Wednesday, 19 November 2014

Update on India’s Social Security Agreements with Australia and Japan

Social Security Agreement between India and Japan:

The Social Security Agreement between India and Japan was signed on 16 November 2012. The Agreement was expected to enter into force in December 2014. However, it seems that the entry into force of the Agreement may be delayed due to continued discussions between the Japanese and Indian authorities
specifically due to recent changes in the Provident Fund and Pension Scheme effective 1 September 2014.
Social Security Agreement between India and Australia:
The Social Security Agreement between India and Australia has been signed today (18 November 2014). However, currently there is no official confirmation regarding the likely date of entry into force of the Agreement.
Once the Agreement comes into force, subject to conditions, it may allow exemption from the host country social security contributions and export of benefits to the home country. Thus, the Agreement has the potential to provide major social security cost savings for employers having globally mobile employees between India and Australia.

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