What is an ESI return?
ESI is a contributory fund that allows Indian workers or employees to take part in a self-financed insurance health-care fund with amounts being contributed by both the employer and workers under him.
It is monitored by state Insurance Corporation of workers, which is a self-financing government entity, and an organization meant for labor welfare.
What are the ESI return forms?
- Form 72 – This form is used to request for a duplicate ESIC smart card request.
- Type 23 – This form is a life certificate form that is required to avail of the permanent disablement benefit.
- Form 24 – This form is a declaration and certificate for availing disablement benefit.
How to file an ESI return?
- Every employer is provided with a 17-digit code when registered for ESI. This code is used as your user Id and your password.
- Go to the Home Page next, and choose the Monthly contribution space. Then Access RC and accept it.
- All the details would be provided on the screen, once the paid contributions of the employee’s details with wages have been submitted.
- In case there is a low payment by any employee, it has to be covered by the employer. Use the supplementary challan to modify the amount fallen short.
- Create a miscellaneous challan, on behalf of whom the low payment is made.
- If you check the monthly contribution, there would be a section called Self certification. Next, click the submit button.
Faqs
ESI registration is mandatory for what kind of Establishments?
It is mandatory for shops, hotels, road/motor transport undertakings, and Private educational institutions employing ten or more persons.
What are the contribution rates made by the employer and employees for ESI?
The contribution of employers in this scheme is 3.25%, and that of employees is 0.75%, thus making a total of 4%.
Are there any specific compliance requirements under ESI?
Yes. The returns must be filed and contributions made every month by all the entities or individuals registered under the ESI Act.
Does ESI registration have benefits?
Yes. The benefits are there. It covers all the medical claims, including maternity.
Can the benefits be transferred under the ESI Act?
No. The benefits cannot be transferred.
How an ESI scheme helps or beneficial for the employer?
There are several benefits that employers take on getting ESI registration for their business. Employees don’t need to worry about expending for maternity. They don’t need to worry about medical care for their family.
Is it necessary for employers to register any company under this scheme?
Yes, it is the responsibility of every employer to register their company or organization under the employee’s state insurance within 15 days from the day of its establishment.
Is the ESI process takes more time?
No, you can quickly complete this process by filling a form and other formality.
What do you mean about the subcode number?
The subcode is a unique identification number that is allotted by the sub-branch of the registered company.
What document is to be submitted in ESI reports?
You need to submit attendance, salary report, absent report, and accident report if it happens.