What is Professional Tax?
Professional Tax (PT) is a state-level tax on income earned through employment or profession. It is deducted by the employer from the employee's salary and remitted to the respective state government. The maximum annual PT under Article 276 of the Constitution is ₹2,500.
Key States and Their Slabs
Karnataka
Monthly deduction based on gross salary:
- Up to ₹15,000 — Nil
- ₹15,001 to ₹25,000 — ₹200/month
- Above ₹25,000 — ₹200/month (Feb: ₹300)
Maharashtra
One of the most complex PT structures:
- Up to ₹7,500 — Nil
- ₹7,501 to ₹10,000 — ₹175/month
- Above ₹10,000 — ₹200/month (Feb: ₹300 for men)
West Bengal
- Up to ₹10,000 — Nil
- ₹10,001 to ₹15,000 — ₹110/month
- ₹15,001 to ₹25,000 — ₹130/month
- ₹25,001 to ₹40,000 — ₹150/month
- Above ₹40,000 — ₹200/month
Other Notable States
- Tamil Nadu — Half-yearly payment: ₹1,250 (salary above ₹21,000)
- Andhra Pradesh — Monthly: ₹200 (salary above ₹20,000)
- Telangana — Monthly: ₹200 (salary above ₹20,000)
- Gujarat — Monthly: ₹200 (salary above ₹12,000)
- Delhi, Rajasthan, UP — No Professional Tax
How PeopleOS Handles Multi-State PT
PeopleOS maintains PT slab tables for all 36 states and UTs. When you configure an employee's work location, the correct PT slab is automatically applied. For employees working across multiple states, PeopleOS tracks the primary work location and applies the corresponding state's PT rules.