Everything You Know About Professional Tax Payments

Making a professional tax online payment or e-payment based on the professional tax slab is advantageous as one does not need to visit the PT office every month or even download the PT Enrolment Certificate online.

What is Professional Tax?

Professional Tax is a direct tax which is levied monthly by most Indian State Governments on your income from salary, trade, profession or calling.

Under Clause (2) of Article 276 of the Constitution of India,1949, state governments were given the power to come up with slabs for income and the corresponding professional tax amounts. Till date, the maximum Professional Tax amount that can be levied by any state government is INR 2,500. 

Who needs to pay the professional tax

Professional tax payment is a revenue source for the government. The maximum amount for professional tax online payment per annum is Rs 2,500 and if salaried, follows the declared pre-determined professional tax slab schedule.

Traders, architects, company secretaries, lawyers, doctors, chartered accountants etc. have to mandatorily make a professional tax payment to the Commercial tax department of the state.

Private company employees also need to pay professional tax payment/e payment. Generally, this deduction is made based on the professional tax slab defined by the government every month. The employer is responsible to remit the professional tax payment amounts collected to the state exchequer using a professional tax online payment method.

In the case of a company, its partners, directors, self-employed professionals, and owners of trading firms the tax may be fixed on the turnover basis or on a fixed amount of Rs 2,500 per annum irrespective of turnover.

Professional tax registration and process

1. The system enables recorded data to be done all at once or in batches.
2. Keep a completed APPT Form on hand in case of emergency. Forms may be found on the webpage, www.apct.gov.in. This will aid in data input speed.
3. Keep visiting www.apct.gov.in – APPT Enrollment Process for the process and documentation to be submitted with the petition.
4. Go to www.apct.gov.in. Select eRegistration or Professional Tax. The system will launch a new browser for mail enrollment and password retrieval.

a. Password may be obtained by clicking here. A new tab will appear.
b. Enter your email address
c. Verify your email
d. Put in the authorization number
e. Press the Submit button. The system delivers the password to your email address. Enter your email and see your password, then return to this website and select “eRegistration” on the page www.apct.gov.in. The system will display the Login Credentials.
f. Enter your email address.
g. Put in the password you got in your email id.
h. Press the Submit button. A new tab will appear.
i. Select “New Registration.” The Complete The registration Option will appear.

Professional Tax slabs in various states

Professional taxes differ from one jurisdiction to the next. As a result, it varies from state to state. Every jurisdiction has its unique set of guidelines that regulate professional taxes in that jurisdiction. To charge occupational tax, all regions use a slab method based on earnings.

Since Professional Tax is a compulsory tax for individuals with an income, most Indian states levy a professional tax. While states like Maharashtra and Karnataka require a professional tax, Haryana and Delhi do not.

Here’s a list of tax slabs in different states:

MaharashtraUp to INR 7,500 (men)NIL
Up to INR 10,000 (women)NIL
INR 7,500 to INR 10,000 (men)INR 175
Above INR 10,000 (women)INR 200 (INR 300/- for the month of February)

 

Tamil NaduUp to INR 21,000NIL
INR 21,001 to INR 30,000INR 135
INR 30,001 to INR 45,000INR 315
INR 45,001 to INR 60,000INR 690
INR 60,001 to INR 75,000INR 1025
Above INR 75,000INR 1250

 

KarnatakaUp to INR 15,000NIL
Above INR 15,000INR 200

 

Andra PradeshUp to INR 15,000NIL
INR 15,001 to INR 20,000INR 150
Above INR 20,001INR 200

 

KeralaUp to INR 11,999NIL
INR 12,000 to INR 17,999INR 120
INR 18,000 to INR 29,999INR 180
INR 30,000 to INR 44,999INR 300
INR 45,000 to INR 59,999INR 450
INR 60,000 to INR 74,999INR 600
INR 75,000 to INR 99,999INR 750
Above 1,25,000INR 1250

 

TelanganaUp to INR 15,000NIL
INR 15,001 to INR 20,000INR 150
Above INR 20,000INR 200

 

GujaratUp to INR 5,999NIL
INR 6,000 to INR 8,999INR 80
INR 9,000 to INR 11,999INR 150
INR 12,000 and AboveINR 200

 

BiharUp to INR 3,00,000NIL
INR 3,00,001 to INR 5,00,000INR 1000
INR 5,00,001 to INR 10,00,000INR 2000
Above INR 10,00,001INR 2500

 

Madhya PradeshUp to INR 2,25,000NIL
INR 2,25,001 to INR 3,00,000INR 1500
INR 3,00,001 to INR 4,00,000INR 2000
Above INR 4,00,001INR 2500

 

West BengalUp to INR 10,000NIL
INR 10,001 to INR 15,000INR 110
INR 15,001 to INR 25,000INR 130
INR 25,001 to INR 40,000INR 150
Above INR 40,001INR 200

 

OdishaUp to INR 1,60,000NIL
INR 160,001 to INR 3,00,000INR 1500
Above INR 3,00,001INR 2500

 

SikkimUp to INR 20,000NIL
INR 20,001 to INR 30,000INR 125
INR 30,001 to INR 40,000INR 150
Above INR 40,001INR 200

 

AssamUp to INR 10,000NIL
INR 10,001 to INR 15,000INR 150
INR 15,001 to INR 24,999INR 180
Above INR 25,000INR 208

 

MeghalayaUp to INR 50,000NIL
INR 50,001 to INR 75,000INR 200
INR 75,001 to INR 1,00,000INR 300
INR 1,00,001 to INR 1,50,000INR 500
INR 1,50,001 to INR 2,00,000INR 750
INR 2,00,001 to INR 2,50,000INR 1000
INR 2,50,001 to INR 3,00,000INR 1250
INR 3,00,001 to INR 3,50,000INR 1500
INR 3,50,001 to INR 4,00,000INR 1800
INR 4,00,001 to INR 4,50,000INR 2100
INR 4,50,001 to INR 5,00,000INR 2400
Above 5,00,001INR 2500

 

TripuraUp to INR 7500NIL
INR 7,501 to INR 15,000INR 1800 (INR 150 per month)
Above INR 15001INR 2496 (INR 208 per month)

 

ChhattisgarhUp to INR 40,000NIL
INR 40,001 to INR 50,000INR 360 (INR 30 per month)
INR 50,001 to INR 60,000INR 720 (INR 60 per month)
INR 60,001 to INR 80,000INR 1080 (INR 90 per month)
INR 80,001 to INR 1,00,000INR 1200 (INR 100 per month)
INR 1,00,001 to INR 1,50,000INR 1440 (INR 120 per month)
INR 1,50,001 to INR 2,00,000INR 1800 (INR 150 per month)
INR 2,00,001 to INR 2,50,000INR 2160 (INR 180 per month)
INR 2,50,001 to INR 3,00,000INR 2280 (INR 190 per month)
Above INR 3,00,001INR 2400 (INR 200 per month)

How to make a professional tax e payment:

To pay the professional tax payment one has to register with the Commercial Tax Department and obtain a professional tax payment number or Enrollment Certificate (EC).

The payment of professional tax can also be made through a paper professional tax challan at the District Sales Tax Office where you may have to fill in the professional tax challan, have it stamped and sealed and make a cash payment at the counter or by cheque, as directed by the department.

A professional tax e payment can also be made online by using the new EC and RC numbers to make e-payments through a professional tax challan. Making a professional tax online payment or e-payment based on the professional tax slab is advantageous as one does not need to visit the PT office every month or even to download the PT Enrolment Certificate online.

Making Online Professional Tax Payment:

If you have your professional tax payment/enrollment number handy you can pay online use this professional tax online payment step-by-step guide.

  • Use only the official state government professional tax website to make a professional tax e payment.
  • To find the portal search online with ‘Professional tax payment’ and city name.

professional tax

  • Use the left-side menu bar to click on Karnataka Professional Tax-KTP tab assuming you are in Karnataka.
  • The website will direct you to choose between professional tax challan options of a registered employer and self-employed professional.
  • Now enter your Professional Tax Payment Registration Number, company name, and details as prompted.

professional tax online payment

  • Then choose the option from monthly or annually, depending on the demands of the department and rules.
  • Next, enter the month and year for which you are paying the tax.
  • Enter the professional tax payment amount column and the penalty if any is levied.
  • Enter the bank details from which you propose to make the payment and your registered mobile number.
  • Hit the enter tab and verify your details before you click on the submit tab.
  • On the next screen that loads click on the tab that says ‘Click here for payment’.
  • It will take you to your bank’s net banking page.

professional tax e payment

  • Sign in and make the payment for the due professional tax payment.
  • Save the transaction details and professional tax challan in pdf format for future reference.

The penalty clause:

Paying the online professional tax payment in time is important. Non-compliance is penalized at 10 per cent of the due online p tax payment. A delay in obtaining the registration number is penalized mostly at the rate of Rs 5/- per day from the missed date. To file late returns of the professional tax online payment you are levied a penalty of Rs 1,000/- if you pay within a month of the due date or Rs 2,000/- if it is over a month and later.

Professional Tax slabs in different states

Before we get into the details of the Professional Tax slabs for each State, let’s look at Union Territories and States that do not levy PT.

States & UTs without PTStates & UTs with PT
Andaman and Nicobar IslandsAndhra Pradesh
Arunachal PradeshAssam
ChandigarhBihar
ChhattisgarhGujarat
Dadra and Nagar HaveliJharkhand
Daman and DiuKarnataka
DelhiKerala
GoaMadhya Pradesh
HaryanaMaharashtra
Himachal PradeshManipur
Jammu and KashmirMeghalaya
LadakhMizoram
LakshadweepNagaland
RajasthanOdisha
Uttar PradeshPuducherry
UttarakhandPunjab
Sikkim
Tamil Nadu
Telangana
Tripura
West Bengal

Here are the income slabs and corresponding PT amounts for States and Union Territories where Professional Tax is applicable.

Andhra Pradesh
Salary/Income (INR) per monthProfessional Tax Amount (INR) per month
Up to 15,0000
15,001 – 20,000150
Above 20,000200

Assam
Salary/Income (INR) per monthProfessional Tax Amount (INR) per month
Up to 10,0000
10,001 – 15,000150
15,001 – 25,000180
Above 25,000208

Bihar
Salary/Income (INR) per monthProfessional Tax Amount (INR) per month
Up to 25,0000
25,001 – 41,66683.33
41,667 – 83,333166.67
Above 83,334208.33

Gujarat
Salary/Income (INR) per monthProfessional Tax Amount (INR) per month
Up to 5,9990
6,000 – 8,99980
9,000 – 11,999150
Above 12,000200

Jharkhand
Salary/Income (INR) per monthProfessional Tax Amount (INR) per month
Up to 25,0000
25,001 – 41,666100
41,667 – 66,666150
66,667 – 83,333 175
Above 83,334208 (for 11 months); 212 (12th month)

Karnataka
Salary/Income (INR) per monthProfessional Tax Amount (INR) per month
Up to 15,0000
Above 15,001200

Kerala
Salary/Income (INR) half-yearlyProfessional Tax Amount (INR) half-yearly
Up to 1,9990
2,000- 2,99920
3,000 – 4,99930
5,000 – 7,499 50
7,500 – 9,99975
10,000 – 12,499100
12,500 – 16,666125
16,667- 20, 833166
Above 20,834208

Madhya Pradesh
Salary/Income (INR) per monthProfessional Tax Amount (INR) per month
Up to 18,7500
18,751 – 25,000125
25,001 – 33,333167
Above 33,334208 (for 11 months); 212 (12th month)

Maharashtra
Salary/Income (INR) per monthProfessional Tax Amount (INR) per month
Up to 7,5000
7,501 – 10,000175
Above 10,001209 (for 11 months); 300 (12th month)

Manipur
Salary/Income (INR) per monthProfessional Tax Amount (INR) per month
Up to 4,2500
4,251 –  6,250100
6,251 – 8,333167
8,334 – 10,416200
Above 10,417208 (for 11 months); 212 (12th month)

Meghalaya
Salary/Income (INR) per monthProfessional Tax Amount (INR) per month
Up to 4,1660
4,167- 6,25016.50
6,251 – 8,33325
8,334 – 12,50041.50
12,501 – 16,66662.50
16,667 – 20,83383.33
20,834 – 25,000104.16
25,001 – 29,166125
29,167 – 33,333150
33,334 – 37,500175
37,501 – 41,666200
Above 41,667208

Mizoram
Salary/Income (INR) per monthProfessional Tax Amount (INR) per month
Up to 8330
834 – 1,2508
1,251 – 166712.5
1668 – 2,08316.6
2,084 – 2,91720.83
2,918 – 4,16725
4,168 – 6,25041.6
6.251 – 8,33362.5
8,334 – 12,50083.3
12,501 – 16,667125
16,668 – 20,833166.6
Above 20,834208.3

Nagaland
Salary/Income (INR) per monthProfessional Tax Amount (INR) per month
Up to 4,0000
4,001- 5,00035
5,001- 7,00075
7,001- 9,000 110
9,001- 12,000180
Above 12,001208

Odisha
Salary/Income (INR) per monthProfessional Tax Amount (INR) per month
Up to 13,3040
13,305 – 25,000125
Above 25,001200 (for 11 months); 300 (12th month)

Puducherry
Salary/Income (INR) per monthProfessional Tax Amount (INR) per month
Up to 16,6660
16,667 – 33,33341.66
33,334 – 50,00083.33
50,001 – 66,666 125
66,667 – 83,333166.67
Above 83,334 208.33

Punjab
Taxable Income (INR) per monthProfessional Tax Amount (INR) per month
Above 20,833200

Sikkim
Salary/Income (INR) per monthProfessional Tax Amount (INR) per month
Up to 20,0000
20,001 – 30,000125
30,001 – 40,000150
Above 40,001200

Tamil Nadu
Salary/Income (INR) per monthProfessional Tax Amount (INR) per month
Up to 3,5000
3,501 – 5,00022.5
5,001 – 7,50052.5
7,501 – 10,000 115
10,001 – 12,500171
Above 12,501208

Telangana
Salary/Income (INR) per monthProfessional Tax Amount (INR) per month
Up to 15,0000
15,001 – 20,000150
Above 20,001200

Tripura
Salary/Income (INR) per monthProfessional Tax Amount (INR) per month
Up to 5,0000
5,001 – 7,00070
7,001 – 9,000120
9,001 – 12,000 140
12,001 – 15,000190
Above 15,001208

West Bengal
Salary/Income (INR) per monthProfessional Tax Amount (INR) per month
Up to 10,0000
10,001 – 15,000110
15,001 -25,000130
25,001 – 40,000 150
Above 40,001200


Professional Tax – FAQs

1) For a salaried individual, is it mandatory to pay professional tax?

Yes. For individuals who draw income from salary, payment of professional tax is mandatory.

2) Who needs a Certificate of Registration (RC)?

All employers who pay Professional Tax to the State Government on behalf of the employees need Certificate of Registration (RC).

3) What types of Profession Taxpayers exist?

Profession Taxpayers are of two types based on the following criteria:

    • PTRC or Profession Tax Registration Certificate: Employers who have employed more than 1 worker must obtain the PTRC. Such an employee must draw a salary from the employer which must be more than the prescribed limit for PT to be levied.
    • PTEC or Profession Tax Enrollment Certificate: For any individual who is in a profession, calling or trade and is listed under one of the classes mentioned in Schedule I (second column) must obtain PTEC.

4) Is registration and enrolment for PT mandatory for businesses?

Yes. All businesses (except those exempted) must obtain an Enrolment Certificate and a Registration Certificate — for PT — withing 30 days of commencement of business.

5) For delay in PT registration, what is the penalty?

In a case where the Certificate of Enrolment is not obtained by the employer on time, a penalty amounting to INR 1,000 will be levied. Moreover, any pending tax accumulated since the commencement of business must also be paid in full.

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