Employer PF Remittance Without Payment of Salary to Employees

Ask the Community Statutory Compliance
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Is it okay for an employer to pay only employer’s contribution in PF account without paying a monthly salary (zero salaries) during COVID crisis?

If you have not paid any salary, no need to contribute to the employer’s contribution also. For the period for which no salary has been paid, pay only the minimum administration charges.

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Hi,

When you have not paid salaries to your employees due to Covid then on what bases you will make Employers contribution. It will be base less.

But, yes you need to pay PF administrative charges of Rs 500/-.

Hope this information will be informative for you.

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Hi,

There are 2 cases:-

  1. You have processed salaries but payment is deferred (not paid in month, but will be paid later on), then you can generate the PF challan and pay the contribution in order to avoid any future penalties.

  2. You company has decided to pay Zero salaries, then PF contribution will also be zero. But you will have generate Nil Challan with Rs. 500 as administration charges and pay the same.

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Hi Ankit,

Your point No2 is paying PF Admin charges of rs 75/- is applicable in case of company is shut down/closed. If a company is active with nil returns need tp pay Rs 500/- as a PF Administrative charges.

Thank you.

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