Defining Professional Tax
The state-based tax that is levied on each individual, who earns an income through any trade or profession is said to be a ‘professional tax’. Being a state-imposed one, this tax varies in norms across Indian states. A few regions might not even impose this tax form. However, in the states imposed, professional tax registration is a mandatory procedure and you are liable as per the calculations based on the specified salary slabs.
3 Key Features of Professional Tax Filing
The given below pointers are the three essential features that you must know about professional tax registration in India:
- State by state filling – Every Indian state requires you to file the PT when employing new professionals in that particular region. Note that the state deduction percentages will vary across regions.
- The Frequency for filing Returns – The duration or frequency that you must get your returns filed depends on which state you operate primarily.
- Penalties Apply – Fines and penalties for delays or failure of tax payment will vary as per the regulations of your state.
Steps on Professional Tax Registration
You have 3 simple procedure to follow for furnishing your professional tax registration in Bangalore promptly with our expertise:
Information Document Collection:
To prepare your application, our team will first request your vital business documents and other proofs for the validation of your income.
Prepare online Application for submission:
Your online application is prepared and submitted with the Commercial Tax Department, which acts as the issuing authority. Our experienced income tax consultants in Bangalore will ensure that this step is seamlessly quick and convenient from your side.
Registration Approval:
Within the 7 working days itself, the ‘Registration Certificate’ will be ready for the employees and the ‘Enrolment Certificate’ for the chief employer.
Documents Needed for Professional Tax Registration
Irrespective of whether you want to complete the professional tax registration Bangalore, Maharashtra, Kerala, Odisha, Madhya Pradesh, or any, the following documents are obligatory for verification purposes:
General Documents:
- PAN card copy of all directors/partners/proprietor
- Rental agreement and electricity bill
- Aadhar card copy and Aadhar linked mobile number of directors/partners/proprietors
- Bank statement or canceled cheque
- Employees salary details
- Balance sheet of Pvt Ltd / LLP / partnership firm / proprietor
Additional Documents Required:
For Private Limited Company
- MOA & AOA
- Certificate of incorporation
- Company PAN
For LLP
- LLP agreement
- Certificate of incorporation
- LLP PAN
For Partnership Firm
- Partnership registration certificate
- Partnership deed
- Firm pan
Why BSJ & Associates for Your Professional Tax Registration?
From experienced CAs to highly-qualified income tax specialists, our experts cater to deliver solutions on PT registration in Bangalore for numerous industries and professions. The dynamic nature of income tax and dedications can make it difficult for you to stay updated; for that, we have specialized teams, who are not only adept in grasping the changing tax standards but also offer you the solutions based on the same. Hence, rest assured that your professional tax regimes are precisely and legally paid safe!
FAQs
Is it mandatory to pay the professional tax?
Yes, it is mandatory for you to pay the professional tax based on your income slab rates. Failing to which can lead to severe fines and penalties by the state authorities.
How is the professional tax calculated?
The professional tax will be calculated based on a state salary slab criterion. The maximum professional tax that can be levied on an individual is INR 2500 per year.
How is the professional tax deducted from the salary?
The professional tax will be deducted from your salary prior to estimating the income tax value. This can be noted at the top of your payslip. The deducted amount will be paid promptly to the state government.