law: Payment of Bonus Act, 1965 
  2. Definitions 
  In this Act, unless the context otherwise requires,
  (1) "accounting year" means,- 
  ( i ) in relation to a
  
  corporation, the year ending on the day on which the books and accounts of the
  
  corporation are to be closed and balanced;
  (ii) in relation to a company, the period in
  
  respect of which any profit and loss account of the company laid before it in
  
  annual general meeting is made up, whether that period is a year or not,
  (iii) in any other case,- 
  (a) the year
  
  commencing on the lst day of April; or
  (b) if the accounts of an establishment
  
  maintained by the employer thereof are closed and balanced on any day other
  
  than the 31st day of March, then, at the option of the employer, the year
  
  ending on the day on which its accounts are so closed and balanced:
  PROVIDED  that an option once exercised by the employer
  
  under paragraph (b) of this sub-clause shall not again be exercised except with
  
  the previous permission in writing of the prescribed authority and upon such
  
  conditions as that authority may think fit;
  (2) "agricultural income" shall have the same meaning
  
  as in the Income-tax Act;
  (3) "agricultural income tax law" means any law for
  
  the time being in force relating to the levy of tax on agricultural income;
  (4) "allocable surplus" means,- 
  (a) in relation to an employer, being a
  
  company 6[(other than a banking company) which has not made the
  
  arrangements prescribed under the Income Tax Act for the declaration and
  
  payment within India of the dividends payable out of its profits in accordance
  
  with the provisions of section 194 of that Act, sixty-seven per cent of the
  
  available surplus in an accounting year;
  (b) in any other case, sixty per cent of such
  
  available surplus;
  (5) "appropriate government" means,- 
  ( i ) in relation to
  
  an establishment in respect of which the appropriate government under the
  
  Industrial Disputes Act, 1947 (14 of 1947), is the Central Government, the
  
  Central Government;
  (ii) in relation to any other establishment,
  
  the Government of the State in which that other establishment is situate;
  (6) "available surplus" means the available surplus
  
  computed under section 5;
  (7) "award" means an interim or a final determination
  
  of any industrial dispute or of any question relating thereto by any Labor
  
  Court, Industrial Tribunal or National Tribunal constituted under the
  
  Industrial Disputes Act, 1947 (14 of 1947), or by any other authority
  
  constituted under any corresponding law relating to investigation and
  
  settlement of industrial disputes in force in a State and includes an
  
  arbitration award made under section 10A of that Act or under that law;
  (8) "banking company" means a banking company as
  
  defined in section 5 of the Banking Companies Act, 1949 (10 of 1949), and
  
  includes the State Bank of India, any subsidiary bank as defined in the State
  
  Bank of India (Subsidiary Banks) Act, 1959 (38 of 1959), 3[any
  
  corresponding new bank specified in the First Schedule to the Banking Companies
  
  (Acquisition and Transfer of Undertakings) Act, 1970 (5 of 1970)], 6[any
  
  corresponding new bank constituted under section 3 of the Banking Companies
  
  (Acquisition and Transfer of Undertakings) Act, 1980 (40 of 1980)], any
  
  co-operative bank as defined in clause ( bii ) of
  
  section 2 of the Reserve Bank of India Act, 1934 (2 of 1934) and any other
  
  banking institution which may be notified in this behalf by the Central
  
  Government;
  (9) "company" means any company as defined in section
  
  3 of the Companies Act, 1956 (1 of 1956) and includes a foreign company within
  
  the meaning of section 591 of that Act;
  (10) "co-operative society " means a society
  
  registered or deemed to be registered under the Co-operative Societies Act,
  
  1912 (2 of 1912), or any other law for time being in force in any State
  
  relating to co-operative societies;
  (11) "corporation" means any body corporate
  
  established by or under any Central, Provincial or State Act but does not
  
  include a company or a co-operative society;
  (12) "direct tax" means,- 
  (a) any tax chargeable under,- 
  ( i )
  
  the Income-tax Act;
  (ii) the Super Profits
  
  Tax Act, 1963 (14 of 1963);
  (iii) the Companies
  
  (Profits) Surtax Act, 1964 (7 of 1964);
  (iv) the agricultural
  
  income tax law; and
  (b) any other tax which, having regard to its
  
  nature or incidence, may be declared by the Central Government, by notification
  
  in the Official Gazette, to be a direct tax for the purposes of this Act;
  (13) "employee" means any person (other than an
  
  apprentice) employed on a salary or wage not exceeding 7[three
  
  thousand and five hundred rupees] per mensem in any industry
  
  to do any skilled or unskilled manual, supervisory, managerial, administrative,
  
  technical or clerical work for hire or reward, whether the terms of employment
  
  be express or implied;
  (14) "employer" includes,- 
  ( i ) in relation to
  
  an establishment which is a factory, the owner or occupier of the factory,
  
  including the agent of such owner or occupier, the legal representative of a
  
  deceased owner or occupier and where a person has been named as a manager of
  
  the factory under clause (f) of sub-section (1) of section 7 of the Factories
  
  Act, 1948 (63 of 1948), the person so named; and
  (ii) in relation to any other establishment,
  
  the person who, or the authority which, has the ultimate control over the
  
  affairs of the establishment and where the said affairs are entrusted to a
  
  manager, managing director or managing agent, such manager, managing director
  
  or managing agent;
  (15) "establishment in private sector" means any
  
  establishment other than an establishment in public sector;
  (16) "establishment in public sector" means an
  
  establishment owned, controlled or managed by,- 
  (a) a government company as defined in section
  
  617 of the Companies Act, 1956 (1 of 1956);
  (b) a corporation in which not less than forty
  
  per cent of its capital is held (whether singly or taken together) by,- 
  ( i )
  
  the government; or
  (ii) the Reserve Bank
  
  of India; or
  (iii) a corporation owned by the government or
  
  the Reserve Bank of India;
  (17) "factory" shall have the same meaning as in clause
  
  (m) of section 2 of the Factories Act, 1948 (63 of 1948);
  (18) "gross profits" means the gross profits
  
  calculated under section 4;
  (19) "Income Tax Act" means the Income Tax Act, 1961,
  
  (43 of 1961);
  (20) "prescribed" means prescribed by rules made under
  
  this Act;
  (21) "salary or wages " means all remuneration (other
  
  than remuneration in respect of over-time work) capable of being expressed in
  
  terms of money, which would, if the terms of employment, express or implied,
  
  were fulfilled, be payable to an employee in respect of his employment or of
  
  work done in such employment and includes dearness allowance (that is to say,
  
  all cash payments, by whatever name called, paid to an employee on account of a
  
  rise in the cost of living), but does not include,- 
  ( i ) any other
  
  allowance which the employee is for the time being entitled to;
  (ii) the value of any house accommodation or
  
  of supply of light, water, medical attendance or other amenity or of any
  
  service or of any concessional supply of food grains
  
  or other articles;
  (iii) any traveling concession;
  (iv) any bonus (including incentive,
  
  production and attendance bonus);
  (v) any contribution paid or payable by the
  
  employer to any pension fund or provident fund or for the benefit of the
  
  employee under any law for the time being in force;
  (vi) any retrenchment compensation or any
  
  gratuity or other retirement benefit payable to the employee or any ex  gratia payment made to him;
  (vii) any commission payable to the employee.
  Explanation:  Where an employee is given in lieu of the
  
  whole or part of the salary or wages payable to him, free food allowance or
  
  free food by his employer, such food allowance or the value of such food shall,
  
  for the purpose of this clause, be deemed to form part of the salary or wages
  
  of such employee;
  (22) Words and expressions used but not defined in this Act and
  
  defined in the Industrial Disputes Act, 1947,(14 of 1947), shall have the
  
  meanings respectively assigned to them in that Act.