LABOUR, INDUSTRIAL AND TAX LAWS

Necessity Of Labour Laws

1. For improving industrial relations and maintaining industrial peace.

2. To save the workers from the exploitation of the employer.

3. To minimise and settling of the industrial dispute.4. To help in payment of fair wages to the workers.5. To give compensation to those workers who are

victim of accidents. cont…

6. To reduce the conflicts, strikes etc.

7. To provide job security for the workers and compensation during lay off period.

8. To provide good working conditions for the workers.

9. To fix hours of work, rest pauses etc.

INDUSTRIAL ACTS

1. The Factories Act, 19482. Workmen’s Compensation Act, 19233. Minimum Wages Act, 19484. Employees State Insurance Act, 19485. Employees Provident Fund Act, 19476. Industrial Dispute Act, 19477. Payment of Wages Act, 1936

The Factories Act, 1948

This act regulates condition of work in factories. The working conditions should ensure the health and safety of workers. The factories act 1948 is a comprehensive piece of legislation covering all aspects regarding the factories. The act extends to the whole of India including the state Jammu & Kashmir. It came into force on 1st April 1949. This act was further amended in 1950, 1951, 1954 and 1976.

Workmen’s Compensation Act, 1923

The act seeks to compensate the workers injured. This act came into existence in 1923. The act was amended subsequently in 1933, 1038, 1939, 1958, 1962 and 1976. This act is applied to all workers in the factories, mines, docks and railways. It is also applicable to transport workers, telegraph and telephone linesmen and workers in building profession.

Minimum Wages Act, 1948

The granting of minimum wages to the workers is one of the essential requirements. The wages should be sufficient to maintain the worker and his family . The object of the Act is to prevent exploitation of the workers. The minimum wages act is a piece social legislation intended to do social justice to the workers.

Employee’s State Insurance Act, 1948

The object of this act is to provide for certain benefits to employees in case of sickness, maternity and employment injury. The benefits which the act wants to give to the employees are of a nature which would be difficult for any individual factory owner to provide for his own employees.

Employee’s Provident Fund Act, 1952

This act provides some provisions for the future of industrial worker when he retires and for the benefits of his dependents in case of his death. The government employees are given pension after retirement whereas industrial workers have the contributory provident fund schemes.

Industrial Dispute Act, 1947

This act aims at making industrial peace through voluntary negotiations and compulsory adjudication. The act makes provision for settlement of industrial disputes between employee and employer.

Payment Of Wages Act, 1936

The main purpose of the Payment of Wages Act, 1936, is to ensure regular and timely payment of wages to the employed persons, to prevent unauthorised deductions being made from wages and arbitrary fines being imposed on the employed persons. The act extends to the whole if India.

PRINCIPLES OF TAXATION

1. Administration,2. Defence from external aggression,3. Police for the maintenance of law and order,4. Judicial courts for administration of justice,5. Schools and colleges for giving education to

people,6. Hospitals for the preservation of health etc.

INCOME TAX

Income Tax is one of the major sources of revenue for the government. The responsibility for collection of income tax vests with Central Government. This tax is leviable and collected under Income-Tax Act, 1961. Income Tax is charged annually on the total income of every person for the previous year and at the rates fixed by the relevant Finance Act.

SALES TAX (Central and State)

The Central Sales Tax Act 1956 is a fiscal legislation which in particular imposes a levy of tax on sale of goods in the course of inter-state trade or commerce. This law was enacted by Parliament in exercise of authority conferred upon it under Article 286 and Article 269(3) of the constitution. This act formulates principles for determining when a sale or purchase of goods takes place in the course of import into or export from India.

Central Excise Duty

Excise duty is essentially a tax on the production or manufacture of excisable goods, produced or manufactured within the country and is unrelated to the sale of the same. The Central Excise Act, 1944 is one of the most important tax collecting status of the union of India. It, along with other connected subsidiary legislation, regulates the levy and collection of duties of central excise on goods manufactured or produced in India.

PRODUCTION TAX

This is an indirect tax levied by the tax raising authorities like municipal corporation distt. Authorities etc. to collect revenue for meeting their expenses. This tax is added in the cost of the product and ultimately the purchase pays for this tax indirectly.

LOCAL TAX

This is also an indirect tax, collected by the local bodies like Area Development Committee, Municipal CORPORATION, and Notified Areas etc., by imposing duties on goods brought in the city/town or goods to be carried out of it. These local bodies raise their fund like to meet with their establishment expenses and the like , chungi in Uttar Pradesh and Qctoroi in West Bengal are some examples of local taxes.