Labour Cess

[CABALRAM PANDEY]

Dear all,

 

Now a days i am hearing that each and every builders have to pay 1% of cost of project as labour cess before starting of construction work. Please confirm and mention the exact provision and procedure for registration and other relevant  things related to this. Please advice.

 

Thanks & Regards 

CA Balram Pandey

AI Summary

Labour cess registration and payment obligations require checking BOCW Act amendments and rules for site versus establishment treatment.
Amendments to the Building and Other Construction Workers Acts empower the Central Government to set the cost threshold for establishments, remove the prior minimum engagement period and upper age limit for worker registration, permit the Central Government to fix administrative expense percentages for State Boards, appoint Director Generals with inspection powers, and allow State Governments to file complaints; a deposit time limit for cess collecting authorities is prescribed. The document notes unresolved procedural uncertainty whether registration is per site or per establishment and whether cess is assessed per project or on aggregated annual construction expenditure, and advises consulting the Act and rules.