Professional Tax in India: State-Wise Rates & Compliance
S
Statura Team
Professional tax (PT) is a state-level tax on income from employment, trade, or profession. It is deducted by employers from salaries and paid to the state — but not every state levies it, and rates differ.
Which States Levy It?
States like Maharashtra, Karnataka, West Bengal, Tamil Nadu, and Gujarat levy professional tax; others (such as Delhi and Haryana) do not. Employers operating in multiple states must comply in each applicable one.
Registration & Deduction
- PT Registration Certificate (PTRC): to deduct and deposit tax from employees' salaries.
- PT Enrolment Certificate (PTEC): for the business/professional's own liability.
- Deduction follows a monthly salary slab, capped at ₹2,500 per person per year.
Due Dates & Penalties
Returns and payment are typically monthly or annual depending on the state. Late registration or payment attracts interest and penalties, so register within the deadline of starting operations.
Statura manages payroll and professional tax within its HRMS and payroll compliance services across Indian states.
#professional tax
#payroll
#state tax
#compliance