Compliance Requirements under the Rules in Accordance with the Code

1. Levy and collection of cess for social security and welfare of building workers in Gujarat (Section 100(1), Rule 43(2)(a)(b) of Code on Social Security (Central) Rules, 2020)

A cess will be imposed and collected to fund social security and welfare initiatives for building workers. This cess will be levied at a rate determined by the Central Government, which can range from one to two percent of the construction cost incurred by an employer.

a) Cess levied shall be paid by employer in advance, on basis of his self-assessment duly certified by Chartered Engineer at the time of approval or before commencement of work

b) For the purpose of self-assessment of cost of construction, employer shall calculate cost of construction work on uniform rate or rates of construction as specified by respective State’s Public Works Department or the Central PWD or as per return or document submitted to RERA, applicable for that particular year in which commencement of building and other construction work took place in Form-XVI Provided if there is any such type of construction activity involved for which neither State PWD nor Central PWD or RERA has specified any rate(s), employer will calculate cost of construction, based on documents to be produced by him along with his assessment statement in Form-XVI within sixty days on completion of his each building and other construction work or project, to the assessing officer.

      2. Form XV: Information for commencement in respect of Building/ Other Construction Work (Section 100, 103(1), Rule 43(1)(a) of Code on Social Security (Central) Rules, 2020]

Every employer, within sixty days of commencement of his work or payment of cess, as the case may be, furnish to the Assessing Officer, information in Form-XV.

3. Form XV: Information for change or modification in information submitted in Form XV (Section 100, Rule 43(1)(b) of Code on Social Security (Central) Rules, 2020)

Any change or modification in the information furnished In Form XV shall be communicated to the Assessing Officer in same Form after incorporating details of such modification(s) immediately but not later than thirty days from the date of affecting the modification or change.

4. Payment of self assessment cess by employer (Section 103)

The employer must, within 60 days (or notified period) of completion of building or construction work, self-assess and pay cess on construction cost after adjusting advance cess, and file the prescribed return. Any discrepancy may lead to assessment and payment as ordered.

1. 1. The employer must self-assess cess payable on total cost of construction based on prescribed documents after completion of each building or construction work.
   2. Cess must be paid within 60 days of completion, or within such time as notified by Central Government, after adjusting any advance cess already deposited.
   3. Once cess is paid, the employer must file the prescribed return under section 123(d) within the required timeframe
   4. If the assessing authority finds a difference between self-assessment and actual payable amount, it may conduct inquiries and issue an assessment order determining the correct cess.
   5. The assessment order will specify the due date by which any additional cess must be paid.
   6. Employers must maintain supporting documentation (cost statements, invoices, approvals, bills of quantities, contracts, etc.) for verification.
   7. Failure to comply may result in additional cess liability, interest, penalties, and enforcement action under the Code.

5. Form XVII: Notice for stoppage/reduction of Building or Construction Work/ refund of excess cess (Rule 43(2)(e), 43(5) of Code on Social Security (Central) Rules, 2020)

In case, there is any stoppage or reduction of Building or construction work, employer shall furnish the information in Form-XVII, to the Assessing officer within sixty days of such stoppage or reduction of building or other construction. Also, where employer has deposited cess in advance and decides to withdraw/foreclose/modify plan of construction/call off, he may seek refund of the excess amount of advance cess paid by submitting information in Form-XVII to the Assessing Officer giving details of such reduction or stoppage of work.

6. Form XVIII: Return of completed building/construction work (Rule 43(2)(f) of Code on Social Security (Central) Rules, 2020)

Every employer on completion of building or other construction work, shall be required to submit a return in Form-XVIII, to the Assessing officer within sixty days of each of his completed work.

7. Furnish reply to assessing officer along with documentary evidences (Rule 43(4)(d) of Code on Social Security (Central) Rules, 2020)

The employer must respond to the notice issued by the Assessing Officer within 30 days from the date of receipt and include relevant documentary proof or evidence supporting the claim. During assessment, if the employer requests, the Assessing Officer may grant a personal hearing to present clarification or supporting arguments. Timely submission and proper documentation are required to avoid adverse assessment outcomes.

8. Form XIX: Appeal against order of assessment (Rule 46(1) of Code on Social Security (Central) Rules, 2020)

An employer aggrieved by an assessment order under Rule 43(4) or a penalty order under Rule 45 may file an appeal in Form-XIX within 90 days of receiving the order, before the Appellate Authority notified by the State Government.

9. Registration of Building Workers as Welfare Board Beneficiaries in Gujarat (Section 106, Rule 47 of Code on Social Security (Central) Rules, 2020)

Building workers aged between eighteen and sixty who have worked at least ninety days in the past twelve months are eligible to register as beneficiaries with the Building Workers’ Welfare Board through an authorized officer, according to the procedures prescribed by the Central Government.

1) Employers or contractors must register their construction workers on the specified government portal

2) Registration, renewal, and welfare delivery for building workers will be done electronically via the portal

3) Portability of benefits and processes for registration and de-registration will follow Central Government specifications

4) Registration will follow the same procedures as for unorganised, gig, and platform workers under Rule 50

5) Registered building workers are entitled to benefits from the Board’s Fund

6) Migrant workers are entitled to benefits from the Board in the state where they are currently working

7) Registered workers will receive a digital or physical identity card with their photo and details

8) Lost or destroyed identity cards can be re-downloaded from the Board’s portal, as specified by the State Government 9) Registration and renewal charges may be covered by the government, Board, or worker, as specified by the State Government

10. Continued Benefits Scheme for Building Workers Post-Retirement (Section 107(2), Rule 48 of Code on Social Security (Central) Rules, 2020)

If any building worker has been beneficiary for at least three years continuously immediately before attaining the age of sixty years, for the benefit of such workers, the Central Government may formulate such scheme (s) as may be notified by the Central Government.

11. Time limit of payment of cess in Gujarat (Section 100(1), Rule 66)

Cess under Section 100(1) must be paid electronically in advance or before work starts. House owners building for own use above ₹50 lakh must pay cess at plan approval. Builders/developers must pay cess electronically when submitting plans for approval.