Professional Tax Registration
The Professional Tax Registration is the state level tax that is taken by the State Government that is levied on professions and the trade which is supposed to be pay by the every member of the staff employees of the Private Company.
The head or owner of the company use to be responsible for the collection of the Professional Tax from the salary of the employees and then pay the collected amount to the state government.
Based on the gross amount of the salary of the profession, the professional tax is, simply a slab amount which used to be deducted from the salary of the professional, the states whose government has levied the Professional Tax are Andhra Pradesh, Maharashtra, Tamil Nadu, Gujarat, Assam, Chhattisgarh, Kerala, Meghalaya, Orissa, Maharashtra, West Bengal, Tripura.
Professional tax is levied by Municipal Corporations of particular state and majority of the Indian states impose this duty. The professional tax is a source of revenue for the State Government which helps them in implementing schemes for the welfare and development of the region. It is also payable by members of staff employed in private companies. It is mandatory to pay professional tax. The rate of professional tax charged is based on the Income Slabs set by the respective State Governments. The tax amount of professional tax paid during the year is allowed as Deduction under the Income Tax Act.