Quick answer: Statutory compliance is every legal duty an Indian employer must meet on a fixed timetable. It covers salary TDS under the Income-tax Act, 2025, EPF and ESI contributions, Professional Tax, Labour Welfare Fund, wage payment under the Code on Wages and annual filings such as the POSH report. Miss a date and interest starts running.
- Salary TDS is deposited by the 7th of the next month, and by 30 April for March.
- EPF (through the monthly ECR) and ESI are both due by the 15th of the next month.
- Form 138, which replaced Form 24Q, is filed quarterly on 31 July, 31 October, 31 January and 31 May.
- Monthly wages must be paid before the 7th of the following month.
What does a statutory compliance calendar look like?
Most deadlines cluster in the first half of each month, with quarterly and annual filings layered on top.
| Obligation | Law | Due |
|---|---|---|
| Salary payment | Code on Wages, s.17 | Before the 7th of next month |
| TDS on salary deposit | Income-tax Act, 2025, s.392 | 7th of next month (30 April for March) |
| EPF and EDLI via ECR | Code on Social Security, EPF Scheme 2026 | 15th of next month |
| ESI contribution | Code on Social Security | 15th of next month |
| Professional Tax | State PT law | Monthly, on the state’s due date |
| Labour Welfare Fund | State LWF law | Half-yearly (Maharashtra deducts on 30 June and 31 December) |
| Form 138 (old 24Q) | Income-tax Act, 2025 | 31 July, 31 October, 31 January, 31 May |
| Form 130 (old Form 16) | Income-tax Act, 2025 | By 15 June after the tax year |
| POSH annual report | POSH Act, 2013 | By 31 January |
One trap sits in the tax column. The Income Tax Department’s Form 138 FAQs confirm the new statement numbers, and the first Form 130 covers tax year 2026-27, due by 15 June 2027.
Form 16 still covered FY 2025-26 salaries.
Where do foreign employers slip on statutory compliance in India?
They treat India as one regime when half the obligations are state-specific. Professional Tax shows it well.
Maharashtra charges a man earning above ₹10,000 a month ₹200 a month and ₹300 in February, while Delhi, Haryana, Uttar Pradesh and Rajasthan levy none on salaries. So a team split between Pune and Gurugram runs two deduction rules.
Timing is the second slip. September 2026 PF had to be split across the old ₹15,000 and new ₹25,000 ceilings, because the change for the Employees’ Provident Fund took effect on the 17th.
ESI also needs care, since ESIC’s contribution page sets 3.25% from you and 0.75% from the employee, only for wages up to ₹21,000. Our walkthrough of payroll compliance in India covers the monthly run.
Who files statutory compliance under an EOR?
The EOR does, because it is the legal employer holding the TAN, the EPF code and the ESI number. You fund salaries.
The EOR deducts, deposits, files and issues certificates. Ask for the challans every month, and use our EOR compliance checklist to test what you receive.
How does Remunance run statutory compliance for your India payroll?
Remunance handles TDS, quarterly TDS returns, annual salary TDS certificates, Professional Tax, Labour Welfare Fund, the monthly EPF ECR and ESIC for every employee we hire for you. If you already employ through your own Indian entity, our compliance management service takes over the calendar instead. To see where your filings stand today, book a free compliance check.
What else do people ask about statutory compliance in India?
What is the difference between statutory and non-statutory compliance?
Statutory items are required by law, such as EPF, ESI, TDS and PT. Group medical cover is optional. Our page on statutory and non-statutory benefits sorts the two lists.
What happens if PF is paid late?
EPF damages run at 0.25% to 1% a month depending on the delay. Interest of 12% a year simple applies on top.
Is statutory compliance the same in every Indian state?
Not fully. EPF, ESI and TDS are central, but Professional Tax, Labour Welfare Fund and Shops and Establishments rules change state by state.