Professional Tax Certificate Fee (P-Tax) – Except Govt. fee.

Professional Tax Fee – Description

Professional Tax (PT) is a state-imposed tax levied on individuals and entities engaged in professions, trades, and employment. It is deducted from an individual’s salary or paid directly by self-employed professionals and businesses. The tax is regulated by the respective state or municipal authority and varies by location.

Who Pays Professional Tax?

• Salaried Individuals – Employers deduct PT from employees’ salaries and remit it to the government.

• Self-Employed Professionals – Individuals like doctors, lawyers, consultants, freelancers, and business owners pay PT directly.

• Business Entities – Companies and firms may also be liable for professional tax.

Professional Tax Fee Structure

• The fee is usually slab-based, meaning the amount varies depending on income or turnover.

• Some states impose a monthly, quarterly, or annual PT fee.

• The maximum PT charged per individual is typically capped at ₹2,500 per year in India.

Professional Tax Registration & Payment

1. Employers – Must register with the state’s professional tax department and deduct PT from employees’ salaries.

2. Self-Employed Professionals – Need to register and pay PT as per state regulations.

3. Due Dates – PT is usually paid on a monthly, quarterly, or annual basis, depending on the state’s rules.

4. Penalties for Non-Payment – Failure to pay PT on time may result in fines, interest, or legal action.