Restriction/Limit on all types of cash payment

Restrictions for payment and acceptance of Cash in India

Detail of Transactions	Limit	Penalty/Fine for Receiver	Penalty/Fine for making payments	Remarks
Payment and repayment of Loan /deposits other than agriculture , Payment against purchase of Immovable property.	20,000 Under section 269SS of IT Act	100% of the amount received/accepted	Nil	No penalty if payment is accepted on reasonable cause (Medical emergency etc)
Any payment by individual for purchase of movable property, marriage function, construction of house etc	2,00,000 Under section 269SS of IT Act	100% of the amount accepted	Nil
Payment by business entity	To traptr 35000 other 10,000 u/s  40A	Nil (but if more than 2,00,000 269SS will apply)	Disallowance of expenses made in cash

Payment of Bonus by an agreement under Industrial Dispute Act.

Payment of Bonus under an agreement under Industrial Dispute Act.

1.       The employer has to pay bonus to its employees at the rate according to profit as per audited balance sheet by adjusting some expenses/profits as per Payment of Bonus Act, 1965

2.       Minimum bonus is to paid is 8.33% (Section 10)

3.       Maximum Bonus is to be paid is 20% (Section 11)

4.       Bonus is to be paid within 8 months i.e. on or before 30 Nov Every Year

If employer has paid less than amount arrived as per 1. above it defaults and if employer had paid more than amount as per 1 and 3 above, income tax officer may reject the expenditure over and above amount payable.

SOLUTION

Under section 22 of Bonus Act, Employer and Employees can make an agreement on percentage of Bonus under section 18(1) of the Industrial Dispute Act without going into quantum of profit and loss of the firm. (Minimum 8.33%)

                                                Agreement under section 18(1) for Payment of Bonus

This agreement is made on this day the ____Day of _____20___    between management of M/s _____ and majority of employees under Section 18(1) of Industrial Dispute Act, 1947.

Where as a dispute has been there with respect of percentage of bonus to be paid by the management to employees and 

Where the management and employees have sorted out the dispute as under:-

That without going into the quantum of profit and loss of the firm for the year ending _______ it has been mutually agreed between the management and employees that the bonus for the year ending 31/3/____ shall be paid at the rate of _____%.

Date

Place                                                                                                     On behalf of Management

                                                                                                                For .................................

                                                                On behalf of employees the following in person

Minimum Ragtes of Wages in Punjab wef 01.09.2019

Rates of Minimum Wages	WEF-->	01-03-19	01-09-19
	Increase-->	14.41/374.24	324.88/12.52
Unskilled	Monthly	8451.95	8776.83
Gate Keeper,Peon, Helper,  Chowkidar, Gen. Labour Below 10th	Daily	325.53	338.05
Semi-Skilled	Monthly	9231.95	9556.83
Having 10 Yrs Exp or Fresh Having ITI  or Diploma Holder/TM3rd4th stand	Daily	355.53	368.05
Skilled	Monthly	10128.95	10453.83
Semi Skilled after 5 Yr Exp,  BlackSmith, Turner, Electrician, TM/1-2nd	Daily	390.03	402.55
Highly Skilled	Monthly	11160.95	11485.83
Degree Holder, Graduate Engineer, Truck Driver, Crane Operater	Daily	429.73	442.25
Staff-Gade A	Monthly	13621.95	13946.83
Post Grduat Degree MBA etc	Daily	524.43	536.95
Staff-Gade B	Monthly	11951.95	12276.83
Graduate	Daily	460.23	472.75
Staff-Gade C	Monthly	10451.95	10776.83
Undergraduate	Daily	402.78	415.30
Staff-Gade D	Monthly	9251.95	9576.83
10th Pass Peon, Helper	Daily	356.33	368.85