What is employees' provident fund and why is it not distributed among the partners while reconstitution?
Pragya,
Employees' Provident Fund is a retirement benefit fund created by the business for its employees. The amount in the fund reflects a statutory liability of the firm towards its employees and hence the fund balance is not available for distribution.
Employees' Provident Fund is a retirement benefit fund created by the business for its employees. The amount in the fund reflects a statutory liability of the firm towards its employees and hence the fund balance is not available for distribution.