Employees' Provident Fund Organization (EPFO)
Employees' Provident Fund Organization (EPFO)

Aadhaar-PF account seeding: Northeastern states granted time till December 31 to comply

LWE-affected areas and industries such as construction and plantation also have time till the end of the year to comply with mandatory seeding.
By hindustantimes.com, New Delhi
UPDATED ON SEP 14, 2021 10:55 AM IST

The Employees’ Provident Fund Organization (EPFO) has announced that the seven sister states in the northeast, along with left-wing extremism (LWE) affected areas and some specific sectors such as construction and plantation, have been granted time till December 31 to comply with the mandatory seeding of 12-digit Aadhaar number with the Employees' Provident Fund (EPF) account of each staff member.

“Considering the low Aadhaar penetration in the EPFO administrative zone of the northeast region, comprising Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland and Tripura, the time for mandatory seeding in Universal Account Number (UAN) for filing electronic challan-cum-receipts (ECR) is extended till December 31, 2021,” the retirement fund body notified its regional and zonal offices, more than 120 in number, through a circular on Monday.

The decision to exempt the NE states, and a few other sectors, was taken after representatives from various industries reached out to the EPFO, seeking an extension of the deadline to comply with the mandatory seeding, the last date for which was earlier extended from June 1 to September 1. 

However, the Union ministry of labour warned that other companies and states not complying with the mandatory seeding will not be allowed to submit statutory provident fund deductions from September itself.

Matching Aadhaar details of employees with their EPF records was made mandatory as authorities believe that this can help reduce payroll frauds such as impersonation. 

Every month, 12 per cent deduction as EPF contribution is made from the basic monthly salary of an employee, with the employer required to submit a matching contribution. These are then submitted by the employer at the EPFO through ECRs.

 

 

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