The Gujarat High Court has ruled that a Chartered Accountancy (CA) firm should be classified as a professional establishment rather than a shop, commercial or retail entity and as a result, its employees are deemed ineligible for inclusion under the Employees’ State Insurance (ESI) benefit scheme. This decision before an ESI court which in 2016 pronounced that CA firms do not fall within the purview of the ESIC Act. “Similarly, management consultancy services to be rendered by the Chartered Accountants include services to be provided at the places of the client. “…In such circumstances, confining the office of the Chartered Accountant within the definition of ‘shop’ cannot be accepted. Quashing the ESI court’s order, the high court further directed the ESI Corporation to refund the amount deposited with interest accrued thereon.

Source: Hindustan Times October 31, 2023 08:54 UTC