HR & Payroll
Professional Tax
PT
State-level tax on professions, trades and employment — slabs vary by state, deducted from salary monthly.
What it means
Professional Tax is a state subject. Each state has its own slab structure, deduction rules and return formats. Maharashtra, Karnataka, Tamil Nadu, West Bengal, Kerala and Gujarat are the major PT-levying states. Maximum PT per person per year is capped at ₹2,500 (Article 276 of the Constitution).
Employers must register, deduct PT from employee salaries and pay it to the state treasury along with monthly or annual returns.
How Easedesk handles Professional Tax
Easedesk maintains PT slabs per state and applies the correct deduction based on the employee's work location. For multi-state employers, separate state PT challans and returns are generated automatically.
Related terms
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