03 February 2016 Provident Fund compliance for India outbound employees discussed The central Provident Fund office issued guidance on January 20, in relation to Provident Fund compliance for Indian outbound employees. According to the guidance for employees of Indian companies assigned abroad, provident fund contributions should continue where salary is either paid or payable by the Indian covered establishment. This can apply even if the individual is subject to social security in the host location. Affected employers should consider carefully the structure of assignments from India to ensure they are aligned with their policies on Provident Fund contributions for international assignees. A Tax Alert prepared by Ernst & Young's Human Capital Group, and attached below, provides additional details. Document ID: 2016-0234 |
