Statutory Compliance Services ensure that your business adheres to all legal and regulatory requirements, including labor laws, tax regulations, and employee welfare obligations. Non-compliance can result in penalties, legal challenges, and reputational damage.
At Team Management Services (TMS), we simplify compliance management by handling every aspect of regulatory adherence for you. Our experts keep your business updated with evolving laws, minimizing risks and ensuring full legal protection.
With TMS, you can focus on business growth while we manage your compliance efficiently—helping you avoid penalties, reduce legal risks, and maintain peace of mind.
TMS statutory compliance services work seamlessly with our Contract Staffing, Employer of Record (EOR), and Payroll Outsourcing services — ensuring end-to-end compliant workforce management across all Indian states.
TMS drives your company’s success by efficiently managing HR processes and third-party contract staffing operations.
We assign a dedicated online HR Manager to support your business and handle all HR-related needs.
TMS helps you save valuable time by managing HR
tasks seamlessly, allowing you to focus on core
business goals.
Securely access and manage your business data with enterprise-grade cloud security from reputed providers like AWS, Microsoft Azure, and Google Cloud, integrated into TMS systems.
With TMS Payroll Software and Statutory Compliance Services, one can establish provident fund compliance based on management bands or employee wage bands.
TMS Payroll and Statutory Compliance Services will take care of your full-time and part-time employee ESI submissions and computation blocks.
TMS simplifies documentation and calculation of Professional Taxes, thereby creating state-specific compliance documents and automatically deducting the Professional Tax.
Creation, digital submission of TDS returns, and thus payment challans for submission wherein the amounts of various allowances in respect of deduction are broken down automatically.
TMS focuses on assisting with the calculation of contributions automatically as well as the maintenance of filing requirements for labor welfare funds, as mandated by various states.
We check that the deductions reflect those of the financial year, letting your employees compound with legality and hence, take more home.
Compliance of various acts and regulations is mandatory in all businesses of whatever size to avoid any legal action. TMS Statutory Compliance Services ease
the tedious and expensive process of ensuring compliance. These services shall prove helpful to all-in protecting the organization, employees, and
employers. Timely payment to employees is critical if they are to be treated fairly and in order to assure that no work goes unpaid. Our Statutory
Compliance Services come into play as protection for your organisation against all penalties and lawsuits. TMS will advise any HR staff in your company, specifically handling third Party Contract Staffing Services.
Looking for related services? Explore our Talent Acquisition services or contact us for a free compliance consultation.
After the contract is signed, the Sales
Team forwards the client’s requirements
to the HR Team.
This initiates the next steps in the
staffing and onboarding process.
TMS Statutory Compliance Services
keep your business aligned with the latest laws and regulations, ensuring
smooth operations for third-party contract staffing.
TMS helps eliminate compliance
risks and liabilities, allowing you to
focus on growth while
staying fully compliant in all staffing operations.
Automobile
Entertainment
Hospitality
Logistics
Oil & Gas
Services
Banking
FMCG
Industrial
Manufacturing
Pharmacy
Technology
Educational
Healthcare
Infrastructure
Mining
Real Estate
Telecom
Missing a statutory filing deadline in India can result in interest, damages, and prosecution. TMS ensures every client meets 100% of their deadlines through proactive reminders and automated challan submissions.
| Statute | Filing / Payment | Due Date |
|---|---|---|
| EPF (PF) | Monthly ECR (Electronic Challan Return) | 15th of following month |
| ESIC | Monthly challan payment | 15th of following month |
| Professional Tax | Monthly deduction & challan (most states) | 15th of following month |
| TDS (Payroll) | Quarterly return (Form 24Q) | 31 Jul / 31 Oct / 31 Jan / 31 May |
| ESIC | Half-yearly return | 12 Nov (Apr–Sep) / 12 May (Oct–Mar) |
| EPF | Annual return (Form 3A, Form 6A) | 30 April |
| LWF | Annual/bi-annual contribution (state-specific) | 31 December (most states) |
| Bonus Act | Annual bonus payment | Within 8 months of accounting year end |
| Gratuity | Payment to eligible employees | Within 30 days of becoming payable |
Non-compliance with Indian labour laws carries serious financial and legal consequences. Below are the key penalties employers face:
TMS Track Record: Zero statutory penalties across 19+ years and 450+ client engagements. Our proactive compliance calendar and dedicated compliance managers eliminate default risk.
Every business in India that employs even one person has statutory obligations — to the government, to employees, and to regulators. Non-compliance is not merely a procedural risk: it carries financial penalties, legal liability, and reputational exposure that can affect business operations, banking relationships, and investor due diligence.
The primary statutory compliance obligations for Indian employers are:
TMS manages all of these obligations for 450+ clients across 100+ cities in India — with a zero-penalty compliance record across 19+ years of operations. Every TMS statutory compliance engagement includes dedicated compliance managers, automated deadline tracking, and monthly MIS reporting to clients covering all filings, payment challans, and upcoming obligations.
Governed by the Employees Provident Funds and Miscellaneous Provisions Act, 1952, administered by EPFO. Mandatory for every establishment employing 20 or more persons (permanent once crossed). Monthly ECR due on the 15th of each month.
Contribution rates: Employee 12% of basic + DA. Employer 12% (8.33% EPS + 3.67% EPF + 0.5% EDLI).
Section 14B Damages: 5% of arrears for default up to 2 months; 10% for 2–4 months; 15% for 4–6 months; 25% for defaults exceeding 6 months — plus 12% per annum interest from the due date. Wilful default: prosecution and imprisonment up to 3 years.
Governed by the Employees State Insurance Act, 1948. Applies to establishments employing 10+ persons (20 in some states). Coverage threshold: gross wages up to Rs 21,000/month (Rs 25,000 for persons with disability). Employees earning Rs 176/day or less are exempt from the employee contribution; employer contribution still applies.
Rates: Employee 0.75% + Employer 3.25% of gross wages. Monthly challan due 15th. Half-yearly returns: May 12 and November 12.
| State | Salary Slab | Monthly PT |
|---|---|---|
| Maharashtra | > Rs 10,000/month | Rs 200 (Rs 300 in February) |
| Karnataka | Rs 15,000 - Rs 24,999/month | Rs 150/month |
| Karnataka | > Rs 25,000/month | Rs 200/month |
| West Bengal | Rs 10,001 - Rs 15,000/month | Rs 110/month |
| West Bengal | > Rs 40,000/month | Rs 200/month |
| Andhra Pradesh | Rs 15,001 - Rs 20,000/month | Rs 150/month |
| Andhra Pradesh | > Rs 20,000/month | Rs 200/month |
| Tamil Nadu | Rs 21,001 - Rs 30,000/month | Rs 135/month |
| Tamil Nadu | > Rs 30,000/month | Rs 208/month |
| State | Employee | Employer | Frequency and Due Date |
|---|---|---|---|
| Maharashtra | Rs 6 | Rs 12 | Biannual — June 30 and December 31 |
| Karnataka | Rs 10 | Rs 20 | Annual — January 15 |
| Andhra Pradesh | Rs 30 | Rs 70 | Annual — December 31 |
| Tamil Nadu | Rs 10 | Rs 20 | Annual |
| Gujarat | Rs 6 | Rs 12 | Biannual |
| West Bengal | Rs 3 | Rs 15 | Annual |
Under Section 192 of the Income Tax Act, TDS on salary must be deposited by the 7th of the following month. Quarterly Form 24Q returns are due as follows:
| Quarter | Period | Due Date |
|---|---|---|
| Q1 | April to June | July 31 |
| Q2 | July to September | October 31 |
| Q3 | October to December | January 31 |
| Q4 | January to March | May 31 |
Form 16 deadline: June 15. Every employer must issue Form 16 (Part A + Part B) to all employees by June 15 after the close of each financial year. Penalty for non-issuance: Rs 100 per day per employee under Section 272A of the Income Tax Act.
| Frequency | Obligation | Due Date |
|---|---|---|
| Monthly | PF ECR filing and challan | 15th of following month |
| Monthly | ESIC challan payment | 15th of following month |
| Monthly | TDS deposit on salaries | 7th of following month |
| Quarterly | Form 24Q — Q1 | July 31 |
| Quarterly | Form 24Q — Q2 | October 31 |
| Quarterly | Form 24Q — Q3 | January 31 |
| Quarterly | Form 24Q — Q4 Annual | May 31 |
| Half-Yearly | ESIC half-yearly return | May 12 and November 12 |
| Biannual | LWF — Maharashtra and Gujarat | June 30 and December 31 |
| Annual | Form 16 to all employees | June 15 |
| Annual | PF annual return | April 30 |
| Annual | Statutory bonus payment | November 30 |
| Annual | LWF — Karnataka (Jan 15), AP (Dec 31) | January 15 / December 31 |
| Act / Section | Default | Penalty | Imprisonment? |
|---|---|---|---|
| EPF Act Sec 14B | Late PF payment | 5-25% damages + 12% p.a. interest | Yes — up to 3 years |
| ESI Act | Late ESIC challan | 12% interest from due date | Yes — up to 2 years |
| Income Tax Sec 271C | TDS not deducted | Penalty equal to tax not deducted | No |
| Income Tax Sec 234E | Late Form 24Q filing | Rs 200 per day (max = TDS amount) | No |
| Income Tax Sec 272A | Failure to issue Form 16 | Rs 100 per day per employee | No |
| CLRA | Operating without CLRA licence | Licence cancellation + prosecution | Yes — up to 3 months |
| Minimum Wages Act | Paying below minimum wage | Fine up to Rs 500 per offence | Yes — up to 6 months |
| Bonus Act | Non-payment of statutory bonus | Recovery order + fine | Yes — up to 6 months |
Payment of Gratuity Act, 1972: Payable after 5 years of continuous service. Formula: (15/26) x last drawn basic salary x completed years of service. Maximum gratuity payable: Rs 20 lakhs (enhanced from Rs 10 lakhs, effective March 29, 2018). Must be paid within 30 days of separation.
Payment of Bonus Act, 1965: Applies to establishments with 20+ employees. Eligible for employees drawing up to Rs 21,000/month. Minimum: 8.33% of annual wages or Rs 100/month (whichever is higher). Maximum: 20% of annual wages. To be paid within 8 months of the accounting year end — by November 30.
Contact TMS:
+91-224-149-8942
+91-224-896-7640
For General Queries:
[email protected]
For Sales:
For Jobs:
[email protected]
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