Payment of PT

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1 Points Joined January 2024

I have a question regarding PTEC and PTRC.

Suppose, i am a professional and paying PT under PTEC but next year i joined some firm and the firm is paying me a salary and deducting PT under PTRC. Further suppose i am getting salary also and i have my professional income too. Do i need to pay PT under PTEC and PTRC both? 

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On 20 March 2025 at 10:58 Report
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Master in Accounts & high court Advocate
9111 Points Joined December 2011

As a professional with both professional income and salary income, you'll need to navigate both PTEC (Professional Tax Enrollment Certificate) and PTRC (Professional Tax Registration Certificate).

Here's a breakdown: 

PTEC: As a professional, you were paying Professional Tax (PT) under PTEC. 

This certificate is required for professionals who earn income from their profession. PTRC: When you joined the firm, they started deducting PT under PTRC. 

This certificate is required for employers who deduct PT from their employees' salaries. Dual Income: 

Since you have both professional income and salary income, you'll need to consider the following:

 1. *PTEC*: You may still need to pay PT under PTEC for your professional income, depending on the state's regulations and your income level.

2. *PTRC*: Your employer will continue to deduct PT under PTRC from your salary. Key Points: 

1. *Check state regulations*: Professional Tax laws vary across states. Check your state's regulations to determine if you need to pay PT under both PTEC and PTRC.

 2. *Income thresholds*: Some states exempt professionals from paying PT under PTEC if their income is below a certain threshold.

3. *Credit for PTRC*: You may be eligible to claim a credit for the PT deducted under PTRC against your PT liability under PTEC.

 To ensure compliance and optimize your tax liability, consult a tax professional or chartered accountant who is familiar with your state's Professional Tax regulations.

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On 20 March 2025 at 11:35


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