Professional tax is a state-imposed tax levied on individuals earning an income through employment, profession, or trade. This tax is applicable to both salaried and self-employed individuals, with the responsibility of deduction and payment falling on employers for salaried employees. The tax is structured differently across various states in India, with some states exempting it entirely.
Professional tax serves as a source of revenue for state governments and is used for welfare programs, infrastructure development, and public services. Though the term ‘professional’ is used, the tax is not limited to professionals like doctors or lawyers but extends to anyone earning income through salary, wages, or trade.
Professional tax applies to various categories of individuals and businesses, including:
Employers deduct professional tax from salaries and remit it to the state government. Employees do not need to file separate returns for professional tax since it is deducted at source.
Professionals such as doctors, lawyers, architects, freelancers, and consultants must register for professional tax and pay it themselves.
Businesses operating with a specific number of employees or exceeding a certain revenue threshold are liable for professional tax.
State government employees are liable to pay professional tax unless explicitly exempted.
Exemptions vary by state but generally include senior citizens, individuals with disabilities, members of the armed forces, and specific industries such as agriculture.
This table provides a comprehensive overview of professional tax slabs, deduction frequencies, and return filing deadlines across various Indian states. It outlines the applicable income slabs, the frequency of tax deduction, the tax amount, and the return filing schedule to help businesses ensure timely compliance and avoid penalties.
| State | Gender | Professional Tax Salary Slab | Professional Tax Rate | Professional Tax Returns Filing | |||
| Period | Amount | Frequency | Amount | Frequency | Due Date | ||
| Andaman and Nicobar Islands | Not Applicable | ||||||
| Andhra Pradesh | All | Monthly | Up to Rs. 15,000 | Monthly | Nil | Monthly | 10th of every month |
| From Rs. 15,001 to Rs. 20,000 | Rs. 150 | ||||||
| Rs. 20,001 and above | Rs. 200 | ||||||
| Arunachal Pradesh | Not Applicable | ||||||
| Assam | All | Monthly | Up to Rs. 10,000 | Monthly | Nil | Monthly | Last day of every month |
| From Rs. 10,001 to Rs. 15,000 | Rs. 150 | ||||||
| From Rs. 15,001 to Rs. 24,999 | Rs. 180 | ||||||
| Rs. 25,000 and above | Rs. 208 | ||||||
| Bihar | All | Annual | Up to Rs. 300,000 | Annual | Nil | Annual | 30th of Nov |
| From Rs. 300,001 to Rs. 500,000 | Rs. 1,000 | ||||||
| From Rs. 500,001 to Rs. 1,000,000 | Rs. 2,000 | ||||||
| Rs. 1,000,001 and above | Rs. 2,500 | ||||||
| Chandigarh | Not Applicable | ||||||
| Chhattisgarh | Not Applicable#1 #1 Through Notification No F-10/ 22/ 2011/CT/V (22) dated 31-03-2011 Chhattisgarh state government exempts from the operations of all the provisions of the PT Act with effective from April 01, 2011. | ||||||
| Dadra and Nagar Haveli | Not Applicable | ||||||
| Daman and Diu | Not Applicable | ||||||
| Delhi | Not Applicable | ||||||
| Goa | Not Applicable | ||||||
| Gujarat | All | Monthly | Up to Rs. 12,000 | Monthly | Nil | Monthly | 15th of every month |
| From Rs. 12,000 and above | Rs. 200 | ||||||
| Haryana | Not Applicable | ||||||
| Himachal Pradesh | Not Applicable | ||||||
| Jammu and Kashmir | Not Applicable | ||||||
| Jharkhand | All | Annual | Up to Rs. 300,000 | Quaterly | Nil | Quaterly | 15th of Apr, 15th of Jul, 15th of Sep, 15th of Jan. |
| From Rs. 300,001 to Rs. 500,000 | Rs. 1,200 | ||||||
| From Rs. 500,001 to Rs. 800,000 | Rs. 1,800 | ||||||
| From Rs. 800,001 to Rs. 1,000,000 | Rs. 2,100 | ||||||
| Rs. 1,000,001 and above | Rs. 2,500 | ||||||
| Karnataka | All | Monthly | Up to Rs. 24,999 | Monthly | Nil | Monthly | 20th of every month |
| From Rs. 25,000 and above | Rs. 200 | ||||||
| Kerala | All | Half-yealy | Up to Rs. 11,999 | Half-yealy | Nil | Half-yealy | 30th of Sep, 31st of Mar. |
| From Rs. 12,000 to Rs. 17,999 | Rs.320 | ||||||
| From Rs. 18,000 to Rs. 29,999 | Rs.450 | ||||||
| From Rs. 30,000 to Rs. 44,999 | Rs.600 | ||||||
| From Rs. 45,000 to Rs. 99,999 | Rs.750 | ||||||
| From Rs. 100,000 to Rs. 124,999 | Rs. 1,000 | ||||||
| Rs. 125,000 or above | Rs. 1,250 | ||||||
| Ladakh | Not Applicable | ||||||
| Lakshadweep | Not Applicable | ||||||
| Madhya Pradesh | All | Monthly | Up to Rs. 18,750 | Monthly | Nil | Quaterly | 15th of Jan, 15th of Apr, 15th of Jul, 15th of Oct. |
| From Rs. 18,751 to Rs. 25,000 | Rs. 125 | ||||||
| From Rs. 25,001 to Rs. 33,333 | Rs. 166 & 174#2 | ||||||
| From Rs. 33,334 | Rs. 208 & 212#3 | ||||||
| #2 For employees earning between Rs. 25,001 and Rs. 33,333 per month, a professional tax of Rs. 166 should be deducted each month for the first 11 months, while Rs. 174 should be deducted in the final month of the financial year.
#3 For employees earning above Rs. 33,334 per month, a professional tax of Rs. 208 should be deducted each month for the first 11 months, while Rs. 212 should be deducted in the final month of the financial year. | |||||||
| Maharashtra | Female | Monthly | Up to Rs. 25,000 | Monthly | Nil | Monthly | Last day of every month |
| Above Rs. 25,000 | Rs. 200 & 300#4 | ||||||
| For those with a tax liability below ₹50,000, the due date is 31st March. Businesses registered before 30th May must pay by 30th June, while those registered after 30th May must pay within one month of registration.
#4 For female employees earning above Rs. 25,000 per month, a professional tax of Rs. 200 will be deducted each month for the first 11 months, while Rs. 300 will be deducted in the final month of the financial year. | |||||||
| Male | Monthly | Up to Rs. 7,500 | Monthly | Nil | Monthly | Last day of every month | |
| From Rs. 7,501 to Rs. 10,000 | Rs. 175 | ||||||
| Above Rs. 10,001 | Rs. 200 & 300#5 | ||||||
| For those with a tax liability below ₹50,000, the due date is 31st March. Businesses registered before 30th May must pay by 30th June, while those registered after 30th May must pay within one month of registration.
#5For male employees earning above Rs. 10,001 per month, a professional tax of Rs. 200 will be deducted each month for the first 11 months, while Rs. 300 will be deducted in the final month of the financial year. | |||||||
| Manipur | All | Annual | Up to Rs. 50,000 | Annual | Nil | Annual | 30th of Mar |
| From Rs. 50,001 to Rs. 75,000 | Rs. 1,200 | ||||||
| From Rs. 75,001 to Rs. 100,000 | Rs. 2,000 | ||||||
| From Rs. 100,001 to Rs. 125,000 | Rs. 2,400 | ||||||
| Above Rs. 125,001 | Rs. 2,500 | ||||||
| Meghalaya | All | Monthly | Up to Rs. 4,166 | Monthly | Nil | Monthly | 28th of every month |
| From Rs. 4,167 to Rs. 6,250 | Rs. 16.50 | ||||||
| From Rs. 6,251 to Rs. 8,333 | Rs. 25 | ||||||
| From Rs. 8,334 to Rs. 12,500 | Rs. 41.50 | ||||||
| From Rs. 12,501 to Rs. 16,666 | Rs. 62.50 | ||||||
| From Rs. 16,667 to Rs. 20,833 | Rs. 83.33 | ||||||
| From Rs. 20,834 to Rs. 25,000 | Rs. 104.16 | ||||||
| From Rs. 25,001 to Rs. 29,166 | Rs. 125 | ||||||
| From Rs. 29,167 to Rs. 33,333 | Rs. 150 | ||||||
| From Rs. 33,334 to Rs. 37,500 | Rs. 175 | ||||||
| From Rs. 37,501 to Rs. 41,666 | Rs. 200 | ||||||
| Rs. 41,667 and above | Rs. 208 | ||||||
| Mizoram | All | Monthly | Up to Rs. 5,000 | Monthly | Nil | Annual | 30th of Jun |
| From Rs. 5,001 to Rs. 8,000 | Rs. 75 | ||||||
| From Rs. 8,001 to Rs. 10,000 | Rs. 120 | ||||||
| From Rs. 10,001 to Rs. 12,000 | Rs.150 | ||||||
| From Rs. 12,001 to Rs. 15,000 | Rs.180 | ||||||
| From Rs. 15,001 to Rs. 20,000 | Rs.195 | ||||||
| From Rs. 20,001 or above | Rs. 208 | ||||||
| Nagaland | All | Monthly | Up to Rs. 4,000 | Monthly | Nil | Annual | 30th of April |
| From Rs. 4,001 to Rs. 5,000 | Rs. 35 | ||||||
| From Rs. 5,001 to Rs. 7,000 | Rs. 75 | ||||||
| From Rs. 7,001 to Rs. 9,000 | Rs.110 | ||||||
| From Rs. 9,001 to Rs. 12,000 | Rs.180 | ||||||
| From Rs. 12,001 or above | Rs. 208 | ||||||
| Odisha | All | Annual | Up to Rs. 160,000 | Monthly | Nil | Half-yearly | 30th of June 31st of December |
| From Rs. 160,001 to Rs. 300,000 | Rs. 125 | ||||||
| Rs. 300,001 or above | Rs. 200 & 300#6 | ||||||
| #6 For employees earning Rs. 3 lakhs and above per year, a professional tax of Rs. 200 will be deducted each month for the first 11 months, while Rs. 300 will be deducted in the final month of the financial year. | |||||||
| Puducherry | All | Half-yealy | Up to Rs. 99,999 | Half-yealy | Nil | Half-yearly | 31st of Jan, 31st of July |
| From Rs. 100,000 to Rs. 200,000 | Rs. 250 | ||||||
| From Rs. 200,001 to Rs. 300,000 | Rs. 500 | ||||||
| From Rs. 300,001 to Rs. 400,000 | Rs. 750 | ||||||
| From Rs. 400,001 to Rs. 500,000 | Rs. 1,000 | ||||||
| Rs. 500,001 and above | Rs. 1,250 | ||||||
| Punjab | All | Monthly | All such persons who are assessable under the Head Income from Salaries and/ or Wages as per the Income Tax Act, 1961. | Monthly | Rs. 200 | Monthly | Last day of every month |
| Rajasthan | Not Applicable | ||||||
| Sikkim | All | Monthly | Up to Rs. 20,000 | Monthly | Nil | Quaterly | 31st of Jul, 31st of Oct, 31st of Jan, 30th of Apr. |
| From Rs. 20,001 to Rs. 30,000 | Rs. 125 | ||||||
| From Rs. 30,001 to Rs. 40,000 | Rs. 150 | ||||||
| From Rs. 40,001 or above | Rs. 200 | ||||||
| Tamil Nadu | All | Half-yealy | Up to Rs. 21,000 | Half-yealy | Nil | Half-yearly | 30th of Sep, 31st of Mar. |
| From Rs. 21,001 to Rs. 30,000 | Rs. 180 | ||||||
| From Rs. 30,001 to Rs. 45,000 | Rs. 425 | ||||||
| From Rs. 45,001 to Rs. 60,000 | Rs. 930 | ||||||
| From Rs. 60,001 to Rs. 75,000 | Rs. 1,025 | ||||||
| Above Rs. 75,000 | Rs. 1,250 | ||||||
| Salary slabs & Tax rates given are for Chennai Corporation only. | |||||||
| Telangana | All | Monthly | Up to Rs. 15,000 | Monthly | Nil | Monthly | 10th of every month |
| From Rs. 15,001 to Rs. 20,000 | Rs. 150 | ||||||
| Above Rs. 20,000 | Rs. 200 | ||||||
| Tripura | All | Monthly | Up to Rs. 7,500 | Monthly | Nil | Monthly | Last day of every month |
| From Rs. 7,5001 to 15,000 | Rs. 150 | ||||||
| Above Rs. 15,001 | Rs. 208 | ||||||
| Uttar Pradesh | Not Applicable | ||||||
| Uttarakhand | Not Applicable | ||||||
| West Bengal | All | Monthly | Up to Rs. 10,000 | Monthly | Nil | Annual | 15th of May |
| From Rs. 10,001 to Rs. 15,000 | Rs. 110 | ||||||
| From Rs. 15,001 to Rs. 25,000 | Rs. 130 | ||||||
| From Rs. 25,001 to Rs. 40,000 | Rs. 150 | ||||||
| Above Rs. 40,001 | Rs. 200 | ||||||
Employers and individuals must check their respective state government portals for updated slab rates.
Ensuring compliance with professional tax regulations involves multiple steps. Below is a detailed step-by-step process for both employers and self-employed individuals:
Check whether professional tax applies based on business location and employee salary structure
Apply for a Professional Tax Registration Certificate (PTRC) through your state government’s tax portal.
Receive a unique professional tax registration number.
Ensure correct deductions as per slab rates.
Submit returns online or offline periodically as per your state’s regulations.
Pay the deducted tax before the due date to avoid penalties.
Check the state tax slab to assess tax liability.
Self-employed individuals must register separately.
Pay the tax through the state’s e-payment system.
Keep receipts and acknowledgment documents for audits
ABC Pvt Ltd, a Mumbai-based startup, failed to deduct and remit professional tax for over two years. As a result:
To register for professional tax, visit your state’s commercial tax department website. You will need to fill out the application form, upload the required documents, and submit it for approval. Once approved, you will receive a Professional Tax Registration Certificate (PTRC) or a Professional Tax Enrollment Certificate (PTEC) depending on your category.
Businesses must apply for a Professional Tax Registration Certificate (PTRC). The process involves:
Most states offer an online registration process. To register online:
Professional tax slab rates vary from state to state. Some states, like Delhi, do not impose professional tax. Refer to the State-Wise Professional Tax Rates section above for details on your state’s slab rates.
Each state’s professional tax department publishes the applicable tax rates and due dates on its official website. Employers and self-employed individuals should check their state’s tax portal regularly.
The penalties vary by state but commonly include:
Yes, professional tax is mandatory in states that levy it. Businesses must register and ensure they deduct the correct amount from employee salaries.
Yes, freelancers earning above the exemption threshold must register and pay professional tax annually as per state laws
Private limited companies must obtain PTRC and deduct professional tax from employees. The company itself may also be liable under PTEC if the directors receive remuneration.
Yes, partnership firms must register under PTEC, and individual partners may need to pay professional tax on their earnings.
Yes, startups must register for professional tax if they operate in a state that mandates it. Some states offer tax incentives or exemptions for new businesses for a certain period.
A Professional Tax Registration Certificate (PTRC) is issued to employers, allowing them to deduct professional tax from employees and remit it to the government.
Professional tax is governed under Article 276 of the Indian Constitution. Compliance is regulated by each state’s tax department, and businesses and individuals must follow state-specific rules.
IT companies must deduct professional tax from their employees and file periodic returns. The amount deducted depends on the respective state’s slab rates.
Yes, self-employed professionals, including chartered accountants, lawyers, and doctors, must register under PTEC and pay professional tax annually.
Service providers such as consultants, contractors, and agencies must register and comply with professional tax regulations in applicable states.
GST and professional tax are separate. Businesses must comply with both if they operate in states that levy professional tax.
You can check your professional tax registration number by logging into your state’s tax portal and accessing your registration details.
The required documents typically include:
Businesses and individuals in Maharashtra can register via the Mahagst.gov.in portal. The process involves submitting an application along with KYC documents and obtaining a PTRC/PTEC certificate.
Professional tax consultants in your city can assist with registration, compliance, and tax filing. You can find them through online directories or by contacting local tax advisory firms.
Professional tax consultants in your city can assist with registration, compliance, and tax filing. You can find them through online directories or by contacting local tax advisory firms.
Professional tax is a state-imposed tax, and its applicability varies across different states in India. Some states levy professional tax on salaried employees, self-employed individuals, and businesses, while others do not impose it. The following states have professional tax registration applicability:
Each of these states has different tax rates, slab structures, due dates, and filing procedures for professional tax. Individuals and businesses operating in these states must register, deduct, and remit professional tax as per their respective state’s regulations.
Certain states, including Delhi, Haryana, Uttar Pradesh, Rajasthan, Punjab, and Goa, do not levy professional tax. If you are working or running a business in one of these states, you are not required to register or pay professional tax.
For state-specific professional tax rates and compliance requirements, it is advisable to refer to the official website of the respective state’s tax department.
Professional tax compliance is crucial for businesses and individuals. Understanding tax slab rates, payment schedules, and compliance measures helps avoid penalties. Stay informed and ensure timely payment to maintain smooth financial operations.
Need assistance? Contact us today for expert professional tax guidance!
