profession tax in indian states

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SNAPS ON STATE WISE PROFESSION TAX

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06.09.2012

RE: STATE WISE INFORMATION ON PROFESSION TAX

Notes:

1. The note herein provided on the state wise profession tax is for discussion purpose. The same

has been prepared solely for the information and it shall not be used for any other purpose.

2. In case, if you require any explanation or elucidation in respect of any matter please feel free to

contact us.

We have produced here pointers on the regulations related to the Profession Tax (PT) in various

states of the India. Primarily we have covered the slabs, due dates of returns to be filed and payments

to be made to the respective department, across various states of the India.

A. STATES WHERE PROFESSION TAX IS APPLICABLE:

I. ANDHRA PRADESH:

1.1 Slabs:

No. Amount of Salary and Wages (Monthly) Tax to be Imposed (Monthly)

1. Up to Rs. 5,000 NIL

2. From Rs. 5,000 to 6,000 Rs. 60 Per Month

3. From Rs. 6,001 to Rs. 10,000 Rs. 80 Per Month

4. From Rs. 10,001 to Rs.15,000 Rs. 100 Per Month

5. From Rs.15,001 to Rs. 20,000 Rs. 150 Per Month

6. More than Rs. 20,000 Rs. 200 Per Month

1.2 Due Date for Payment of Tax: The payment of PT shall be made on or before 10th day of

month, for the tax deducted in preceding month.

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1.3 Due Date for Filing Return: The Companies shall file return stating the details of PT

deducted, on or before 10th day of month for the tax deducted in preceding month.

1.4 Form for Return: The return shall be filed in Form V.

1.5 Definition of Salary: According to Profession Tax Act, in Andhra Pradesh, Salary includes

pay, or wages, dearness allowances and all other remuneration received by any assessee on

regular basis, whether payable in cash or kind and also includes requisitions and profits in

lieu of salary as defined in section 17 of the Income-tax Act, 1961, but does not include

bonus in any form and on any account or gratuity;

1.6 Latest amendment in the state came on 17th August, 2011 stating due dates for payment of tax

and filing of returns.

II. ASSAM:

2.1 Slabs:





4. From Rs. 7,000 to Rs.8,999 Rs. 110 Per Month

5. From Rs. 9,000 and above Rs. 208 Per Month

2.2 Due date for Payment: The payment of tax shall be made on or before 30th September of

each year.

2.3 Due date for Filing of Return: Return shall be filed on or before the last day of the month in

respect of the tax deducted in the preceding month.

2.4 Form for Return: The return shall be filed in From III.

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2.5 Definition of Salary: According to Profession Tax Act in Assam, Salary includes pay,

dearness allowance and all other remunerations received by any person on regular basis,

whether payable in cash or in kind and also includes perquisites and profits in lieu of salary,

as defined in section 17 of the Income Tax Act, 1961

2.6 Returns can be filed quarterly, half yearly or annually also, subject to prior permission and

certain terms and conditions.

2.7 Latest Amendment was introduced vide notification number No.LGL.55/2005/30 dated

07.02.2009.

III. BIHAR:

3.1 Slabs:

No. Amount of Annual Salary and Wages Tax to be Imposed (Yearly)

1. Up to Rs. 2,99,999 NIL

2. From Rs. 3,00,000 to Rs. 5,00,000 Rs. 1000 Per Year

3. From Rs. 5,00,001 to Rs. 10,00,000 Rs. 2,000 Per Year

4. Rs. 10,00,001 and above Rs. 2,500 Per Year

3.2 Due date for Payment: Payment of the PT shall be made on or before 15th day of November

each year.

3.3 Due date for Filing of Return: Return shall be filed by the Company, on or before the last day

of the November each year

3.4 Form for Return: The return shall be filed in Form PT-VIII.

3.5 Definition of Salary: According to Profession Tax Act in Bihar, Salary includes pay or

wages, dearness allowance and all other remunerations received by any person on regular

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basis, whether payable in cash or in kind and also includes perquisites and profits in lieu of

salary as defined in Section 17 of the Income Tax Act, 1961.

3.6 Profession Tax in Bihar came in to effect vide Notification dated 27.05.2011.

IV. GUJRAT:

4.1 Slabs:


1. Up to Rs. 2,999.99 NIL

2. From Rs. 3,000to Rs. 5,999.99 Rs. 20 Per Month

3. From Rs. 6,000 to Rs. 8,999.99 Rs. 80 Per Month

4. From Rs. 9,000 to Rs. 11,999.99 Rs. 150 Per Month

5. From Rs. 12,000 and above Rs. 200 Per Month

4.2 Due date for Payment: Payment of the PT shall be made on or before 15th day of the month

for the tax deducted in the preceding month.

4.3 Due date for Filing of Return: Employer shall file return on or before 15th day of the month,


4.4 Form for Return: The return shall be filed in Form 5.

4.5 Definition of Salary: According to Profession Tax Act in Gujrat, Salary includes pay or


basis, whether payable in cash or kind, and also includes perquisites, and profits in lieu of

salary, as defined in section 17 of the Income-tax, Act, 1961, (43 of 1961) [but does not

include any form of bonus or gratuity]

4.6 Latest Amendment as to PT in Gujrat introduced vide Notification Number (GHN-11) PFT-

2008-S.3 (2) (4) TH, dated 01.04.2008.

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V. ARUNACHAL PRADESH:

5.1 Government has not notified any rules and regulations for Profession Tax but at the same

time some corporate are following rules and regulations as prescribed in Assam.

VI. KARNATAKA:

6.1 Slabs:


1. Up to 9,999 NIL

2. From 10,000 to Rs. 15,000 Rs. 150 Per Month


6.2 Due date for Payment: Payment should be made within 20 days of expiry of month for the tax

deducted in preceding month. The said payment should be made together with filing monthly

return in Form 5.

6.3 Due date for Filing of Return: Return shall be filed annually within 60 days of the expiry of

the year

6.4 Form for Return: Form 5A for Annual Return

6.5 Definition of Salary: According to Profession Tax Act in Karnataka, includes pay or wage,

dearness allowance and all other remunerations received or receivable by any person

including any amount received by way of arrears of salary or bonus by whatever name called

whether payable in cash or kind and also includes perquisites and profits in lieu of salary as

defined in section 17 of the Income Tax Act, 1961.

6.6 In Karnataka specified class of employers, as notified can take advantage of e-filing.

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6.7 Latest amendments introduced vide Notification Number PT.CR – 01/11-12, dated

15.04.2011.

VII. KERELA

7.1 Slabs:

No. Amount of Salary and Wages (Half Yearly) Tax to be Imposed (Half Yearly)

1. Up to Rs. 11,999 NIL

2. From Rs. 12,000 to Rs. 17,999 Rs. 120

3. From Rs. 18,000 to Rs. 29,999 Rs. 180

4. From Rs. 30,000 to Rs. 44,999 Rs. 300

5. From Rs. 50,000 to Rs. 59,999 Rs. 450

6. From Rs. 60,000 to Rs. 74,999 Rs. 600

7. From Rs. 75,000 to Rs. 99,999 Rs. 750

8. From Rs. 1,000,00 to Rs. 1,24,999 Rs. 1,000

9. More than Rs. 1,25,000 Rs. 1,250

7.2 Every employer in Kerala is required to pay PT of their employees and his establishment to

the Panchayat, Municipalities or Corporation. PT in Panchayat is governed by Kerala

Panchayat Raj (Professional Tax) Rules, 1996 and PT in municipality and corporation is

governed by Kerala Municipalities (Professional Tax) Rules, 2005.

7.3 Due date for Payment: For the first half of April to September the tax is to be paid on or

before 31st August and for the second half of October to March the tax payment should be

made on or before 28th February.

7.4 Government may insist for Revenue Recovery for imposed tax and expenses of. In case

revenue recovery is not possible.

7.5 Profession Tax is always payable in advance.

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VIII. MADHYA PRADESH:

8.1 Slabs:

No. Amount of Salary and Wages (Annually) Tax to be Imposed (Monthly)

1. Up to Rs. 1,50,000 NIL

2. From Rs. 1,50,001 to Rs. 1,79,999 Rs. 125 Per Month (Rs. 1,500

yearly)

3. Rs. 1,80,000 or more Rs. 208 for 11 months and Rs.

212 for 12th Month. ((Rs. 2,500

yearly)

8.2 Due Date for Payment: Payment of PT shall be made by treasury challan, within 10 (ten)

days of the end of the month for which the deduction has been made.

8.3 Due Date of Return: Return stating PT deducted and other prescribed details shall be filed

quarterly, on or before the fifteenth day of the month following the quarter.

8.4 Form for Return: Form 7

8.5 Definition of Salary: According to Profession Tax Act in Madhya Pradesh, Salary includes

pay, dearness allowance and all other remunerations including allowances received by any

person on a regular basis whether payable in cash or kind and also includes perquisites and

profits in lieu of salary as defined in Section 17 of the Income Tax Act, 1961 (No. 43 of

1961) but does not include bonus in any form and on any account, gratuity and pension].

8.6 Registers containing salaries/ wages paid and tax deducted, should be maintained by the

employer.

8.7 Latest Amendment as to the PT in Madhya Pradesh notified vide Notification Number 15 of

2012 dated 31.03.2012.

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IX. MAHARSHTRA:

9.1 Slabs:

No. Amount of Salary and Wages (Monthly) Tax to be Imposed



3. From Rs. 10,000 Rs. 200 Per Month and Rs. 300

for the month of February.

9.2 Due Date for Payment: Payment of PT shall be made in following manner.

a) In case of tax liability of less than Rs. 5,000 the payment shall be made annually, on or

before 31st March, of the year for tax deducted, in respect of the twelve months

comprising of the month of March of the immediately preceding year and the eleven

months from April to February of the year to which the return and payment relates.

b) In case when tax liability is more than Rs. 5,000 but less than Rs. 20,000, the payment

shall be made quarterly, on or before the last day of the quarter, for the PT deducted in

respect of the three months immediately preceding that last month of the quarter.

c) In case when tax liability is more than Rs. 20,000, the payment shall be made monthly, on

or before the last day of the month, for the PT deducted in respect of the month

immediately preceding the month.

Further it is to be noted that payment of the PT shall be made before uploading the e-return on the

website of Sales Tax Department.

9.3 Due Date of Return: PT return shall be filed as per due dates mentioned above in point 9.2. In

other words due dates of payment and due dates of return go hand in hand. Department

notified conditions vide Notification Number No.PFT – 1011/ CR11/ Taxation – 3, dated

31.01.2011 that payment of the PT shall be made before uploading the e-return.

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9.4 Form for Return: The return shall be filed in Form IIIB.

9.5 Definition of Salary: According to Profession Tax Act in Maharashtra, Salary includes pay or


basis, whether payable in cash or kind, and also includes perquisites and profits in lieu of

salary, as defined in section 17 of the Income-tax Act, 1961, but does not include bonus in

any form, and on any account or gratuity.

9.6 Latest amendment notified via Notification Number No.PFT – 1011/ CR11/ Taxation – 3,

dated 31.01.2011.

X. MANIPUR:

10.1 Slabs:

No. Amount of Salary and Wages (Yearly) Tax to be Imposed (yearly basis)

1. Up to Rs. 15,000 NIL

2. From Rs. 15,001 to Rs. 20,000 Rs. 300

3. From Rs. 20,001 to Rs.30,000 Rs. 450

4. From Rs. 30,001 to Rs. 40,000 Rs. 600

5. From Rs. 40,001 to Rs. 50,000 Rs. 750

6. From Rs. 50,001 to Rs. 60,000 Rs. 900

7. From Rs. 60,001 to Rs. 75,000 Rs. 1,100

8. From Rs. 75,001 to Rs. 1,00,000 Rs. 1,600

9. From Rs. 1,00,001 to Rs. Rs. 1,25,000 Rs. 2,200

10. More than Rs. 1,25,001 Rs. 2,500

10.2 Due Date for Payment: Payment shall be made within 20 days of the succeeding month for

the tax collected in preceding month and in case of annual payment within 20 days of the

year end.

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10.3 Due Date of Return: Return stating PT deducted and other prescribed details shall be filed

annually on or before 20th April.

10.4 Form for Return: Form I

10.5 Definition of Total Gross Income: It Means aggregate of income derived from salary or

wages earned by an employee in respect of his employment, but shall not include overtime

wages, pensions, local allowances, sumptuary allowances, medical allowances house rent

allowances conveyance, travelling or such other allowances of compensatory nature as may

be specified by the State Government by notification in the official Gazette.

XI. MEGALAYA:

11.1 Slabs:

No. Amount of Gross Total Income (Annually) Tax Imposed (Annually)

1. Up to Rs. 50,000 NIL

2. From Rs. 50,001to Rs. 75,000 Rs. 200

3. From Rs. 75,001 to Rs. 1,00,000 Rs. 300

4. From Rs. 1,00,001 to Rs. 1,50,000 Rs. 500

5. From Rs. 1,50,0001 to Rs. 2,00,000 Rs. 750

6. From Rs. 2,00,001 to Rs. 2,50,000 Rs. 1,000

7. From Rs. 2,50,001 to Rs. 3,00,000 Rs. 1,250

8. From Rs. 3,00,001 to Rs. 3,50,000 Rs. 1,500

9. From Rs. 3,50,001 to Rs. 4,00,000 Rs. 1,800

10. From Rs. 4,00,001 to Rs. 4,50,000 Rs. 2,100

11. From Rs. 4,50,001 to Rs. 5,00,000 Rs. 2,400

12. More than Rs. 5,00,001 Rs. 2,500

11.2 Meghalaya Government has prescribed above said slabs in April, 2012 only vide Notification

Number No. ERTS (T) 24/91/Pt/247, dated 17.04.2012.

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11.3 Apart from above slabs nothing has been prescribed by the government as on the date. Some

corporate follows due dates as prescribed in Assam for convenience.

XII. NAGALAND:

12.1 Slabs:


1. Up to 3,999 NIL





6. Rs. 12,000 and More Rs. 208 Per Month

12.2 Due date for Payment: The payment of the PT deducted shall be made, within one month

from the date of deduction.

12.3 Due date for Filing of Return: Return of the PT shall be filed annually on or before 31st

October of each year.

12.4 Definition of Salary: According to Profession Tax Act in Nagaland, Salary includes pay,


whether payable in cash or in kind, and also includes perquisites and profits in lieu of salary,

as defined in section 17 of the Income Tax Act, 1961

12.5 Latest amendment was notified vide Ordinance Number 1 of 2011, dated 23.o1.2012.

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XIII. ORISSA:

13.1 Slabs:

No. Amount of Salary and Wages (Annual) Tax to be Imposed (Monthly)

1. Up to 1,60,000 NIL

2. From Rs. 1,60,001 to Rs. 3,00,000 Rs. 125 Per Month

3. More than Rs. 3,00,000 Rs. 200 Per Month for 11 months

and Rs. 300 for last month.

13.2 Due Date for Payment of Tax: The payment of PT shall be made by the last day of the month


13.3 Due Date of Return: Return shall be filed monthly by the last day of the month for the tax

deducted in the preceding month.

13.4 Form for Return: The return shall be filed in Form V.

13.5 Definition of Salary: According to Profession Tax Act in Orissa, Salary includes pay or


basis, whether payable in cash or in kind, and also includes perquisites and profits in lieu of

salary as defined in section 17 of the Income Tax Act, 1961.

13.6 Return for PT can also be filed quarterly/ yearly, subject to permission of the commissioner

and with compliance of other terms and conditions.

13.7 Latest amendment notified vide Notification Number S.R.O No. 318/ 2010, dated

21.07.2010.

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XIV. SIKKIM:

14.1 Slabs:


1. Up to 20,000 NIL



4. Rs. 40,001 or More Rs. 200 Per Month

14.2 Due Date for Payment of Tax: Payment of PT shall be made within 15 days from the end of

the month, for the tax deducted in the preceding month.

14.3 Due Date of Return: Return shall be filed quarterly or before the end of the month following

the end of the quarter.


14.5 Definition of Salary: According to Profession Tax Act in Sikkim, Salary includes pay,


whether payable in cash or in kind, and also includes perquisites, and profits in lieu of salary

but does not include any form of bonus of gratuity.

14.6 Registers containing salaries/ wages paid and tax deducted, to be maintained by the

employer. Recent Amendment notified vide Notification No. 107/CT/2009, dated

15.07.2009.

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XV. TAMILNADU:

15.1 Slabs:

No. Amount of Salary and Wages (Six Monthly) Tax Imposed (Six Monthly)

1. Up to 21,000 NIL





6. More than Rs. 75,000 Rs. 1,095 Per Month

15.2 Due Date for Payment of Tax: PT shall be paid on 15th of September and 15th of March every

year.

15.3 Due Date of Return: The return shall be filed on 15th of September and 15th of March every

year.


15.5 Definition of Salary: According to Profession Tax Act in Tamilnadu, Salary includes pay or

wage, dearness allowance and all other remuneration received by any person on regular basis,

whether payable in cash or in kind, and also includes perquisites and profits in lieu of salary

as defined in section 17 of the Income Tax Act, 1961 but does not include bonus in any form

or gratuity.

XVI. TRIPURA:

16.1 Slabs:


1. Up to 5,000 NIL

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4. From Rs. 9,001 to Rs. Rs. 12,000 Rs. 120 Per Month




16.2 Due Date for Payment of Tax: Payment of PT shall be made by 30th September for each

financial year by enrolled person, subject to other terms.

16.3 Definition of Salary: According to Profession Tax Act in Tripura, Salary includes pay,


whether payable in cash or in kind, and also includes perquisites and profits in lieu of salary ,

as defined in section 17 of the Income-tax Act, 1961 (43 of 1961)

16.4 Latest amendment notified vide Notification Number F.II-I(7)-TAX/99 (PART), dated

09.10.2009.

XVII. WEST BENGAL:

17.1 Slabs:


1. Up to 5,000 NIL









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17.2 Due Date for Payment of Tax: For first two months of each quarter, payment of PT should be

made within 21 days of the following month for the each month. For third month payment

should be made before filing the quarterly return.

17.3 Due Date of Return: Return shall be filed quarterly, within one month of expiry of each

quarter.

17.4 Form for Return: Form III

17.5 Definition of Salary: According to Profession Tax Act in West Bengal, Salary includes pay,


whether payable in cash or in kind, and also includes perquisites, and profits in lieu of salary,

as defined in section 17 of the Income tax Act, 1961 (43 of 1961).

17.8 Latest changes introduced vide Notification Number 938-F.T. dated 21.06.2010.

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B. STATES WHERE PROFESSION TAX IS NOT APPLICABLE:

I. Chhattisgarh: PT has been Abolished vide Notification Number F-10/ 22/ 2011/ CT/ V (22),

dated 31.03.2011.

II. Goa

III. Haryana

IV. Himachal Pradesh

V. Jammu & Kashmir

VI. Jharkhand

VII. Mizoram

VIII. Punjab

IX. Rajasthan

X. Uttaranchal

XI. Uttarpradesh

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