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August 13, 2020August 13, 2020

What is the exemption limit of agricultural income?

What do you mean by agricultural income?

Agricultural income constitutes the money or revenues earned from areas such as farming/Agriculture land, building on/associated with agricultural land, and the commercial gains made out of horticultural land.

According to the Section 2 (1A) of the Income Tax Act of 1961, agricultural income is:

Any income or money made out of any piece of land in India meant for agriculture

Additionally, any revenue derived out of such land through agricultural works like refining agricultural products so as to make it commercially viable in the market

Any income collected through saplings or seedlings reared in a nursery

Moreover, any revenue linked to a farmhouse lest it is in line with provision prescribed in Section 2 (1A)

Section under which agriculture income is exempted

As specified under Section 10 (1) of the Income Tax Act of 1961, agricultural income is set aside from taxation. But, it is included for computation of the total tax liability provided the guidelines given beneath are followed in totality:

Total agricultural income does not go beyond Rs. 5,000/- for the last financial year.

Net income, on top of the gross agricultural income, breaches the general exemption ceiling (It is to be noted – The primary limit of agricultural revenue kept out of tax net is 2,50,000 for person less than 60 years of age and Rs. 3,00,000 for those higher than 60 years of age)

For people who meet the afore-mentioned criteria, the taxable agricultural income will be calculated by following these methods-

Method 1: Inclusion of the agricultural income to the cumulative income

Method 2: By including income exempted under Section 10 in the agricultural income

Method 3: Moreover, deducting the amount acquired from Step 2 from that of Step 1 to arrive at the final tax liability.

Pay your taxes to rid yourself of anxiety

Benefit u/s 54 B

The person who pays tax (individual or HUF) can gain under this section, provided he sells his agricultural land to purchase another. But there is a catch as he has to meet certain conditions to claim the benefit.

Some fine Examples Of Agricultural Income

These happen to be:

Revenue derived through selling replanted trees

Additionally, the rental accrued from a piece of agricultural land

Revenue obtained through selling of seeds

Money earned via nurturing creepers/ flowers

Further, profits accrued through a partner belonging to a firm or a company indulging in agricultural production or activities

So, interest received by a partner from a firm or company via ploughing in capital in agricultural endeavors

Commonly Asked Questions

1. What is the ceiling for agricultural income tax exemption?

The primary limit to exempt agricultural income from tax is –

-Rs. 2, 50, 000 for people falling below the age bracket of 60

Rs. 3, 00, 000 for people above the age bracket of 60

2. Why is agricultural revenue kept away from the tax net?

Since from the beginning itself, agriculture happened to be a major source of income generation for a large number of the population in India. Also, the whole country still relies a lot on crop production to get its food on the table. This also happens to be a primary sector, pushing the economic wheels of the country. Hence, it is imperative that the Government comes up with schemes, strategies, and policies that ensure the constant evolution of the agriculture sector. So, in one such scheme, agricultural revenue is kept away from the purview of income tax.

3. How do we portray agriculture revenue in income tax?

In case your gross agricultural revenue happens to be less than Rs 5000 during a financial year, it can be projected in your income tax return ITR-1. However, in the event of your income going beyond Rs 5000, Form ITR -2 becomes applicable.

3. What is agricultural income and how is it treated for tax purposes?

Under Section 2 (1A) of the Income Tax Act of 1961 agricultural income is defined as –

A rent or income sourced from any piece of land in India meant for agriculture

Also, any money generated from such land through agricultural activities like processing of agricultural products to make it commercially viable

Additionally, any income made from saplings or seedlings nurtured in a nursery

Any income pertaining to a farmhouse if it follows guidelines prescribed under Section 2 (1A)

Income included for the sake of tax

As described in Section 10 (1) of the Income Tax Act of 1961, agricultural income is set aside from taxation.

But, agricultural income is used for the net tax liability calculations if the conditions described underneath are met totally-

Gross agricultural income going above Rs. 5,000/- in the last financial year

Net income, along with the gross agricultural income, breaks the basic exemption ceiling

August 2, 2020August 2, 2020

GST Penalties and Appeals

The GST Law has defined its offenses and penalties that are levied in each scenario. This is an important topic for every business owner, CA, CS as any mistake can cause severe consequences.

Overview

GST law prevents many tax evasion and corruption over tax as it contains strict provisions for offenders regarding penalties, prosecution and arrest. The introduction of GST Law Government of India ensures to prevent tax evasion and corruption and also introduces stricter liabilities for the non-payment of the same.

Offences and Penalties

Offenses

There are 21 offences which are being introduced under GST law. Some of the offences which has been introduced by the introduction of GST law are as follows-

When the company/organization or an individual has not enrolled themselves under GST Law, even when it is required by law.
Supply of any goods/ services without any invoice or issuing a false invoice.
The issue of invoices by a taxable person using the GSTIN of another bonafide taxpayer.
Submission of false information without getting registered under GST Laws.
Submission of fake financial records/ documents or files,or fake returns to evade tax.
Obtaining refunds by fraud.
Deliberate suppression of sale to evade tax.
Opting for a composition scheme even though a taxpayer is ineligible.

Penalty

If any of the offense is committed by a taxpayer, then he is liable for the penalty which he has to pay under GST. the principals on which these penalties are based are mentioned by law.

For Late Filing

If returns of GST are filed late i.e. after the last date of filing, then it would involve a penalty of Rs. 100 per day as per the Act. So it is 100 under cgst and 100 under sgst so, total late fee would be levied of Rs. 200/- per day along with the interest of 18% per annum. The time period will be from the next day of filing of the date of payment.

For not filing

If you are not filing your GST return, then it will have a cascading effect as you will not be able to file your subsequent returns and therefore it involves heavy penalty and fines.

For the 21 offenses with no intention of fraud or tax evasion

If the offender is not paying the tax or making short payments must pay a penalty of 10% of the tax amount due subject to a minimum of Rs. 10,000/-.

For the 21 offense for the intention of fraud or tax evasion

In this case the offender has to pay 100% penalty for tax evasion subject to a minimum of Rs, 10,000/-. The tax evader could be imprisoned for a term of 1 year for tax amount 100-200 lakhs, upto 3 years for 200-500 lakhs and upto 5 years for the tax amount of 500 lakhs and above.

Inspection under GST

The Joint commissioner of CGST and SGST may have reasons to believe hat in order to evade tax, a person has suppressed any transaction or claimed excess input tax credit etc. then the joint commissioner can authorize any other officer of CGST/SGST in writing to insect places of business of the suspected evader.

Search and Seizure under GST

The joint commissioner can order for search and seizure if he finds any person liable for tax evasion on the basis of the inspection.

Goods in Transit

If a person in charge is carrying goods exceeding 50,000/- is required to carry the following documents-

Invoice or bill or delivery challan
Copy of e-way bill

Compounding of offences under GST

Compounding offenses is a shortcut method to avoid litigation. In case of prosecution each time of hearing in criminal proceedings a person has to appear before a magistrate along with his advocate which is little time consuming process.

In compounding offence, the accused is not required to appear personally and can be discharged on payment of compounding fee which cannot be more than the maximum fine as applicable under GST.

Prosecution under GST

If someone has committed crime under GST law deliberately, then he is subject to criminal prosecution under the law. A few example of these offenses are follows-

Issue of an invoice without supplying any goods and services
Obtaining refund of any CGST/SGST by fraud
Submitting fake financial records/ documents or files and fake returns to evade tax.
Helping another person to commit fraud under GST.

Arrest under GST Law

Any person accused of committing a cognizable offense is entitled to get arrested within 24 hours of the offense. Then he is to be produced before the Magistrate within 24 hours of the arrest.

Appeal

Any person aggrieved by the decision of tribunal or court may appeal in the appellate court. If the person is aggrieved by the decision of fit appellate authority then he could appeal in the National Appellate Tribunal and then to the High court and Supreme court thereafter.

May 12, 2020May 12, 2020

Know your legal right/ Divorce in India

Between any couple divorce appears to be the most traumatic occurrences of their lives. However, it can be a costly affair in India if divorce is contested by any of the parties. Even couples who agree for mutual divorce have to show to court that they have been separated a year before the filing of the divorce petition. In India dovorce is considered to be a personal matter as rules of divorce are connected with one’s religion like Hindus, Buddhists, Sikh, and Jains is governed by Hindu Marriage Act, 1955. Muslims by dissolution of muslim marriages act, 1939, Parsis by the Parsi marriage and Divorce Act, 1936, and Christians by Indian Divorce Act, 1956.

The spouse can initiate to send legal notice before ending their relationship.

There are different grounds on which divorce is granted, here our expert legal team helps you understand different topes of Divorce petitions and help in understanding the divorce process in India.

Types of Divorce Petitions

Divorce with Mutual Consent

When both spouses agree to a divorce, then it is considered a Mutual Divorce. However, as per the Act, a couple should at least be separated for over a year and the same is to be proved before the Hon’ble Court. Ofte, even when either of the spouses is reluctant to the mutual divorce, agrees to a mutual divorce because it is relatively inexpensive, time saving and not as traumatic as a contested divorce. Matters such as child’s custody, maintenance and property rights could be agreed mutually through an Agreement.

There are three aspects regarding which a husband and wife have to reach a consensus.

First is Maintenance decided by a wife. For this no law has stated the minimum or maximum limit of support. It could be any figure or no figure.

Second is of Custody of a child, it takes maximum time in court to decide the custody of a child. It takes much longer when it is without mutual consent. Child custody in a mutual consent could be shared, joint or excessive depending upon the understanding of the spouses.

Third one is the Property, the spouses must decide who will get which part or how much of the property. Thus includes both movable and immovable property. Even bank accounts could also be shared amongst the two. It is not necessary for it to be fair, so long as it is agreed to by both parties.

Once the first motion of the Divorce is filed, before filing of the second motion of divorce, there is a timing minimum of 6 months. However, waiver application could be moved before the Hon’ble court and its total courts jurisdiction on its allowance. As per section 13B of Hindu Marriage Act, 1955 and section 28 of special marriage act, 1954, the couple should be living separately for at least one year before divorce proceedings can begin. Living separately does not mean that they are living in different locations, it’s just mean that couple have to prove that there is no relationship between two as husband and wife i.e. having no physical relationship etc.

Divorce without Mutual Consent

In case of a contested Divrce following could be the grounds on which Petition can be filed-

Cruelty

Cruelty could be physical or mental cruelty. If any of the spouses has an apprehension or a reason to believe that he/she has been a victim to cruelty then it would be a sufficient ground to file for Divorce.

Adultery

If the husband has maintained illegal or consesunal intercource with a third woman, the wife is free to file for Divorce. However, it is no longer considered as a crime after the Supreme Court Recent judgement.

Desertion

If one spouse is deserting the other spouse without a reasonable cause (cruelty for eg) then there is a reason for Divorce. There should be a proper reason to prove that. As per the act, dissertation should have lasted for at least two consecutive years.

Conversion

If any spouse converts his/her religion then divorce could be filed.

Mental disorder/unsoundness of mind

If any spouse becomes of unsound mind then divorce can be granted by either of the spouses.

Renunciation of the world

If any spouse has renounced the world then spse can take divorce.

BIAT Legal LLP over the years has become expert in handling Family and Matrimonial Litigations.

March 12, 2020March 12, 2020

TRADE LICENSE

When any organization, an individual firm is planning to start its business operations at small or large scale it needs a license to carry on the business activities and that license is termed as Trade License.

It is mandatory for the organization , firm or business entities to have a license for commencement of any type of business .A company or business enterprise should obtain the license within 15 days from the commencement of the business or 03 months prior starting the business.

The state government together with the municipal corporation of the area regulates the licensing process. There are different mechanisms of charging the application fees and some pay annually while others make it as per the annual turnover.

Therefore an applicant shall be at least 18 years of age , should have a clean and right image in the society and free from any type of criminal activities or no case of criminal activities under his name.

CATEGORIES OF TRADE LICENSE –

A] CATOGORY 1 –

This category includes mostly business of consumable items and eating places

B] CATOGORY 2 –

These categories include licenses to those businesses which are mainly engaged in industries , workshops , flour mills etc.

C] CATEGORY 3 –

For business related to firewood , charcoal etc. the above category is being provided

DOCUMENTATION REQUIRED FOR TRADE LICENSE –

There are various documentation being required in order to get the license of the trade license which are being highlighted below –

1] The bills of the place where business or operation will be carried

2] Agreement of the rent or lease

3] Receipt of municipal taxes

4] Certificate of the registration of shop as per the act

5] Applicant Id proofs

6] Copy of blueprint of the premises or workplace

7] Pan card details of the applicant

8] If the business is managed by some other person irrespective of the owner therefore provide ID proof , photo , Address detail of the manager

9] Non objection certificate from the fire department

MINIMUM REQUIREMENTS FOR OBTAINING TRADE LICENSE –

A] AGE CONDITION –

It is mandatory for an individual or applicant applying for the license to be 18 years of age.

B] LEGALITY –

The company or applicant applying for the license should have business activities legal and valid in the eyes of law.

C] CRIMINAL CASE –

The applicant should have no criminal background and carry on a clean image in society.

TRADE LICENSE RENEWAL –

A trade license is not a one time license only and shall be renewed on time to time basis.

In some states and cities , it is compulsory to pay a certain amount of annual fees in order to renew the trade license.

The renewal is done between 1st January to 31st march of every year.The renewal application should be made at least 30 days before from the expiry time so that it shall be done in time.

In case of delay , there is a late fees fine of 50 % of the total trade license fees incurred.There are certain documents to be submitted with the application for trade license renewal :

1] Copy of the original license

2] Tax payment receipt

3] previous year challans of fees being paid

DENIAL OF THE TRADE LICENSE APPLICATION –

Sometimes the application applied by the applicant for trade license purpose gets rejected , under such circumstances one can make appeal in the to the standard committee or file a petition to them with the relevant documents together with the copy of letter of denial so that the matter can again be considered for approval of trade license

June 2, 2019June 2, 2019

Companies 2nd Amendment Rules 2019 for Appointment and Qualification of Directors

INC 22A is an active form introduced by MCA as compliance back in January of this year. Under this compliance, every company which is formed or which is registered on or before 31st December, 2017 has to file the e-form active INC-22A. It tags the companies that are active and currently doing business. At the same time MCA takes their eyes on the working of the companies. Cobimining with this rules for Director Qualification and appointment, MCA has released a new notification for companies 2nd amendment of 2019, it states as follows-

“Where a company governed by Rule 25A of Companies (Incorporation) Rules, 2014, fails to file the e-form ACTIVE within the period specified therein, the Director Identification Number (DIN) allotted to its existing Directors, shall be marked a Director of ACTIVE Non-compliant company.

Let’s talk about Director Disqualification

As per Rules of Companies Act, under certain circumstances, a director of a company can be disqualified by the MCA. when that happens, the Director’s DIN is removed from the registry. As a result, the Director can no longer be associated with the company. Where you can definitely remove the Director disqualification by filing a Petition o the Court, what if the Director of a company is appointed to again goes non-complaint because of Non- filing of INC-22A.

ACTIVE e-form INC 22A

MCA introduced this form back in january. Important and mandatory for companies that were registered before 31st December, 2017, this form’s main reason was to tag companies that are active (Currently doing business), through active tagging and verification it tries to locate shell companies. If the companies does not file INC 22A within the extended period of due date, it is marked in the MCA registry as “ACTIVE non compliant. It means that the company is active but has not filed the ACTIVE e-form.

Director of Non-compliant company

Before the mentioned notification, it was only the company that was marked as non- compliant. However, with the announcement of companies act, 2nd amendment notification, the meaning is this,

“ If the company is marked as Non- compliant in the mCA registry because INC 22a was not filed the DIN of the Director of that company is marked as “ Director of ACTIVE Non- compliant company”.

The notification further states that when the Director’s DIN is marked as Director of ACTIVE Non- compliant company, then they have to take all the necessary steps to file the complaint and to remove this mark. In this case the step would be to file INC 22A.

Further the notification states that once the Director files the Compliance INC-22A their DIN will be marked as Director of ACTIVE Non- compliant company.

April 23, 2019

Chowkidar Remark made in the heat of Political Campaign, Rahul gandhi tells SC

Congress President “ Rahul gandhi” said that the Chowkidar Remark was made by him in the heat of the political campaign and he also clarified that he did not have the slightest intention to bring SC into the political arena or disrepute.

On April, 15 the apex court had asked Gandhi’s explanation on the petition filed by the BJP MP Meenakshi Lekhi, who had sought criminal contempt against the congress president for wrongfully attributed statement to the apex court. Senior Advocate Mukul rohatgi and appeared on behalf of Lekhi and told CJI- led bench that congress president had made a remark that the SC has said “ Chowkidar Chor Hai” in the verdict in Rafale Review delivered on April, 10.

In the Affidavit filed today, Gandhi has clearly said that he has made a statement without going through the actual order and in the head of Political campaign he passed such comment on the BJP.

He as written following things in his affidavit?

“ At the time of and in my statement, the issues relating to court proceedings unfortunately got juxtaposed and mingled with a political slogan being used extensively by answering Respondent’s party as well as answering Respondent for the last several months, which is a matter of intense and frenzied public debate during the ongoing Lok Sabha elections” “It is unfortunate that this slogan got intermingled with my comments on and references to the Apex Court’s order dated 15.04.2019”

“It has been used (and misused) by my political opponents to project that I had deliberately and intentionally suggested that this Court had said Chowkidar Chor Hai! Nothing could be farther from my mind. It is also clear that no court would ever do that and hence the unfortunate references (for which I express regret) to the court order and to the political slogan in juxtaposition the same breath in the heat of political campaigning ought not to be construed as suggesting that the court had given any finding or conclusion on that issue”

“As a responsible political and public figure as also as the head of a 130 year old political party, the answering Respondent does understand that the said juxtaposition of the political and legal stands has been fully clarified by the order of this Hon’ble Court dated 15.04.2019 to which the answering Respondent humbly bows down”

This is how Congress President had taken his words back and said sorry.

April 13, 2019

How To Register A Company In India From USA

In this blog we will discuss that how a Foreigner/ Non resident Indian can register a company easily in India .

An Applicant can apply for Company Registration in India either Online or Virtual , and can easily get its company incorporated in India .

How to register a company in India from USA

The very first step to start with the registration process of company is to decide the name of your business entity i.e. firstly name of the Business Entity is to be chosen before applying for company registration. You can Register Private Limited Company, LLP, Partnership etc in India from USA completely online. According to BIATConsultant , it is advisable to register a LLP or a Private Limited Company in India since these requires very minimal legal requirement in India , and can be carried on in India with minimum requirement .

Conditions for Registration of a Company in India from USA

There are certain conditions which needs to be fulfilled in order to start a Company in India right from sitting in USA:

Firstly you need to make sure that there should be One Indian Resident to be a Director of the said company ( in case you don’t have , don’t worry , BIATConsultant will provide you with sleeping director for the same at initial stages) along with his/her documents and KYC details in order to get DIN Number and DSC (Digital Signature ) Number in India.
Secondly, Foreign Direct Limit is to be checked, as in case of formation of a company. If the sector comes in Automatic routes, it will not require any prior permission of RBI. however, if the sector belongs to 100% FDI route, prior permission of concerned ministry of Central Government or RBI is required to start a business and name application needs to be done for company along with the preparation of MOA, AOA of the company.
Thirdly , you have to make sure that you have all the documents in place for company registration and all documents are notarised from your local country and you must send all the necessary documents in well scanned format to a business consultant who is applying for the same .

Documents required to Register a Company in India from USA

Here are the list of documents which are required to register a Company in India from USA:-

Valid Passport
Driving License from issuing country
Voter Id of the issuing country.
Social security Number(SSN)
Bank Statement of last 6 month
Photographs
A resident permit issued by an Indian embassy ( in case you want to reside )
Copy of valid business visa issued by foreign national

Documents required if a foreign company is trying to register a company in India ( Subsidiary of Company ) :

If any Foreign Company wants to register a company in India then following documents are required and they are follows:

Certificate of incorporation that proves that a company is legally formed and registered.
Board resolution of foreign company
Copies of valid address proof of foreign company

The process of registration of Company in India from USA :

The Applicant must have a valid account with the MCA portal in India ( It is preferred to get help of business consultant to do the same ). And if you are not having a account with MCA portal then you can easily sign up with the portal in order to process the company registration in India.
Firstly, you need to apply form DSC ( Digital Signature Certificate), for this you can directly approach the certified authorities to get DSC registered or otherwise you can directly take help of a professional like BIATConsultant for the DSC.
Once you have made an account with MCA Portal and also DSC is prepared, then you can visit this link of MCA , after which you can apply for the name of the company through Run Form.
The applicant after logging into the account, by entering the name of the business entity he must check that whether that name is available or not, and after choosing the name it has to be submitted through Run form along with the prescribed fees of Rs. 1000/-, after which MCA or personnel of central registration will check for the name, and if the name is unique then they will sanction through MCA within 1 to 2 weeks.
After the Application for Name approval, applicant must apply for DIN Number or Director Identification Number. In order to obtain the DIN Number, you have to fill SPICE Form, and there you need to submit the details of the Director for whom the DIN Number is to be allotted along with the PAN card and passport.
And after the above steps your company will be incorporated and certificate of Incorporation will be issued to you and your company will be formed in India from USA.

The company registration in India is only possible with the help of CA/CPA in India who is registered with MCA Portal , and can aids you with all the documentation process along with after company formation compliance service at nominal cost . Check BIATConsultant.com to know more about it

March 27, 2019

Essential facts of Copyright registration

Why bother to register Copyright

Copyright recognises exclusive right and original right of the original creator of the artististic work, literary work, musical or cinematographic work. All music, books etc. enjoys the exclusive right over their original creation, but the only reason for its copyright is that in the commercial world if anyone infringes anyone’s copyright or right, then this would be the only way to approach the court in case of any dispute.

What is the purpose of Copyright registrar?

Copyright registrar sees all the Copyright related issues, like primarily it serves as an office of record, a place where claims of copyright are registered, and documents related to copyright are recorded. The office furnishes information about the provisions of law and the procedure for making its registration, and all the findings which they find in oits public records.

What Copyright Protection do i get?

Whenever author of the original work fixes the work in a tangible form it automatically gets protection, but the same cannot be taken in court at the time of dispute. So for suing of any other party or any infringer its protection must be taken from the Copyright registry. And the same shall be applied for its protection within 5 years of creating the original work.

How would another party proves right to my work?

Another party will prove right over any other work by showing the prove that they are using the work prior to the claimer’s work, or by proving that you actually stole the work of him or by proving that you have taken permission from them to use.

What are performer’s right?

Performer’s right are given to an artist who actually produce anything into a material form. Like lectures or story shorthanded into a material form, or music can be recorded on tape. Any similarly anyone who reduces the work into a material form first are said to be the original creators of the work and they gets first protection over their work. The performer in this context includes an Actor, singer, Musician, dancer, acrobat, juggler, conjurer, a person delivering a lecture or any other person who delivers a performance.

Can i copyright a film or sound recording?

In case you want to copyright a film, video or sound recording, it is recommended that you must obtain NOC from all the people who are involved in its making. This will protect you from any kind of objections from them at a later stage. This has become imperative now after Supreme Court guidelines on sound recording and cinematography copyright registration.

This is how copyright Registration confers upon its owner sole rights to copy or reproduce the work, or grant permission to other person to do so. Copyright is usually owned by t5he creator of the work, but may also be owned by its employer of its creator, or the person who has commissioned the work ( unless there is an agreement to the contrary in either case) copyrights are also transferrable.

March 19, 2019

Relevancy and reliability of BIS Registration for Consumer electronics

Introduction

India is a developing or growing country under which demands of electronic items or devices among upper middle class or middle class is rapid and growing day by day. It is very difficult to keep away from electronic devices. That is why Government of India has begin a safety drive as Compulsory Registration scheme ( CRS) for consumer electronics. This scheme is being implemented through Bureau of Indian Standards (BIS) having its head office at Delhi. The mandatory scheme is known as “BIS registration for Electronic Products”.

Relevancy

Relevancy of CRS is quite relevant after seeing the problem caused by the neglected safety measures. In most f the developed countries they have their own safety measures, and in a similar way india is also obtaining safety measure or standards by introducing IS standard which is similar like IEC standard. By seeing the world scenario, and environment challenges, it is very relevant to have our own standard to follow safety norms according to our need and it should be applied very sincerely.

Process

Registration of BIS is very easy and it is followed by two simple steps. In order to get the BIS Registration, the product is needed to be tested by BIS approved labs, and secondly, you need to submit the factory information along with test report to BIS office. It normally takes time of around 45 to 60 days to obtain BIS registration for your Brand and model of your particular product from the Government of India.

Reliability

To check the reliability of the product proper surveillance and cross verification of the documents are being implemented to check any manipulation by the manufacturer. It is also suggested to put or invoke the penalty clause for defaulters which is a good measure to strengthen the scope of reliability.

Therefore in order to sell electronic products in India it is important for all to take BIS registration from the proper testing Labs which are authorized by the government of India. For BIS registration, delhi Head office undertakes a thorough analysis of the product quality and functioning and thereafter issue BIS Registration certificate.

And we the team of BIAT Consultants are there to provide legal as well as other assistance to provide BIS Registration Certificate to their Clients with ease and tries to give hassle free environment to their clients.

March 18, 2019

What are the main contents of an Employee Contract

An Employee Contract is provided by an employer to its employees which specifies terms and conditions under which an employer hires employees. The little co-signed paper also represents the integrity of the Employer Company and also the passion of the employees towards the company and their work. Through this blog we will understand and discuss the components of the employees.

5 main components of the Employee Contract:-

Terms and conditions of the employment- It specifies the terms and conditions of the employment contract which specifies the circumstances under which the contract of employment can be considered as valid. It should be noted that the term and conditions of the contract must be within the country and human laws and it neither the employer or employee should go beyond that otherwise the same can be considered as null and void contract.

Duties of the employees:- It is the duties of the Employee to adhere the terms and conditions of the Company to remain in the employment of the company. Work of an employee can be decided depending upon the work and designation of the employee, t5his can be flexible but not to the extent of exploitation.

Number of hours that an employee should work per day- The Employee contract must contain clause regarding the working hours of an employee which can vary according to the designation of the employee. There is some flexibility which is granted and that can be decided by an employer. While fixing the number of hours to work of an employee that State laws should be kept in mind and also while fixing working hours one should take care that the minimum working hours are within the restrictions set by the Government.

The Statutory Entitlement of an employee- what are the things to which employees are entitled to and what is he entitled for- these are the elements of this part of the contract. And while deciding this one should keep State laws in the mind and also employer should make sure that these entitlements are not detrimental to the health of the company.

The Employee benefit- The employer must mention the benefits of the employee in the company which increases the interest of the Employee to be part of that company as along. And the benefits should specify the Plans, schemes, that the employee can enjoy i addition to the CTC and Salary to which you are paying to your employee.

By signing or providing this Employee contract to their employees it ensures the healthy relationship between their employees, or you can also retain your employees in the way that is desirable for both the parties.

In case you want to hire some legal consultant in India for drafting employee employer contract , feel free to contact BIATConsultant .