Professional Tax Calculator India — All States 2025

Professional tax is a state-level tax on income from employment, business, or profession. It is deducted by employers from employees salaries and deposited with the state government. Self-employed individuals, professionals (doctors, lawyers, CAs), and business owners must register and pay professional tax directly. The constitutional maximum is Rs 2,500 per year under Article 276(2).

Maharashtra PT slabs (monthly salary): Up to Rs 7,500 - Nil. Rs 7,501 to Rs 10,000 - Rs 175/month. Rs 10,001 and above - Rs 200/month (Rs 300 in the month of February). Annual total: Rs 2,500. Employer must deduct PT from employee salary and deposit with Maharashtra government. Registration is mandatory for employers with even one employee.

Employers deduct professional tax from employees gross salary every month based on the state-specific slab. The deducted amount is deposited with the state government - monthly or half-yearly depending on the state. You will see PT deduction in your salary slip as "Professional Tax" or "PT". The annual certificate (Form 16) will show total PT deducted, which you can claim as deduction in ITR.

Yes. Professional tax paid by an employee is fully deductible from gross salary under Section 16(iii) of the Income Tax Act. This deduction is available under both old and new tax regimes. If you paid Rs 2,400 in professional tax during the year, your taxable salary reduces by Rs 2,400. For a person in the 30% tax bracket, this saves approximately Rs 720 in income tax.

Late payment of professional tax attracts penalties and interest as per state-specific rules. For Maharashtra: interest at 1.25% per month on unpaid amount plus penalty of Rs 5 per day of delay (minimum Rs 50). Employers are primarily responsible for deducting and depositing PT. Failure to register or pay can result in penalties up to Rs 5,000 depending on the state.