Recovery of excess payment wrongly made to EPFO

p k kapoor (Querist) 25 April 2009 This query is : Resolved
IN case of payment EDLI charge,the requirement under EMPloyees' Deposit Linked Insurance Scheme is as follows:

"No amount is recovered from employee's wages . Employer should pay 0.5% of total wages subject to a ceiling of Rs. 6500/- per month ( w.e.f. 1-06-2001)."

In case of an organisation, however, this EDLI charge was calculated on total wages till March 2009 instead of restricting EDLI charge to the wage ceiling amount of Rs.6500. The matter was discussed with EPFO organisation and they stated that it can be adjusted in future payments.

My query is

(1)Under which circular of Employees Provident Fund Organisation (EPFO), adjustment of this payment is allowed.

(2) What is the provision in this regard in relevant EPFO rule/act position

(3) Whether this recovery from future payment, can be made from total amount payable to EPFO or recovery of this excess EDLI payment is to be restricted against future EDLI payment only.

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Y V Vishweshwar Rao (Expert) 26 April 2009
For any excess payment or payments with out any present liability ,or payments in Advance to due dates , can be adjusted by the Authorities .

A V Vishal (Expert) 30 April 2009
No other views?

Sudhir Kumar, Advocate Online

(Expert) 01 September 2017
Basically there is no such procedure

Guest (Expert) 01 September 2017
Not a legal problem. Only a procedural issue.

However, please state, do you have any concern with the problem and in what capacity? If so, better discuss how the excess payment happened and how much is the amount excess paid so?

Sudhir Kumar, Advocate Online

(Expert) 06 September 2020
yes only a procedural query.