Jay 23 July 2016

Professional tax

Dear Sirs,

Is it mandatory that Professional Tax is to be paid separately as per PT Slabs of each individual branch situated in different states, or whether it can be paid Centrally for Pan India employees as per applicability at HO Location.

In case if it can be complied centrally then kindly share its relevant Circular / Notification.

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5 Replies

Kumar Doab (FIN) 23 July 2016

It is not Central Subject.

It is state subject.

As suggested in other thread:

https://www.lawyersclubindia.com/forum/Paid-leave-rules-140062.asp

Your establishment may engage an able Labor Law consultant to offer you solution.

Such issues will keep on cropping up as notifications shall keep on arriving.

The able counsel shall keep track and advise.

Kumar Soni 02 August 2016

Dear Sir,
I am getting Rs. 52500/-per months remuneration (no HRA, nothing) with total of Rs. 630000/annually. But my employer is reducing tax also. i am paying 4000/-per months (mentioned in agreement) and water (500), electricity (1000) and maintenance charge (500), a total of 1500 (not mentioned in agreement). If i want to apply for 80GG in 2016-17 can i apply. according to the rent calculation i am paying 48000/year only

1. i can claim for 60000/-
2. Rs. 4000 x 12 = Rs.48000- 10% of total salary is Rs. 63000/- (how can i apply, it is coming negative value)
3. 25% of salary Rs.157500/-

so which one will be lowest. please suggest me.

Thanking you Sir.

Ms.Usha Kapoor (CEO) 29 September 2016

Dear Client,

An overview on Professional Tax An overview on Professional Tax

Apr212015

An overview on Professional Tax

Meaning of professional tax:

Professional Tax is the tax charged by the state governments in India.

Any one earning an income from salary or any one practicing a profession such as chartered accountant, lawyer, doctor etc. are required to pay this professional tax. Different states have different rate and method of collection. Following states impose this levy in India – Karnataka, West Bengal, Andhra Pradesh, Telangana, Maharashtra, Tamil Nadu, Gujarat, Assam, Chhattisgarh, Kerala, Meghalaya, Orissa, Tripura and Madhya Pradesh etc. Business owners, working individuals, merchants and people carrying out various occupations comes under the purview of this tax.

Professional tax is levied by particular Municipal Corporations. The maximum amount payable per year is Rs.2,500/- and in line with your salary, there are predetermined slabs every state acts.

Applicability of Professional Tax as per the Constitution of India:

Article 276 of the Constitution of India lays down that “there shall be levied and collected a tax on professions, trades, callings and employments, in accordance with the provisions of this Act.”

As the different states have its own act for its applicability, levy, collection and assessment hence it is imperative to provide you a list of states where professional tax is applicable and acts passed in those states to ritualized its collection.

Here a list of states with enactments passed for effective implementation of professional tax administration is provided for your ready reference.For more information on professional tax slab, please refer to our other blog on the topic.If you appreciate thi sanswer please click the thank you button othi s forum.

Ms.Usha Kapoor (CEO) 29 September 2016

Rs. 48,000 is the lowest of ,all. Hence you can claim 48000 rupees as your claim for house rent.If you appreciate this answer please click the thank you button on this forum.