India payroll compliance
Payroll compliance, month by month.
For employers in India: PF, ESI, professional tax and salary TDS, with rates, due dates and 2025–26 changes.
Due datesWhat changedSalary calculator
These guides cover Indian payroll law. Outside India, local payroll needs a country pack. Until then, you can keep your local payroll provider and post the salary journal into MyRecords.
From 17 Sep 2026
₹25,000was ₹15,000
The EPF wage ceiling a month. September 2026 is worked out in two parts.
Every month an employer deducts PF, ESI, professional tax and TDS from pay, adds its own PF and ESI share, and pays each by its due date.
- The four Labour Codes take effect
- The Income-tax Act, 2025 applies
- EPF wage ceiling rises to ₹25,000
4 guides, checked 1 Nov 2026
One guide for each deduction.
What an employer deducts every month, who it applies to and how to pay it.
- Changed this year PF contribution rules Rates, the new ₹25,000 wage ceiling from 17 Sep 2026, and how to file the monthly ECR. Wage ceiling₹15,000₹25,000from 17 Sep 2026 RatesEmployee 12%Employer 12% 7 min readChecked 31 Oct 2026 Read the guide
- ESI rules for employers Who is covered, what you deduct and pay, and when, as ESIC states it today. 5 min readChecked 31 Oct 2026
- Professional tax on salaries A state tax employers deduct from pay. The rules differ by state; here is how to read them. 6 min readChecked 31 Oct 2026
- TDS on salary, tax year 2026-27 The new Act, the slabs, a worked example, and the quarterly Form 138 that replaced Form 24Q. 8 min readChecked 31 Oct 2026
- ESI rules for employers Who is covered, what you deduct and pay, and when, as ESIC states it today. 5 min readChecked 31 Oct 2026
- Professional tax on salaries A state tax employers deduct from pay. The rules differ by state; here is how to read them. 6 min readChecked 31 Oct 2026
- TDS on salary, tax year 2026-27 The new Act, the slabs, a worked example, and the quarterly Form 138 that replaced Form 24Q. 8 min readChecked 31 Oct 2026
Every month
Due dates at a glance.
Check each portal for extensions; a missed date costs interest or penalty.
| What | Due | Example |
|---|---|---|
| PF: ECR and payment | 15th of the next month | September 2026 was due by 15 October |
| ESI: contributions | Within 15 days of the end of the month | October’s ESI by 15 November |
| TDS on salary: deposit | Monthly | March 2026 deductions were due by 30 April 2026 |
| TDS on salary: Form 138 (earlier 24Q) | 31 Jul, 31 Oct, 31 Jan, 31 May | One statement for each quarter |
| Professional tax | By each state’s own date | Return periodicity differs by state and employer |
Newest first
What changed in 2025–26.
Each change links to the notification, FAQ or release, and to the guide that explains it.
-
EPF wage ceiling raised from ₹15,000 to ₹25,000 a month (S.O. 5109(E)). September 2026 is worked out in two parts: 1–16 Sep at ₹15,000 and 17–30 Sep at ₹25,000.
Guide: PF contribution rules -
The Income-tax Act, 2025 applies. Salary TDS for tax year 2026-27 is under section 392(1); the quarterly statements are Form 138 (earlier 24Q) and Form 140 (earlier 26Q).
Income Tax Department: TDS compliance FAQs
Guide: TDS on salary, tax year 2026-27 -
The Finance Bill 2026 proposes no change in income-tax rates for tax year 2026-27; the default slabs run from nil up to ₹4 lakh to 30% above ₹24 lakh.
Guide: TDS on salary, tax year 2026-27 -
The four Labour Codes, including the Code on Wages, 2019 and the Code on Social Security, 2020, made effective, consolidating 29 labour laws. PF wages are now tested under section 2(88) of the Code on Social Security.
Guide: PF contribution rules
In MyRecords
The files come out of the pay run.
You or your CA upload and pay on the portals. Here is what works today and what does not yet.
- PF ECR fileWith the ₹25,000 ceiling from 17 Sep 2026 and September split by days. Works today
- ESI upload fileIn the .xls format the ESIC portal accepts. Works today
- Professional tax for 20 states and PuducherrySource shown; Odisha at nil since its repeal on 1 Apr 2026; slabs marked “verify” are confirmed with you at setup. Works today
- Due datesFor PF, ESI, PT and TDS on the statutory page and the home-screen calendar. Works today
- Form 24Q and Form 138Form 24Q text file for quarters to March 2026; Form 138 for 2026-27 as an Excel layout to key in. In part
- Form 130 and labour welfare fund ratesForm 130 (earlier Form 16) to employees, and state labour welfare fund rates, are not made yet. See the roadmap. Not yet
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Questions
Questions people ask
Something else on your mind?
Ask us anything about modules, a quote or moving across. A person from our team replies.
Ask a question01Which payroll laws apply to a small business?
It depends on headcount, location and pay. PF and ESI apply to covered establishments and employees within their wage limits, professional tax depends on the state, and TDS applies whenever an employee’s salary is taxable. The guides above explain each test.
02Did the Labour Codes change PF and ESI rates?
EPFO’s rates remain 12% from the employee and 12% from the employer, and ESIC’s page still shows 0.75% and 3.25%. What changed from 17 Sep 2026 is the EPF wage ceiling, now ₹25,000.
03Does MyRecords file PF, ESI and TDS returns?
It makes the PF ECR file and the ESI upload file, and works out PT for 20 states and Puducherry, and salary TDS. You or your CA upload and pay on the portals. For 2026-27, Form 138 is an Excel layout to key in, and the annual certificate (Form 130, earlier Form 16) is not made yet.
04Are these guides legal advice?
No. They explain the rules in plain words. Check the official sources and your CA before you act. How we write and check guides.
Last updated Facts last verified against the official sources below Expert review pending
These guides explain the rules in plain words; they are not legal or tax advice. Laws and portal rules change. Check the official sources and your CA before acting.
Official sources
- Gazette of India — S.O. 5109(E), 17 Sep 2026 (copy posted by EPFO)
- EPFO — FAQs on revision of the wage ceiling (S.O. 5109(E), 17 Sep 2026)
- ESIC — Contribution
- ESIC — Coverage
- Income Tax Department — TDS compliance FAQs
- Income Tax Department — Form 138 user manual
- PIB — Four Labour Codes made effective, 21 Nov 2025
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