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📋 Provident Fund (PF / EPF)
Yes. Any establishment with 20 or more employees is mandatorily required to register under the EPF & Miscellaneous Provisions Act, 1952. Some hazardous industries have a lower threshold of 10 employees. Once registered, even if employee count drops below 20, the obligation continues.
Both the Electronic Challan cum Return (ECR) filing and contribution payment must be done by the 15th of every month. Delay beyond the 15th attracts interest at 12% per annum, and damages can be levied up to 25% of the arrears.
Yes. Employees joining a company for the first time whose basic salary exceeds ₹15,000 per month can opt out by submitting Form 11. However, existing members who were previously enrolled cannot opt out even if their salary increases beyond ₹15,000.
After UAN is activated and KYC (Aadhaar, PAN, Bank) is linked and approved by the employer, employees can file a claim online via the EPFO member portal. Full withdrawal requires 2 months of unemployment. Partial withdrawal is allowed for housing, medical emergencies, marriage, or higher education.
🏥 ESIC
Employees earning ₹21,000 or less per month (₹25,000 for persons with disability) in establishments with 10 or more employees in notified areas. The employer contributes 3.25% and the employee contributes 0.75% of gross wages.
Penalties include interest at 12% p.a. on delayed payments, damages from 5% to 25% of arrears depending on the delay period, and under Section 85 of the ESI Act, a penalty up to ₹10,000 and/or imprisonment up to 3 years in criminal proceedings.
Yes. If the contractor fails to register or contribute for their workers, the principal employer becomes liable. The principal employer can recover such amounts from the contractor but is primarily responsible to ESIC.
💼 Professional Tax
No. Professional Tax is levied only by states that have enacted relevant legislation — including Maharashtra, Karnataka, Tamil Nadu, West Bengal, Telangana, Andhra Pradesh, Gujarat, MP, Goa, and Odisha. States like Delhi, Haryana, Rajasthan, and UP do not have PT.
As per Article 276 of the Indian Constitution, the maximum Professional Tax is ₹2,500 per person per year. In Maharashtra, for employees earning above ₹10,000/month, it is ₹200/month (₹300 in February), totalling ₹2,500 annually.
🤝 Labour Welfare Fund
Labour Welfare Fund is a statutory contribution mandated by state-specific acts. It funds welfare schemes for workers including housing, education, medical aid, and recreational facilities. It is mandatory wherever the state LWF Act applies to your establishment.
LWF periodicity varies by state. Maharashtra requires contribution on June 30 and December 31 (half-yearly). Some states like Karnataka require annual contribution. We track all applicable deadlines across states for every client.
💰 Payroll Management
Absolutely. This is our most common engagement model. Your HR team handles recruitment, performance, and employee relations, while LEAP handles payroll computation, statutory filings, and compliance. We work as an extended arm of your HR-Finance team.
Yes, absolutely. All payroll data is treated with the highest level of confidentiality. We sign Non-Disclosure Agreements (NDAs) with all clients and operate under strict data protection protocols. Salary data is accessible only to authorised personnel.
🔍 Compliance Audit
Our free 1-hour compliance audit is a structured call with one of our experts. We assess your current compliance status across PF, ESIC, PT, LWF, and other applicable acts, identify gaps, and give you a clear picture of what needs to be addressed — at zero cost, zero obligation.
We recommend at minimum an annual audit. For medium to large enterprises, or those with multi-state operations, a quarterly audit review is ideal. Laws and rates change frequently — a regular audit ensures you're always current and protected from regulatory risk.
No. LEAP provides single-window compliance management across all states where you operate. We have the expertise to handle state-specific requirements through one dedicated account manager — eliminating the overhead of managing multiple consultants.