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Amarnath V Gaonkar (propreitor)     25 December 2011

Is providant fund applicable for proprietor firm


I am a proprietor of my firm doing the business of BUILDERS and REAL ESTATE.. I do one project at a time and i dont have any permanent labourers working for me directly as i sub let all my construction work on labour contract , also in my office i have employed only one female staff and one office boy cum driver.

Iam not a big time builder as my projects are very small consisting of 10 to 15 residential units  and as i do one project at a time it takes around 36 months approx to complete one project after which i start a new one if atall i have any.

Last week a PF inspector visited my already completed project and then my office and requested me to enroll under PF.. I dont understand when i dont have any employees employed with my firm apart for my two office staff , why i need to register for PF.

Even till date since my project where very small , never more than 15 to 18 labourers of the labour contrator where working on my sites.

Do i need to register for PF for my only two office staff and do i need to register for the works which i have completed because as of now i dont have any projects in hand and hence question of engaging labours for my activities doesnot arise.

Please advice as what to reply to the PF inspector as he has asked to to visit him in weeks time.





 5 Replies

Kumar Doab (FIN)     25 December 2011

The website and info is useful.


Duties of Employer

  • Enrol all categories of employees including the employees engaged by or through contractors and also piece rated, hourly rated employees.
  • Remit the contributions and administrative charges before the 15th of the following month.
  • File the initial returns of Form 9, Form 3(P.S.), form 5A.
  • File the monthly returns in Form 12A, Form 5, Form 10 and Challans for remitting the dues.
  • Maintain the contribution card in respect of each employee in Form 3A and submit the annual returns in Form 3A and 6A after reconciliation with Challans and form 12A.
  • The employer has to ensure that statutory dues in respect of contractors employees are remitted and returns filed.
  • Employer should attest the form  No.2 and  the claims forms submitted by the member/ legal heirs/ nominees.
  • Make available all relevant records for inspection of visiting officials with due authorisation.

You can also approach PF consultants for consultation

sandeep gangwar (AUDITOR)     26 December 2011


preview this website.

Sudhir Kumar, Advocate (Advocate)     16 March 2012

Recently CBI has registered a crminal case in Dlehi against some PF Inspectors and sernior officers for favouring builders .


You are liable to deposit PF od even indirectly employeed labour.




PF applicable for all type of estt. e.g. prop., partnership, ltd., pvt. ltd. or ngo. pf only depend on employees strength

Bhagwan Tolani (Salaried)     24 March 2012

Dear Mr. Amarnath,

Good Afternoon!

As per Contract Labour (Regulation & Abolition) Act 1970 you are not eligibile to get register under PF to your regular employees or contractual labour.

But this is only in that conditons if you are briefing correct fact about Nos. of contractual labour you usually deploy in any your project.

Thanks & Rgds

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