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.
Hello, I am a ayurvedic medical practitioner. I have only OPD set up not IPD so I want to know that can I liable to pay professional tax or not & If yes then how much amount have to pay from me? please send my answer to my mail also…
Sir,
I’m working at Noida and hence I’m not entitled for any Professional tax deduction. However, my organization has been deducting Rs 2500 per year. I would like to know the procedure to get the amount back.
I want to change my Professional Tax Certificate Address from pune district to Ahmednagar District, what is the procedure
dear sir,
my question is that A some individual is register enrolled under the Pt and the same person is also HUF kindly advice me that the huf & individual is same person , whether the HUF required to enrolled under huf or Not ? If not eligible for enrollment please specify the provision where it is mensioned.
Can u provide me the procidure to surrender the professional Tax registration
I have started business in Maharashtra by taking MVAT & CST RC at same time I have enrolled for PTEC Also. But I am Also Director in one of the Company in Other States where my PT Has been Deducted. Can I Claim exemptions from PT i state of Maharashtra. As my PT has been deducted as my part of Salary.
Kindly reply.
Why pt cutting Rs.300/- for the month of feb
For deducting PT what is the deucted and additional from salary
i e Arrears and incentives ETC
i am working as an accountant can i pay my company pt & vat tax through my personal account (online facility for indirect tax not available with my co account) and get refund to me please help me immediately
I am registered as a medical professional at Maharashtra, but am residing in M.P. since my marriage and is not practicing in Maharashtra. I have kept my registration which I renew timely, so that in future if I shift to Maharashtra I will be allowed to practice. I got a notice to get enrolled for Maharashtra PT. Please advise me….
I, Kartik Patel want to know 1) Who will pay proffesional Tax?
2) If I get rent income Rs. 1,08,000/- and I didn’t pay professional tax it is right or wrong?
Please suggest me.
My mobile no. 9423639478.
Hi friends,
If anyone is looking for any kind of services under sales tax, profession tax, shop act license, service tax etc. let me know. I will provide you the service. My mail id is hemrajsharma1986@gmail.com. Mob. No. 7303680431
Hi,
I want to know ,if same person is engaged in more than two
Professions at a same time , and paying profession Tax ( under Maharashtra profession Tax act )t
Then whether that person has to pay saperate propession Tax for each saperate progession ?
e.g. if a person is Advicate + LIC Agent. Then whether two profession tax be paid .
Sir, i have started a proprietory cocern, and we need to regster under mvat,
STO require PT registration, there are two employee in my prop. firm but he is not liable to pay PT. can i apply only for PTEC. or PTRC is also necessary for me.
If a person is appointed on salary for Jamnagar office,Gujarat and he is paid salary in Mumbai,Maharashtra and he also stays in Maharashtra. Whether, he is liable to profession tax in the state of Maharashtra.
If a person is drawing salary from two Companies, should he pay two Professional tax or only one. please clarify.
Sir we are working in border security force its comes under ministry of home affairs.pléase tell us does we needs to pay professional tex in Maharashtra.we are securing the countey by day and night.we are nat doctor not CA just the soldiers of the motherland.
Sir, If we paid excess profession tax in the month of March can we adjusted in April month payment.
I had formed a company in the year 2004 but did not operate because the business did not work i have not also opened a bank account nor a single rupee business
I am getting a letter from Professional tax to pay tax
Am i liable for any TAX
My company is register in West Bengal & is a pvt ltd Firm We use to pay the Professional tax in West Bengal for our Directors.This company is also has his branches in Maharashtra & we pay Professional Tax in Maharashtra for our company & company employee.Now do we have to pay the professional tax of Directors in Maharashtra also. Kindly suggest Me …..
if a employee is working with 2 employers then whether only one employer has to deduct profession tax or both the employers have to deduct?
if both the employers deduct profession tax, then how much employee can claim as deduction from salary and in which section
Whether Income by way of Renting of Immovable Property & Interest on FDRs is liable for Profession Tax as per Maharashtra Profession Tax Act.
Regards
Sudhir
For a proprietorship firm with a proprietor as a Karta of HUF, who has to pay Profession tax:-
a) The Karta as an individual OR HUF as an individual?
b) If Karta is already paying under some other heading, then he need to pay again as an HUF Karta?
c) Every co-parcener including the wife also pay?
I have done the payment of professional tax wrongly for the same month 3 times.So kindly tell me the procedure for refund of professional tax.
my old prof tax enrollment certificate is 112819010073. now as per new rule how i will get my new PTEC no in maharashtra
pt submitation is compulsory?
I am paying P.T through Private Ltd., Company but now i want that my P.T I will pay under individual capacity not as directors capacity what do i need to do for making such effect. do i need to cancel the old P.T no and apply for the new P.T or the same can be continued. The condition is that i am still the director of the company. I want to pay the P.T under individual capacity which can be used for both. Pl guide me the procedure.
Sir, I want professional tax slab from apr-2001 to march 2010
If the Director in Indian Company who is non resident person is liable to pay Profession Tax Enrolment in Maharashtra.
Kindly cite Reference of Circular, Judgements if any.
When we are paying PTx in Karnataka for an employee appointed in Bangalore but to work in different regions of Maharastra, Gujarat, MP, Goa etc..though stationed in two major states most of the time, can any other state also demand PTax again to be paid in their state also for the same employee, just because company is regd under VAT in all the states ? Ramesh
Is Section 25 Company is liable to pay Professional Tax? Explain the relevant provisions.
is professional tax Registration required to non operating companies?
I am medical practitioner since 35 years and just now received notice to pay P.F. I have registration of M.P. State of medical council so can I Eligible to pay P.T.in maharastra? If yes then which documents required for registration in sales tax dept?
Please advice …….
I have received a notice from PTO.. wherein i never worked in India / Abroad post my MBBS as i got married & settled in aboard itself as house wife… Let me know how do i address the notice & ask for exemption from paying the tax?
our dormant private limited company during last 12 years shifted its registered office twice Mumbai-Ahmedabad.
All directors are resident of Ahmedabad.
At present it is in Mumbai and we received notice by email to pay profession tax.
we do not have books of accounts beyond 7 years as per income tax act
Q-1 How many years profession tax , dept can demand?
Q-2 Directors should be exempt, as staying in gujarat?
My client is a retail dealer. He had taken shop act, vat & employee profession tax registration. He has employed 3 employees with a salary of (1) Rs.8000/- (2) Rs.4500/- & (3) Rs.3000/- . On employee No 1 he deducts professional tax of Rs.175/- per month. On employee no 2 and 3, employee profession tax is not applicable.
But during diwali he pays diwali bouns & Ex gratia of 1 month salary.
Does he require to deduct employee profession tax during that month ?
If the diwali bonus amount is debited to a separate Bonus account in that case can he not required to deduct employee profession tax for employee no 2 & 3 ?
sir i am working in Punjab but my company is mumbai base. i get my salary from mumbai, but i only work in Ludhiana(Punjab). so i want to know that whether i am eligible for paying P.Tax.
I am working in punjab but my company is Mumbai Base.i am getting salary from mumbai but i only worked in Ludhiana(Punjab). so i want to know that i am eligible for paying P.Tax.
what is the profession tax slab rate in f.y. 2005-06 in Maharashtra
what is the profession tax slab rate in Maharashtra in f.y. 2005-2006
Sir
Suppose my company was incorporated in year 1996. I am director of that company since 1996.
My Que is from which year i am laible to pay tax under act ?
There is any Scheme that i am laible to tax from year 2005-06
If professional tax is already deducted from my salary and I have one more source of income from mangal karyalaya. Now should I have liable for payment of professional tax
what is the definition of salary for PT?
only basic salary is to be considered or all items of remineration like HRA, DA etc ?
i am doing catering business and want to register under PTE (professional Tax) but i have no idea to take registration under which entry no.in the schedule.
My hardware own business is registered on 2010 and i got VAT registration number in 2010 but i am not pay PT from starting to till my total yearly turnover is 13 lacs. please suggest for PT rules and procedure.
with calculation of PT liability
Thanks
Ganesh
My client is sub contractor in fire fighting business who supplies Labours for their project. Will he be liable to pay professional tax on the wages earned by Labours?
Within how many years profession tax slab get change.
I am a registered medical practitioner with the Maharashtra Medical Council and i have carry own medical clinic. can i have liable to pay professional tax? and what rate of professional tax applicable? an how to pay?
Please tell me what is the due date of to submit of professional tax liability & what percentage of interest charged for late deposition
Ours is a private company. we have deducted PT from employees salary but had not paid the same to the department The details of PT deducted are as follows:
05-06 Rs. 5030/-
06-07 Rs. 2580/-
07-08 Rs. 300/-
08-09 Rs. 2930/-
09-10 Rs. 1750/-
10-11 Rs. 525/-
———
Total 13115/-
If i want to pay PT now what is the interest and penalty.