Regarding PF calculation as per Supreme Court Judgement on PF 28-02-2019

Hi this is Shilpa,

I need clarity on PF calculation, is this rule of Supreme Court Judgement on PF 28-02-2019 is been initiated , as per rule we are working as PF should be calculated on Basic*12% , but as per supreme court rule we need to consider if an employee who basic is less than 15K then we need to consider (Basic+Special allowance)*12%

Need a clarity on this so that i can implement it.

2232_2008_Judgement_28-Feb-2019.pdf (393.3 KB)

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Hi,

Yes, you have understood correct. If basic is less than 15000/- then you need to consider allowances and need to see how much its coming . If it is still less than 15000/- then consider complete amount and if its going more than 15000/- then seal it to 15000/-.

NOTE: Please minus HRA

Regards
Arpana

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Thank you Very much @Arpana for the clarity.

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