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I’ve been working as a data entry operator at the Income Tax Department in Amritsar for the past eight years. I’m employed through an unregistered partnership firm that hasn’t deducted ESI or PF, only TDS at 10%. The firm operates as if its employees are actually working for the department. I’m unsure if my service and employment are with the Income Tax Department or the unregistered firm. Is my employment officially with the department, or am I technically employed by the firm?

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Under Indian law, your employment contract likely has a clause prohibiting moonlighting or engaging in outside business activities. You could face disciplinary action or termination for breaching this clause. An LLP may be a better choice for your new venture as it offers limited liability and flexible ownership structure compared to a Private Limited company, but you should consult with a legal professional to ensure compliance with your employment contract and to assess the best legal structure for your specific situation.

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