ESI has made amendment on Interest calculation method on omitted wages. They have issued a circular regarding this on 08th April, 2016. ESIC has decided that the interest on ESI contribution payable on omitted wages, shall be calculated monthly wise.
Earlier to this, the Interest on omitted wages/left-out wages as reported by the Social Security Officer where the number of employees, employee-wise details of wages paid and period of engagement of such employees was not available, is to be claimed after allowing a grace period of 21 days from the date of demand letter/C-18 notice from the Regional/Sub-Regional Office.
From now onwards, the interest is payable on such omitted wages- from the actual due date of the ESI contribution.
Click here to download circular.
