CA IPCC Business Law Amendments for May 2017 are in Bonus, PF, Gratuity and NI Acts. These Amendments in IPCC Business Law Paper have been written by CA Amrita Thakkar. All the Amendments for CA IPCC Business Law May 2017 exam has been listed out in easy language and in laymen terms so that it will be easy for students to understand. Apart from Law, Students are also recommended to concentrate on Amendments in Tax for next Exam.
Few of these amendments are not new and were released months back. However, it is always recommended for students to keep track of them, as there are high chances that ICAI is going to ask these amendments in CA IPCC Law Paper of May 2017 Exam.
Bonus Act – Business Law Amendments May 2017
There are total of 3 Amendments in Bonus Act Law that you need to consider for May 2017. These are explained as follows:
Increase in Wage Limit
In order to be eligible for Bonus, An Employee shall be earning a Salary not exceeding Rs.21,000 (This is an amended limit and the earlier limit is Rs.10,000)
Where the salary or wage of an employee exceeds Rs.7,000 per mensem, the bonus payable to such employee shall be calculated as if his salary or wage were only Rs.7,000 only. (The earlier limit is Rs.3,500 only).
Power to Make Rules
Earlier, Central Government has complete power to make rules on the Bonus Act. However, with the recent amendment, the act given right to raise objections for the rules made by the Central Govt. [Refer Page 3.4, page 3.19 & page 3.28 of the Study material (July 2015 edition)]
PF Act – IPCC Business Law Amendments May 2017
There are no new amendments in the PF Act. However, it is recommended to students to go through an amendment in PF Law, that was made an year back.
The Amendment comes while calculating insurance amount payable to an employee in case of death.
NI Act – IPCC Business Law Amendments May 2017
There are two amendments in the Negotiable Instruments Act, which are explained below:
Amendment in the Definition of Cheque
The Definition Cheque under the Negotiable Instruments Act Law will now include ‘Cheque in Electronic Form‘ too. Elelctronic cheques are those that issued by signing it through a Digital Signature. Electronic cheques have recently become very famous, and are being used by large organisations like FlipKart, Apple, Facebook etc.
Amendment in Cheque Bouncing Case
Section 138 lays down provision for criminal and civil liability for Bouncing of Cheques. In such situation where a cheque is bounced, as per the recent amendment, the case can be filed in the court which is in the jurisdiction of the branch where the Payee has an account.
Gratuity Act – IPCC Business Law Amendments May 2017
There are no new amendments in the Gratuity Act Law applicable for CA IPCC May 2017 Business Law Syllabus.
So students can read the existing study material only for this topic.