Experts.
If a company follow a process of hold EPF at the time of payment to contractor and pay back EPF when contractor submit challan of depsoit of EPF. In case contractor not submit the challan of payment of EPF, Whether it is company liabilty to pay EPF to government. and in case of delay or non depsotion of EPF whether penaly or interest is liable on principal employer,.
Whether contractor can file case against company for release of EPF hold by company. (pls refer if any deceided case law is there) .
Regards
Principal Employer Liable for EPF Contributions If Contractor Defaults; Can Recover Funds from Contractor's Bills or Legal Action. A query was raised regarding the liability of a principal employer for Employees' Provident Fund (EPF) contributions when a contractor fails to submit the necessary deposit challans. The discussion clarified that the principal employer is responsible for ensuring the contractor remits the EPF contributions to the government. If the contractor fails, the principal employer must cover the contributions, including any interest or penalties for delays. The principal employer can recover these amounts from the contractor by adjusting their bills or filing a suit. (AI Summary)
TaxTMI 
TaxTMI 
