ESIC Returns

According to the ESI Act, 1948 ESI is mandatory for business entities employing 20 0r more individuals, also employees earning not more than Rs. 15,000 monthly need to contribute 1.75% of their pay towards the ESI contribution, whereas 4.75% will be contributed towards their ESI by the company, the total share being 6.5%.
The ESI scheme provides various benefits to the employees, has a large network of dispensaries, and hospitals nationwide run by the concerned state governments for facilitating speedy and efficient medical care. In addition, to the medical care, insured persons also benefit the sick pay benefits. Registration with ESI also improves worker’s morale and ensures employee retention.

The following documents must be maintained regularly for filing ESI returns;
1. Attendance registers
2. Register for Form 6
3. Wages registers
4. Register of any accidents on the premises
5. Inspection books

ESI returns are to be filed twice a year. It can be done through the ESIC’s online portal: Here are the steps involved:
1. The login credentials are essential for filing returns through the ESIC portal i.e. the log in ID and Password.
2. After entering the portal, a list of actions can be performed or additions to be made to the employer’s ESI account such as updating employee details or reporting an accident, etc.
3. Click on the tab ‘File Monthly Returns’. Before filing monthly contributions, the employer must ensure that the employee details are updated.
4. Enter the bank details and file the monthly ESI contribution.
5. After the payment of the contributions, click on ‘Generate challan’, a challan for the payment received is then generated. It is an essential document must to be filed for inspection.