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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

Want Professional Tax handled automatically in your ERP? Easedesk does it natively — along with 50+ other Indian business modules.

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