BUSINESS REGISTRATION

Register your business to minimize liability, maximize profits, explore the new dimensions of business 

Professional Tax License

Professional Tax License

  • Overview
  • Documents Required
  • Process
Professional tax is levied by Municipal Corporations of particular state and the majority of the Indian states impose this duty. The professional tax is a source of revenue for the State Government which helps them in implementing schemes for the welfare and development of the region. It is also payable by members of staff employed in private companies. It is mandatory to pay professional tax. The rate of professional tax charged is based on the Income Slabs set by the respective State Governments. The tax amount of professional tax paid during the year is allowed as Deduction under the Income Tax Act.

Professional Tax is the tax levied by the various State Governments of India on salaried individuals working in government or non-government entities, or in the practice of any profession, such as CAs, Lawyers, Doctors, etc. or carry out some form of business, are required to pay this professional tax.

Professional tax is imposed at the state level in India. Different states have different rates and methods of collection. It is not imposed in all states. The states which impose professional tax are Andhra Pradesh, Assam, Chhattisgarh, Gujarat, Karnataka, Kerala, Maharashtra, Madhya Pradesh, Meghalaya, Odisha, Sikkim, Tamil Nadu, Telangana, Tripura, and West Bengal. Professional Tax is deducted from the salary of the salaried employees by the employers and the same is deposited with the State Government.

Frequently Asked Questions

Professional tax is a state level tax which is imposed on income earned by way of profession, trade, calling or employment. The tax is based on slabs depending upon income of individual who may be self employed or working as employee of an entity. At present the maximum tax that can be imposed is restricted to is Rs. 2500/-.

Every employer in specific states is required to deduct taxes from salary when paid to one or more employees when payment made exceeds Rs 5000(this limit is for Maharashtra) and deposit with state government. That entity is required to obtain registration certificate. When person is employed in profession by two or more employers and is getting salary/wages exceeding Rs. 5000 but employer is not deducting professional tax then the individual needs to get enrolment certificate from authority.

Professional tax is imposed only in following States: Karnataka, Bihar, West Bengal, Andhra Pradesh, Telangana, Maharashtra, Tamilnadu, Gujarat, Assam, Kerala, Meghalaya, Odisha, Tripura, Madhya Pradesh, and Sikkim.

    • In case of individuals who are self employed the tax has to be paid by the individual himself
    • In case of employed individuals, the liability is on the employer

The plan price covers all professional fees and convenience charge. Since Professional tax is state level tax the applicable govt. charges vary from state to state.

Government charges will be charged on actual basis..

Every state has its own governing provisions and exemption criteria. For example Karnataka PT act, has given exemption to certain persons from payment of PT. All charitable and philanthropic hospitals or nursing homes situated in places below the Taluk level in all districts of the State except Bangalore and Bangalore Rural District. Directors of Companies registered in Karnataka and nominated by the financing agencies owned or controlled by the State Government or by other statutory bodies. Foreign technicians employed in the State provided their appointments are approved by the Government of India for the purpose of exemption from payment of income tax for the said period ( exemption is for a period of 2 years from the date of their joining duty). Combatant and civilian non combatant members of the Armed Forces who are governed by the Army Act, the Navy Act and the Air Force Act. Salaried or wage earning blind persons. Salaried or wage earning deaf and dumb persons. Holders of permits of single taxi or single three wheeler goods vehicle. Institutes teaching Kannada or English Shorthand or Typewriting. A Physically handicapped person not less than 40% of permanent disability (subject to production of certificate from the HOD of Government Civil Hospital). An ex-serviceman not falling under Sl No.1 of the Schedule. A person having single child and who has undergone sterilization operation, subject to production of a certificate from the District Surgeon, Government Civil Hospital, for having undergone such operation. Central Para Military Force (CPMF) Personnel. Persons running educational institutions in respect of their branches teaching classes up to twelfth standard or pre-University Education. No tax is payable by persons who have attained age of sixty five years. Also no tax is payable for holding any Profession for less than 120 days in the year. Our experts will guide on on applicability of the provisions.

The service is state specific in case you need a shop license and will be rendered only in specific cities being Mumbai, Gurgaon, Hyderabad, Kolkata, Jaipur, Surat, Bangalore, Chandigarh, Pune and Delhi.

Documents To Be Submitted

  1. Address proof of establishment
  2. Address proof of partners, proprietor or directors as applicable
  3. PAN of partners, proprietors, and directors as applicable
  4. Photo of partners, proprietors, and directors as applicable
  5. Salary details of employees
  6. Financial statements of the establishment
  7. Certificate of incorporation and address proof in case of a company

Lets see the process

Form fillup

Talk to Expert

Purchase plan

Upload documents

Task Completion

Professional Tax License

5,500.00

Professional Tax License in just same day.

Never let the businessman see down by giving your business a shining name with Professional Tax License registration. It is extremely easy to start and run!

Why choose Company registration in INDIA ?

  • Shields from personal liability and protects from other risks and losses.

  • A registered company makes it genuine and increases the authenticity of your business.

  • Procures bank credits and good investment from reliable investors with ease.

  • Offers liability protection to protect your company’s assets

  • Greater capital contribution leading to greater stability of business

  • Increases the potential to grow big and expand the business