Who is eligible for professional tax in Tamil Nadu?
Professional Tax applies to businesses including freelancers, professionals such as doctors, CA and CS and employees in organisations. This tax is imposed within the first 30 days of starting a business or profession. If a business has multiple locations, the professional tax must be registered for each location.
Who is exempt professional tax in Tamil Nadu?
The following is a short list of individuals who are exempted from the profession tax in Tamil Nadu: Anyone who is above 65 years of age. Guardians or parents of children with mental disability. Women agents involved exclusively under the Director of Small Savings or Mahila Pradhan Kshetriya Bachat Yojana.
Who is responsible for professional tax in Tamil Nadu?
7) Where any company, corporate body, society, firm, body of persons or association, pays the tax under this chapter, any director, partner or member as the case may be, of such company, corporate body, society , firm, body of persons or association shall not be liable to pay tax under this Chapter for the income …
On what basis professional tax is calculated?
A professional tax is calculated on the basis of your salary and predetermined slabs. You can have to pay anything between ₹ 200 to ₹ 2500 a month.
How many times professional tax is deducted from salary?
How it is paid is by dividing the annual professional tax due into 12 equal installments that are paid every month, except the one paid in February which is higher than the other months. There may also be situations where sources of income falling under different sectors will also be liable for a separate tax.
Can professional tax be refunded?
Therefore once professional tax is paid, there can be no refund. There is generally no refund mechanism under professional tax. However, if the payment is made inadvertently then the professional tax act of the particular state shall mention the way to get it.
Who can get exemption from profession tax?
The following individuals are exempted to pay Professional Tax: Parents of children with permanent disability or mental disability. Members of the forces as defined in the Army Act, 1950, the Air Force Act, 1950 and the Navy Act, 1957 including members of auxiliary forces or reservists, serving in the state.
Is professional tax applicable in Tamilnadu?
Tamil Nadu is one of the states in India which collects professional tax from the working individuals in the state. The tax is also applicable for professionals like chartered accountants, lawyers, doctors, etc.
Is professional tax part of CTC?
Professional Tax is a statutory and mandatory deduction which is made from employee’s monthly salary. Professional \tax is deducted from the stipend of the trainee also. Hence you cannot claim it as a part of your CTC but yes, it is mandatory deducted by the company.
Can I save professional tax?
Once you have a professional tax registration number, you can use it to pay your professional tax now and in the future. Some states offer a rebate if you pay to advance professional tax based on future income in a lump sum.
How is PT salary calculated?
For example, if you are a working professional in Gujarat earning Rs. 20,000 a month, your monthly professional tax will amount to Rs. 200, and your annual professional tax will be Rs. 2,400.
Which month professional tax will be deducted in Tamil Nadu?
Profession Tax shall be collected from the salary of August and January. The slab rate differs for some corporations and panchayats across Tamil Nadu.