What are the due dates for the payment of state-wise Professional Tax?

Introduction

The professional tax filing date in each state is different and must be remembered by all company owners. They should also be aware of their state-wise professional tax slabs. If the company owners pay their professional tax after the due date, they will have to make additional payments. Professional tax is a direct tax levied at the state level. The professional tax payment is deducted from the taxable income as per the provision of the Income Tax Act, 1961. In this blog, we will focus on the state-wise professional tax payment due date in India but before that, we will learn “What is professional tax?”.

What is a professional tax in India?

Professional tax is not a tax imposed just on professionals, as the word implies. It applies to individuals earning income through various means, including professions, employment, trade, and more. The right to impose and collect Professional Tax is granted to the State Government under the provisions of Clause (2) of Article 276 of the Indian Constitution.

Similarly, many Indian states have chosen not to exercise this right. In all other relevant states, professional tax is imposed according to the professional tax slab rates established by each respective state. No state, however, can impose a Professional Tax on any taxpayer over 2,500 INR. According to the Income Tax Act of 1961, Professional Tax payments can be deducted from taxable income.

Who is required to pay professional tax?

The following group of people is subject to professional tax payment:

• Salaried individual
• HUF (Hindu Undivided Family)
• Whether incorporated or not, a firm, company, cooperative society, association of persons, or group of individuals.

What is the state-wise professional tax payment due date in India?

Every company is aware of the annual professional tax but it is also necessary for the companies to know the state-wise professional tax payment due date. They are as follows:

1. Professional tax payment due date in Maharashtra

There are different professional tax payment due dates for companies or individuals in Maharashtra:

• The due date for professional tax is 31st March in the case when the tax liability of the previous year is less than Rs. 50,000.
• The due date for professional tax payment is the last day of the month in which the return is filed where there is a tax liability is more than Rs.50, 000 per month.
• A person registered under professional tax before 30th of May of the financial year is liable to pay tax by the 30th of June of the year.
• If a person is registered under professional tax after 30th May of the financial year, then he is liable to pay tax within one month of the registration date.

2. Professional tax payment due date in Kolkata

Employers with an annual tax liability of up to Rs. 3000 must file quarterly returns. Such employers must provide the quarterly return within 30 days of the end of each quarter and pay tax before filing such return. Employers with an annual tax liability of more than Rs. 3,000 must file quarterly returns and make monthly professional tax payments for the first two months of each quarter within 21 days of the following month.

3. Other State Due Dates

Here is the list of state-wise professional taxes with due dates and periodicity to file.

Conclusion

The professional tax is imposed on profession, trade, etc by each state in India. Every state has its own set of due dates for paying professional taxes, which is discussed in this article. It is advised to all individuals and companies to pay tax before the due date.