India Payroll Compliance Hub
By TexlaCulture HR & Payroll Team ·Indian payroll compliance is a moving target: PF, ESI, TDS, Professional Tax, LWF, and Form 16 each carry their own rules, portals, and deadlines. These guides break each statute down — who must comply, what to file, when, and the cost of getting it wrong — and show how TexlaCulture HRMS automates the heavy lifting end-to-end.
India payroll compliance at a glance
Each statute below is summarised as a standalone fact. Figures match the detailed guides linked above and reflect the rules in force for the 2026 filing year.
- Provident Fund (PF) — employees earning basic wages plus DA up to ₹15,000 per month at joining must be enrolled. Contributions are 12% of basic plus DA from the employee and a matching 12% from the employer, of which 8.33% (capped on ₹15,000 wages) funds the pension scheme.
- Employees State Insurance (ESI) — the ESI Act, 1948 applies up to a wage ceiling of ₹21,000 per month. The employee contributes 0.75% of wages and the employer 3.25%, totalling 4% of insurable wages.
- TDS on salaries — employers deduct tax under Section 192 of the Income Tax Act and file Form 24Q quarterly — Annexure I every quarter and Annexure II in Q4.
- Form 16 — the salary TDS certificate is issued under Section 203 and is due by 15 June following the financial year. Late issue attracts ₹100 per day per certificate.
- Professional tax (PT) — professional tax is levied by state, not centrally, so slabs and filing calendars differ across Maharashtra, Karnataka, Tamil Nadu, Telangana, Gujarat, and West Bengal.
- Gratuity — payable under the Payment of Gratuity Act, 1972 after five years of continuous service, subject to the ₹20 lakh statutory ceiling.
Automate India payroll compliance
TexlaCulture handles PF, ESI, TDS, PT, LWF, and Form 16 end-to-end.
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