Income Tax Act, 1961
Sch. IV Part A Rule 2. DEFINITIONS.
In this part, unless the context otherwise requires, – (a) “Employer” means any person who maintains a provident fund for the benefit of his or its employees, being – (i) A Hindu undivided family, company, firm or other association of persons, or
(ii) An individual engaged in a business or profession the profits and gains whereof are assessable to income-tax under the head “Profits and gains of business or profession”;
(b) “Employee” means an employee participating in a provident fund, but does not include a personal or domestic servant;
(c) “Contribution” means any sum credited by or on behalf of any employee out of his salary, or by an employer out of his own moneys, to the individual account of an employee, but does not include any sum credited as interest;
(d) “Balance to the credit of an employee” means the total amount to the credit of his individual account in a provident fund at any time;
(e) “Annual accretion”, in relation to the balance to the credit of an employee, means the increase to such balance in any year, arising from contributions and interest;
(f) “Accumulated balance due to an employee” means the balance to his credit, or such portion thereof as may be claimable by him under the regulations of the fund, on the day he ceases to be an employee of the employer maintaining the fund;
(g) “Regulations of a fund” means the special body of regulations governing the constitution and administration of a particular provident fund; and
(h) “Salary” includes dearness allowance, if the terms of employment so provide, but excludes all other allowances and perquisites.
