Overview of Professional Tax Return Filing

Professional Tax Return Filing is a mandatory requirement for individuals and businesses liable to pay Professional Tax. This tax, levied by state governments, applies to salaried individuals, professionals, and those engaged in any trade or employment. A Professional Tax Return is a crucial document submitted to the state government detailing the tax paid by the individual or business.

At BizMantra, we understand that filing Professional Tax Returns can be complex and time-consuming. Our team of experts is dedicated to assisting clients in fulfilling their tax obligations efficiently. We ensure that the entire process of PT return filing is completed promptly and hassle-free. From document collection to tax return submission and payment, we provide end-to-end assistance for PT annual returns. Contact us today to avail of our Professional Tax Return Filing services and ensure compliance with state regulations.

What is a Professional Tax Return?

A Professional Tax Return is a document that must be filed by individuals or businesses liable to pay Professional Tax. It contains details of the income earned and the tax paid during the financial year. Filing this return is mandatory for compliance with applicable state laws.

Applicability of Professional Tax Return Filing

Filing PT returns is obligatory for all individuals and businesses required to pay Professional Tax according to state regulations. The tax liability and filing frequency may vary based on the state:

 

For Salaried Employees: Employers deduct Professional Tax from salaries and file the return.

 

Holistic Healthcare Ecosystem: Beyond financial contributions, the Employee State Insurance Corporation is committed to healthcare for employees and their dependents. This is facilitated through a vast network of hospitals, dispensaries, and diagnostic centers nationwide, providing primary, secondary, and tertiary medical services along with preventive health measures.

 

For Self-Employed Individuals: They must pay and file the return themselves.

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Applicable States for Professional Tax Across India

Professional Tax is a state-level tax applicable in several states across India. Below is a list of states where Professional Tax is enforced:

Taxpayers in these states must file their Professional Tax returns within the specified deadlines to avoid penalties.

1.Andhra Pradesh 2.Assam 3.Bihar 4.Chhattisgarh 5.Gujarat 6.Karnataka 7.Kerala
8.Madhya Pradesh 9.Maharashtra 10.Manipurr 11.Meghalaya 12.Mizoram 13.Nagaland 14.Odisha
15.Punjab 16.Rajasthan 17.Tamil Nadu 18.Telangana 19.Tripura 20.Uttar Pradesh 21.West Bengal

Professional Tax Slab Rates

The slab rates for Professional Tax vary from state to state. Generally, they are categorized based on the taxpayer's income:

Professional tax rate slabs in Maharashtra

Monthly salary/wage up to Rs 7,500 (men) Nil Monthly salary/wage between Rs 7,501 – Rs 10,000 (men) Rs 175 Monthly salary/wage > Rs 10,000(men) Rs 200 (Rs 300 for the month of February) Monthly salary/wage up to Rs 25,000 (women) Nil Monthly salary/wage above Rs 25,000 (women) Rs 200 (Rs 300 for the month of February)

Taxpayers must comply with the regulations applicable in their respective states when filing PT returns.

Who Needs to File Professional Tax Returns?

The responsibility for filing Professional Tax returns differs based on the type of taxpayer:

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Salaried Individuals: Employers deduct and file the returns on their behalf.

 

Self-Employed Individuals: They must manage their own payments and filings.

 

Employers' Obligations: In some states, employers may also need to file returns for self-employed individuals working under them.

PTRC Return Filing: Employer Obligations

As per regulations, business owners must deduct Professional Tax from employees' salaries and remit it to the relevant government department. Employers must file a Professional Tax Return in the prescribed format within the stipulated time frame, providing proof of tax payment. Failure to include this proof will render the filing incomplete and may lead to appropriate actions by authorities.

Exemptions from Filing Professional Tax Returns

Certain individuals are exempt from filing Professional Tax Returns under specific conditions:

 

Individuals with tax liabilities below the prescribed limit.

 

Parents of children with mental or permanent disabilities.

 

Individuals with permanent physical disabilities (including blindness).

 

Members of the armed forces as defined in the Army, Air Force, and Navy Acts.

 

Badli workers in the textile industry.

 

Individuals above 65 years of age.