Professional tax - kerala

Others 6408 views 1 replies

What is the meaning of professional tax.Where can i find the latest amendment & rules of professional tax of kerala panchayath.Please mention Website having authority to issue notifications & circular.

Replies (1)

Professional tax is a tax levied by the various State Governments of India on salaried individuals, working in government or non-government entities, or in practice of any profession, including Chartered Accountants, Doctors, Lawyers etc or carry out some form of business. This form of tax is in practice for a long time and States were conferred the power of leveling the Tax under Clause (2) of Article 276. The rate at which Professional tax is charged is based on the Income Slabs set by the respective State Governments. However the maximum Professional Tax that can be levied by any State till date is Rs 2500/-. The total amount of professional tax paid during the year is allowed as Deduction under the Income Tax Act. The professional tax is a source of revenue for the State Governments which helps the different in implementing schemes for the welfare and development of the region.
Professional Tax is deducted by the employers from the salary of the salaried employees and same is deposited with the State Government. For other individuals, they have to directly pay it to the Government or through the Local Bodies appointed to do so.

For the Financial Year 2015-16 few states have made some alteration which has been updated in this post.

Let’s look at the Professional Tax Slabs of the States which levy the Professional Tax:-

Kerala
 
Monthly Salary
Professional Tax Levied (P.M)
Up to Rs 1,999/-
Nil
Rs 2,000- Rs 2,999/-
Rs 20(120)
Rs 3,000- Rs 4,999/-
Rs 30(180)
Rs 5,000- Rs 7,499/-
Rs 50(300)
Rs 7,500- Rs 9,999/-
Rs 75(450)
Rs 10,000- Rs 12,499/-
Rs 100(600)
Rs 12,500- Rs 16,666/-
Rs 125(750)
Rs 16,667- Rs 20,833/-
Rs 166(1000)
Rs 20,884/- or Above
Rs 208(1250)
 
Payable Semi Annually. In bracket Professional Tax payable Semi Annually is mentioned.


CCI Pro

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register