it is compulsory for any organization in which more than 20 employee working. It is deducted on Basic + Dearness Allowance (D.A).D.A is provided only in government departments. Private companies generally do not give D.A to its employees.
Factories using power and employing 10 or more persons and to non-power using manufacturing units and establishments employing 20 or more person uptoRs15,000 /- per month. It has also been extended upon shops, hotels, restaurants, roads motor transport under takings, equipment maintenance staff in the hospitals.
Like any tax, professional tax is a source of revenue for the government. This is imposed at the state level in India. As with all other types of taxes, professional tax too has a standard slab according to which it is levied. Professional tax is a tax paid by all professionals and working individuals of companies falling under certain categories. This tax is compulsory and the amount paid towards professional tax is exempt from income tax.
The Act is applicable to factories & establishment covered under shop & establishment act employing 5 or more employees.