professional tax

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anmol bohra (Querist)
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10 September 2009 plz solve my querry,if a doctor who is getting professional fees from hospital around 20 lacs and then doctor give a salary to his assistant around 180000 per annum to women doctor. whether doctor should deduct professional tax from this salary paid to assistant... plz solve it ang give a link where i can the act also ( i am from m.p.)

CA CHINTAN AJMERA

CA CHINTAN AJMERA (Expert)
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10 September 2009 No not require.

chetan soni

chetan soni (Expert)
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10 September 2009 actually to deduct the professional there should be registration under shop act & extablishment act. The defination for the purpose of professional tax liability, every person means Individual, HUF, Organizations (Company, Firm, Proprietary Concern, Hindu Undivided Family (HUF), Society, Club, Association Of Persons, Corporation or any other corporate body shall deduct & pay the professional tax to state government.

Now in your case, doctor is running his professional pratice in individual capacity he pays salary to asst. doctors. Now person paying salary to employees shall deduct the professional tax. The rate of professional tax is decided on the basis of states.

You can get the slab rates from shared files.

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SARATHY RP

SARATHY RP (Expert)
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11 September 2009 Let us visualise two situations and try to understand the profession tax liability:

Employer (Doctor) - Employee (Doctor) : Here the Employer must deduct the Profession Tax (as per the slab) and remit to the appropriate local govt.

Employer (Doctor) - employing another doctor on a contractual basis. Being a Professional, the person who is working under a contract, must discharge his Professional tax liability (Rs.2500.00 p.a.) and show the proof to the employer so that the employer is absolved of the responsibility.

Irrespective of the fact whether the employer is deducting the PT or the employee himself gets registered under the PT Act on his own, the total tax cannot exceed Rs.2500.00 per annum (Article 276 of Indian Constitution).
Thanks.
Sarathy

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Anjani Pratap Tiwari

Anjani Pratap Tiwari (Expert)
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11 September 2009 Yes, the asst. of doctor is his employee and if any person pays salary to his employee he has to deduct P.Tax and deposit it to the government. P.tax rates are different in different states, so youcan get it from shared files on google.

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