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Labor Laws in India

  • Annual Leave: Minimum 12 days
  • Maternity Leave: 26 weeks
  • Public Holidays: 9
  • Workweek: Maximum of 48 hours per week.

Income Tax in India

Income Tax in India is progressive ranging from 0% to 30%.

Value Added Tax (VAT) in India

India has a standard VAT (GST) rate of 18%.

Social Security in India

The social security contributions for employers and employees are as follows:

Employer Contributions

  • Employers contribute 12% of the employee's basic salary and dearness allowance. This includes 8.33% towards the Employees' Pension Scheme (EPS) and 3.67% towards the EPF.
  • Employers contribute 3.25% of the employee's wages towards ESI.
  • Employers must provide gratuity benefits as per the Payment of Gratuity Act, 1972. This applies to employees who have completed at least five years of service.

Employee Contributions

  • Employees contribute 12% of their basic salary and dearness allowance to the EPF. This is mandated by the Employees' Provident Funds and Miscellaneous Provisions Act, 1952.
  • Employees earning less than ₹21,000 per month contribute 0.75% of their wages to the ESI, as per the Employees' State Insurance Act, 1948.

Work Visas India

The work visas available to legally work in India include:

Employment Visa (E-Visa):

  • This is the most common work visa for foreigners seeking employment in India.
  • It is issued to foreign nationals who have been offered a job or contract in India.
  • The visa is initially granted for up to 1 year and can be extended further.

Business Visa (B-Visa):

  • This visa is for foreign nationals who want to visit India for business purposes, such as attending meetings, negotiating contracts, or exploring investment opportunities.
  • It can be issued for a period of up to 5 years, with a maximum stay of 180 days per visit.

Project Visa:

  • This visa is issued to foreign nationals who are coming to India to work on specific projects, such as infrastructure development, power projects, or other large-scale initiatives.
  • The visa is valid for the duration of the project, up to a maximum of 1 year.

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