Profession tax

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This query is : Resolved

Haresh Bhanushali (Querist)

08 April 2012 Hi,

I have query related to Profession Tax in Maharashtra.

An individual is employed full time with Private Limited Company. He is now taking Directorship with other private limited company.

As per the provisions of Profession Tax, every Director has to get enrolled under Profession Tax & pay Profession Tax.

So in above case since he is already employed with other company, whether he has to enroll separately under Prof Tax and pay Tax separately. Or is there any other solution.

Shall be thankful for earliest reply.

Thanks,
Haresh

Prakash Kochar

Prakash Kochar (Expert)

09 April 2012 He has to enroll separately, but tax is to be paid after reducing the amount deducted and paid under prof. tax by his employer. As maximum tax liability of a individual is Rs. 2500/- P.A.

CA CS Pawan Jajoo

CA CS Pawan Jajoo (Expert)

12 April 2012 as per my opinion he will be liable to pay under same PT number, he is not required to take another registration.

Prakash Kochar

Prakash Kochar (Expert)

13 April 2012 As per sect. 5(2) of Prof. Tax Act, every person liable to pay tax under this act shall obtain Enrollment certificate.
Employer who is paying salary liable for PT as per entry one of sch. appended to Act has to obtain REGISTRATION, and pay tax on salry paid at prescribed rate after reducing from salary of employee.
Maximum tax payable is Rs. 2500/- PA even if he is covered under one or more entries appended to sch.
Registration and Enrollment are two different obligation.
As a person is taking directorship he will be under statutory obligation to obtain ENROLLMENT under entry 5 of sch.

Prakash Kochar

Prakash Kochar (Expert)

13 April 2012 Under sect. 5 of Prof. Tax Act he will be liable to obtain ENROLLMENT certificate under entry 5 of sch. appended to Act.

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