Tax Registration For Professionals In India

online professional tax registration

Who needs to register for professional taxation?

Professional Tax is a tax collected by state governments from professionals. Professional tax is required of people with income from salaries or professions such as Chartered Accountants, Company Secretaries, Lawyers, etc. It includes employers, professionals, traders, etc. for the purpose of this registration.

The tax is deducted from the employer’s salary, which is subsequently deductible from  registration is obtained by the employers and business owners with the respect Municipal Corporation. Being it State based registration, the rate of tax and method of registration is different. Furthermore, there are two types of registration, which are PTEC and PTRC.


The tax is deducted from the employer’s salary, which is subsequently deductible from ax that is levied on the income that is earned by any trade and is remitted by the employer. As a tax on professions, trades, and callings, and employment, he has to pay roughly Rs.2500 to the state or local authority every year.

An employer deducts this tax from his or her salary, which may later be deducted from his or herernment. The upward revision of professional tax Rs.2500 has allowed the government to raise the additional resources online professional tax payment

Complete registration in 3 Easy Steps

1. Answer Quick Questions

  • Spare than 10 minutes to fill in our Questionnaires
  • To register, provide basic details & documents
  • Make payment through secured payment gateways

2. Experts are Here to Help!

  • Assigned Relationship Manager guiding on how to register  professional tax
  • Preparation of application by experts
  • Submission of application to the concerned department
  • Registration Certificate

3. Your Business is registered

  • All it takes is 10-15 working days*


How does professional tax registration benefit you?

Here are the benefits of Professional Tax, which are as follows:-

  • Minimal restrictions Professional tax is easy to comply with, and professional tax compliances are easy to comply with very few restrictions.
  • Professional tax imposes minimal restrictions because it is simple to comply with and the compliances relating to it are minimal. To avoid this penalty and prosecution, the self-employed person and employer pay their professional tax without any delay, as per the rates prescribed by their concerned state.
  • Easy Registered
    Professional Tax is simple to register with simplified annual or monthly filings.
  • Implementing Welfare & Development Programs
    Professional Tax is a source of revenue for the state governments that enables them to implement welfare and development programs in the region
  • Can Get Professional Help
    You will never have to worry about tax-related issues on your own again. Since you have tax professionals helping you with your tax-related work, you will never be alone again when it comes to your tax woes!
  • A deduction can be claimed for earlier professional tax paid on salary.

Who had to pay professional tax in india?

The following individuals and entities are subject to professional tax in India:

There are businesses, firms, limited liability partnerships, corporations, societies, Hindu undivided families, associations, clubs, and medical professionals, such as doctors and lawyers.

Professional tax registration in india.

An application for registration under the professional tax in india must be filed with the State Tax Department within 30 days of hiring staff. The application must be made separately to each authority considering the place of work that falls under its jurisdiction, if there are more than one place of work.

A delay in paying professional tax can result in a penalty of Rs,5 per day. Nonpayment or late payment will result in a penalty of 10% of the tax, and late filing will result in a penalty of 300 rupees.

What is the professional tax rate in india?

In India, employers deduct monthly personal tax from the salary of employees if they fail to deposit the required amount. If defaulters cannot deposit the amount, the officials may seek to recover such amounts from their assets along with applicable penalties and interest.

It is possible for officials to recover non-deposited amounts from the assets as well as any applicable penalties and interest.

What Penalties are Imposed in Case of Violation of Professional Tax Regulation?

The Penalty for vof Amount The officials can take the defaulter’s assets along with applicable penalties and interest for non-deposition of such amount.x, imposes penalty for not registering professional tax once it has become applicable. State-by-state, the amount of penalty may vary.

  • Failure to deposit amount The officials have the power to recover such amount from the assets of such defaulter along with applicable penalties and interest.
  • Fails To Deposiof Amount The officials can take the defaulter’s assets along with applicable penalties and interest for non-deposition of such amount.
  • Non-Deposition of Amount The officials can take the defaulter’s assets along with applicable penalties and interest for non-deposition of such amount. In addition, the bank can be attached. In serious cases, prosecution case also can be filed.

The states impose penalties for failure to initiate a payment or file a return by the due date.

So, the penalty for late registration is Rs5/- per day.

A 10% penalty is imposed if professional tax isn’t paid on time. Rs 1000 is the penalty for late filing of tax returns. There is a penalty of Rs 2000 if the delay lasts for more than a month.

Frequently Asked Questions About Professional Taxes

What is the date an employer becomes tax liable?

It will be the date on which the employer pays salary/wages, for the first time, to any of his employees in the taxable limit.

Who is liable for paying Profession Tax as an employer?

It is the employer’s responsibility to deduct and pay Profession Tax (as described in the Schedule to the Profession Tax Act) from the salaries/wages paid to his employees.

Is there a penalty for furnishing incorrect information?

Section 5(6) of the Profession Tax Act stipulates that the penalty for false information contained in a registration application or enrolment application is equal to three times the tax payable under the Act.

Why is it beneficial to pay taxes?

Payment of an advance lump sum equal to four times such rate of tax by the Enrolment Certificate holder on or before 30th June will discharge his liability for the next five years. The advantage of paying an advance lump sum is that one year’s liability is saved.

Who is subject to the Professional Tax Act?

A company assessed with Profession Tax is governed by the Profession Tax Act.

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