Frequently asked question on Profession Tax (PT) in Maharashtra
1. Who is liable to pay Profession Tax?
Every person engaged actively or otherwise in any profession, trade, callings or employment and falling under one or the other of the classes mentioned in the second column of Schedule I appended to Profession Tax Act, is liable to pay Profession Tax.
2. What are the categories of persons liable for Profession Tax?
Ans. The categories of persons liable for Profession Tax are any individual, a Hindu Undivided Family, firm, company, corporation or other corporate body, any society, club or association.
3. What is registration certificate for profession tax and what is enrolment Certificate?
Ans. Every employer, other than Government officer, who is liable to deduct and pay Profession Tax on behalf his employees, is given a registration certificate. Every person liable to pay profession tax, other than a person whose profession tax is payable and paid by his employer, is given a enrolment certificate i.e. enrolment certificate is issued to an individual person, company, society etc as the case may be only while registration certificate may be issued to any of categories of persons described at serial no.2.
4. Who can apply for registration certificate?
Ans. Any of the categories of person described at Sr. No. 2, who is paying salary or wages to one or more employee, wherein this salary or wages paid to anyone or more employees exceeds Rs. 5000/- per month, is liable for registration under Profession Tax Act. Such a person can only apply for registration certificate.
5. Who can apply for enrolment certificate?
Ans. Every person who is liable to pay profession tax other than a person whose profession tax is payable and paid by his employer is liable for enrolment, which means a person engaged in a profession described at column no. 2 of the Schedule I at Sr. No. 2 and onwards has to apply for enrolment. Similarly an Indian citizen in the employment of any diplomat or consular office or trade commissioner of any foreign country situated in any part of the Maharashtra State, if liable to pay tax, has to apply for enrolment. Also an employee earning total salary or wages exceeding Rs. 5000/- from two or more employers who do not deduct and pay Profession Tax on his behalf, has to obtain enrolment certificate.
6. Where to apply for registration/enrolment?
Ans. The application for registration or enrolment is to be made to the concerned registration authority for Profession Tax, at Vikrikar Bhavan, Mazgaon by the applicants based in Mumbai or at the nearest Sales Tax office of the district, by the persons who are based out side Mumbai.
7. If the dealer is registered under MVAT Act, then is it necessary to be registered under Profession Tax Act?
Ans. Yes , it is necessary for a Registered dealer under MVAT Act to obtain registration under Profession Tax Act ,if he has employed one or more persons who are drawing salary in excess of Rs. 5000/- per month.
8 Can those employing wage earners get a registration certificate?
Ans. Yes, they can get Registration Certificate if they are employing wage earners on regular basis, as only persons earning wages on casual basis are not liable to pay profession tax.
9 What is the time limit for obtaining Registration Certificate as an employer?
Ans. An employer, who wishes to obtain Registration Certificate, has to apply for the same within thirty days of his becoming liable to pay tax.
10. What is the penalty for furnishing wrong information’s?
Ans. The penalty prescribed as per section 5(6) for giving false information in application for Registration Certificate or Enrolment Certificate is equal to three times the tax payable under the Profession Tax Act.
11. Where and how much Profession Tax is to be paid?
Ans. The Profession Tax can be paid according to Schedule I appended to the act at any of the places defined as ‘treasury’ in rule 2(7).
12. What is the rate of interest for late payment?
Ans. The rate of interest is one and quarter percent per month of the amount of such belatedly paid tax.
13. Are self employed persons eligible to get enrolment certificate?
Ans. The self employed persons who are covered by any one of the entries mentioned at Sr. No. 2 and onwards in the schedule I appended to the Profession Tax Act, are eligible to get enrolment certificate.
14 Are medical practitioners, commission agents and partners of firms eligible for enrolment certificate?
Ans. Yes, they are eligible as follows:-
| Class | Entry |
| Medical Practitioners | 2(b). |
| Commission Agents | 2(e). |
| Partners of firms | 19. |
15 Is there any facility of making lump sum payment of Profession Tax?
Ans. Yes, there is a facility of making lump sum payments for Enrolment Certificate holder who is liable to pay tax at the rate of Rupees 2500 per annum.
16. What are the advantages of making lump sum payment of tax?
Ans. The Enrolment Certificate holder can discharge his liability for the next five years by making payment in advance of a lump sum amount equal to four times of such rate of tax on or before 30th June, so advantage in paying lump sum is that of, saving of one year’s liability.
17. What type of incentives will be available after making such lump sum payment?
Ans. The incentive is that any increase in tax liability in future during those five years shall not vary the tax liability i.e. Such a Enrolment Certificate holder will not have to pay any additional amount on account of increase in rate of tax during those five years.
18. Who is assessed under Profession Tax Act?
Ans. An employer liable to pay Profession Tax is assessed under Profession Tax Act.
19. What are the rates of tax under Profession Tax Act?
Ans. The rates of tax under the Profession Tax are given in the schedule I appended to the Act, which may kindly be referred.
20. On what basis Profession Tax shall be calculated?
Ans. Profession Tax shall be calculated at the rate mentioned in Schedule I at Sr. No. 1, on the basis of salary or wages earned per month by the employees and for others it shall be calculated at the rate mentioned in front of their corresponding entry in Schedule I.
21. If there is no previous year in the profession then what will be the rate of Profession Tax?
Ans. Only for the purpose of Entry 8 pertaining to dealers registered under MVAT Act or only under CST Act, if there is no previous year for such dealer, the rate of the tax shall be Rs.2000.
For persons covered by other entries there is no concession available once the person becomes liable to pay tax except persons covered by entry no.2 and entry no.4, who are not liable to pay tax during first year of standing in profession.
22 Who can get exemption from Profession Tax?
Ans. Exemptions from paying profession tax is granted to:-
1. Members of defense as defined in Army Act 1950,Airforce Act 1950,Navy Act 1950 reserve and auxiliary services drawing pay and allowances under the budgetary allocations of Defense Services excluding persons drawing pay and allowances from the establishments of Defense Ordinance Factories situated in any part of the Maharashtra State,
2. the badli workers in the textile industry,
3. any person suffering from permanent physical disability as specified in rule 32(1),
4. Women exclusively engaged as agents under Mahila Pradhan Kshetriya Bachat Yojana of Directorate of Small Savings,
5. Parents or Guardian of any person suffering from mental retardation specified in rule 32(2),
6. Person who has completed the age of sixty five years,
7. Parents or guardians of a child suffering from a physical disability as specified in rule 32(1).
23. Whether it is necessary to submit medical certificate for exemption from Profession Tax?
Ans. If the exemption is claimed on account of self physical disability OR physical or mental disability of a ward, it is necessary to submit medical certificate issued by a doctor working in the Government Hospital.
24 Can parents/Guardians of physically handicapped children get exemption from Profession Tax?
Ans. Yes, parents/ guardians of physically handicapped child can get exemption provided that the physical disability is as specified in rule 32(1).
25 Who is appellate authority under Profession Tax Act?
Ans. For first appeal against any order passed by Profession Tax Officer, in Mumbai, the appellate authority is Deputy Commissioner of appeal (P-2), Mazgaon, while for areas outside Mumbai the respective Deputy Commissioner of appeal in that area is the first appellate authority. Against the order passed by Deputy Commissioner of appeal the next appeal is to filed with the concerned Joint Commissioner of appeal of that area.
The appeal against the order passed by any officer not below the rank of Joint Commissioner is to be filed with Maharashtra Sales Tax Tribunal, Mumbai.
I have received a notice for non payment of professional tax of Rs. 2500/-
Since I have received a notice, I am worried. Am I going to be liable to penalty to penalty o interest. Although nothing as such is mentioned in the notice..
is professional tax liability will trigger if employee is working from home for a company in mumbai and getting salary from head office of that company which is situated in other state?
I want to change my Professional Tax Certificate Address from chembur to Belapur, what is the procedure
pt assessed for my institution is on 10 times of actual strength. as per existing law appeal can only be considered after paying 25% of pt assessed. now the accounts have also been seized. is there any notification regarding stay on such hypothetical calculation and order done by profession tax officer
my co. pvt ltd not paid PT and not return file monthly but deducted from employee for year 2011-12 and 2012 upto dec 2012
what are the interest we have to pay under KST ACT.
kindly reply
What is the limit for registration of profession tax number.?
I mean how many employees an employer must have in order to register for PTR ?
kuch samajh mein nahi aaya
if employee working in two branches of org collect salary from two branches how much professional deducted 2500 or 5000 per year
my firm is situated in mumbai and i want to change my firms profession tax address,what is the procedure pls tell me also on my mail ID:caviveksinghalca@gmail.com
I am vivek Singhal i want to change my firms address in profession tax certificate ,what procedure I should follow(for mumbai),pls send also on my mail ID:caviveksinghalca@gmail.com
every thing is good but can you provide me the procidure to surrander the professional tax registration . yes i want to close my professional tax registration.
MAHARASHTRA OFFICIALS ARE JUST SENDING NOTICES TO EVERY DOCTOR WHO IS REGISTERED WITH MMC(MAH MEDICAL COUNCIL) WITHOUT CHECKING FACTS LIKE WHETHER THAT PERSON IS PRACTISING OR PURSUING FURTHER STUDIES OR HAS LEFT THE STATE OR COUNTRY ,
SOME BODY HAS TO STOP THEM LEGALLY !!!!!!!!!!!!!!!!!!!!!!11
Sir one of my client from gujrat wants to cancel his Profession Tax Number. So which authority do i need to write an application for the above mentioned purpose.
Thanks In Advance.
i am a government servent in indian audit and account department and i am a phish cal handicapped person(more than 40%) but my profession tax is deducted.you give to me advised that my profession tax is exempted
praveen naphade
R/Sir
I want to know the method of pt deducated on casual salary it is lablity of comapany or laiblity of casual employee
if our company taken casual employee for particular period on temporary basis .
on casual salary whose liability of Pt Whether it is liability of company or
liability of casual employee.
I am a registered medical practitioner with the Maharashtra Medical Council but I am not practicing since graduation. Am I liable to pay professional tax
My wife is a doctor but she is not practicing as my children are small. Whether she has to pay professional tax. And now she wants to start her practice then how she pay her Professional tax
i m physically handicapped with more than 40% disability
i m ex-employee of one of the private sector bank.
my employer has deducted professional tax for 4 years and that time i was not aware about exemption of professional tax .
i have resigned from my services 1 year back so now can i get refund of professional tax which i have paid.
I am a doctor registered with Maharashtra Medical Council. I do not practice but am employed in a private medical college in andhra pradesh where P T is deducted from my salary. Am I still required to pay PT in Maharashtra?
how I will get my changed no. of enrolment certificate
Hi,
I want to know that if one person is partner in two partnership registered firm then he must take one profession tax no for both firm or seprate two no no. for each firm please guide me.
I am a registered medical practitioner with the Maharashtra Medical Council but I am not practicing since graduation. Am I liable to pay professional tax……..?????????????
I am a registered medical practitioner with the Maharashtra Medical Council but I am not practicing since graduation. Am I liable to pay professional tax??
Excellent information given.Thanks for valuable information about P.T.
Hi,
My question is if person is getting his salary in two installments and both the installments are greater than 10000 rs then is he applicable for two PT deduction from each installments of his salary?
What will be the total PT for this case?
Hello,
I registered for the PTEC number and received it, but i made a mistake while making the payment to SBI bank, the number ends in 3P on the certificate, but while paying the tax amount i forgot too mention the P in the PTEC section. I have the bank receipt for it. Will this cause a problem or not.
How can i check if the payment made was deposited for my account or for some one elses.
Please help, i am new to this hence do not have much knowledge about these processes.
My co. is registered on 30/03/2012 and the business is takeover by the co. on 01/04/2012. wether PT will be levied for 2011-12 as well as for 2012-13 or only for 2012-13
How to Search New PTE Number in Place of old PTE number
EXCESS PT DEDUCTED :
From 15/05/2011 I am a employee of a LTD. co. & till 15/05/2011 i was working with a another co.
The previous employer had deducted Rs.175 as PT for the month of MAY-11 & current employer also deducted Rs.200 as PT for the same month (MAY-11). Total PT deducted from my salary is Rs.2675 for the F.Y. 2011-12. So kindly advice me if there is any procedure to claim or adjust the excess paid amount of PT.
Sadanand Mavarkar.
as an employer if i give incentive to my employee and due to this incentive if the salary of employee crosses Rs 5000/- should i deduct profession tax
I have paid professional tax on line but make a misstek I have to pay rs 2500 but paid rs 25000
for mharashtra gov professional tax how how can i get refund of my excess payment
If a person has never earned income after graduating from the professional college, and now resides abroad and is still not earning any income, does that person still have a liability to get enrolled and pay profession tax?
If a person has never earned income after graduating from the professional college, and now resides abroad and is still not earning any income, does that person still have a liability to get enrolled and pay profession tax?
If a person has never earned income after graduating from the professional college, and now resides abroad and is still not earning any income, does that person still have a liability to get enrolled and pay profession tax?
under Profession Tax Act ,if he has employed one or more persons who are drawing salary in excess of Rs. 5000/- per month.
if it is applicable of Professional Tax Act
I have confuse in my work, so help me, audit was asked to me why not deduct the Professional Tax
I thing, my suggestion is, if he has employed ten or more persons who are drawing salary in excess of Rs. 5000/- per month.
please check & revert back
thanks & Regard
Ramesh Chandrappa
i am a doctor and i have worked for a few months each year in various hospitals since 2007. do i have to pay professional tax for the whole year or only for the months that i have been working?
do private hospitals deduct the professional tax from the salary if the doctor is appointed on contract basis?
pls reply
thanks.
i have a query that, in case of Pvt. Ltd. Co. is it mandatory to have Professional Tax Enrollment No. of Director while appling for registration certificate of a Co.
Kindly give your expert views on my mail Id sunita.rana8@gmail.com
I had held my law practising certificate from 2007 till aug 2011. thereafter i surrendered my certificate.now i am required to pay PT from 2007-2010.SHud i still obtain enrollment?I currently work as an employee and am paying PT post aug-2011.Please clarify my stand
Profession Tax Slabs: Maharashtra
Salary amount- Up to Rs. 5000 = Nil
Rs. 5000 to Rs. 10000 = Rs. 175 Per Month
Rs. 10000 & Above = Rs. 200 Per Month/ Rs. 2500 p.a.
How can pay profession tax online i have account in BOB & Axis bank
On which site i pay tax payment
whether profession tax is applicable to workers who are working on casual basis ?
what are the new professional tax slabs for maharashtra in 2011-12 year
i an employee of one company .i am been informed by my senior to make appliation fori professional tax of employees working in my company how can i make application pls let me know what is the procedure, and othe necessary details, document required, fees etc
i have a query that, in case of Pvt. Ltd. Co. is it mandatory to have Professional Tax Enrollment No. of Director while appling for registration certificate of a Co.
Kindly give your expert views on my mail Id
vasantnanda111@gmail.com
If a director is not drawing any salary from a company in Maharashtra, but stays in Mumbai, do he need to pay PT as per Maharashtra PT rates?
please clarify with relevant document support.
thanks
suneel.
Still we are paying PT through Demand Draft So is there any penalty for that.
Thanks,info is really good & educative.If schedules mentioned in the write up it would have been very helpfull. Pushpa
I WANT TO KNOW STATUS ABOUT MY EXISTING PROFESSIONAL TAX NO. IS IT CORRECT OR NOT OR WHOM’S NAME IT WAS REGISTRED HOW COULD I FIND IT?
whether new firm is exempted for professional tax?
i want to know PT will payed before date of 15 is compulsary