Its mandatory to deduct ESI from all employees whose salary is below a certain salary per month. Suppose if he is getting an incentive along with the salary and both the salary and incentive is above the ESI ceiling for this month and no incentive for the coming month. Are we supposed to deduct ESI from the employees in such a case where the salary plus incentive is above the ceiling . Another fact is that the incentive may not be same throughout the contribution period and some months even no incentive at all.
Please suggest whether I have to deduct ESI in the above case.
Thanking you in anticipation,