Professional Tax
SOWRIRAJAN A
(Querist) 14 September 2010
This query is : Resolved
Are the Govt. servants be termed as Professionals. Whether the salaries of the employees of Department of Posts is paid from the revenue of the Central Government. Mere employment in either State or Central Govt. does not means that their salaries to be levied uder Professional Tax. Only employees of Govt. run professional undertakings like BSNL, LIC, GAIL, SAIL, ONGC etc. to be covered under Professional Tax. Because their income is derived from the professional run by the Govt. Secondly, charging the employee under a Professional is not acceptable. Only the employor who run such profession to be charged under professional Tax. Govt. employees cannot escape from taxation, doesn't means that they will be subjected to all kinds of taxation.
sowrirajan1@gmail.com
s.subramanian
(Expert) 14 September 2010
You are right. You cannot be termed as professionals. If you are subjected to professional tax,then you can challenge it by filing a writ before the High Court.
Parthasarathi Loganathan
(Expert) 14 September 2010
In that case, if you fill up any application or format what do you make a mention against the column Profession. Generally, it is mentioned as Government Service. In that case, we can argue that Govt Service itself is a profession subject to Professional Tax.
mahendrakumar
(Expert) 14 September 2010
here the word professional is used in a larger manner,than general meaning where only doctors,lawyers,cas etc are only considered as professionals.
If this meaning is adopted,then even the employees of lic/gic/ongc etc cannot be considered as professionals.
R.Ramachandran
(Expert) 15 September 2010
To augment their funds, many of the Municipalities do levy professional tax. This tax is payable normally by those who are earning their livelihood by undertaking some profession. Here the term "profession" does not relate only to professionals like Advocates, Doctors, Chartered Accountants etc. In many Professional Tax Acts, the term "professional" refers to any employment or avocation within the municipal limits. Once some one is earning within the Municipal limits, then all such persons will get covered whether working under the State/Central Government, in public sector undertakings, banks etc. One has to really go into the relevant Taxing Act to know who are all covered and who are all left out.
