Profession Tax Registration

Profession Tax Registration

Profession Tax Registration

Professional Tax is governed by the Trades, Callings and Employments Act, 1975. Person doing business in Bangalore like Professionals, Traders etc. is liable to obtain Profession Tax Registration certificate and do compliance of profession tax. Simply saying Profession Tax is a state-level tax that applies to salaried employees and professionals, including lawyers , Consultants and doctors.

Company need to apply for Professional Tax Registration Certificate (PTRC) who is in the role of employer whereas Professional tax Enrollment certificate (PTEC) is to obtained by the company for its own existence and engaging in profession (and of-course business too) within the state of Maharashtra. Total yearly Rs. 2500 required to be paid like Rs. 200 per Month and Rs. 300 in Month of February (Rs. 200 * 11 + 300 = 2500) for late payment of Taxes interest in applicable. Our dedicated professional team helps you in taking registration and maintaining tax compliances with timely reminder and follow-ups.

The process of Professional tax registration in India is given by State Governments. Now PT registration For Individual, LLP, Private Limited can be completed within 3 - 4 business days.

Documents required for Profession Tax Registration

  • Company Charter Documents (MOA & AOA)
  • Place of Business Proof with Ownership details
  • Place of Residence of all the Directors with Ownership proof
  • Two Photographs of the all the Directors
  • PAN of Business and all the Directors
  • Cancelled Cheque from Company’s Current account and Director’s saving and Current account
  • Shop and Establishment certificate
  • The hard copy is issued within 10 days in all the major cities, but it would take around 15 to 20 days elsewhere

Frequently Asked Questions

On which date an Employer becomes liable to pay tax?

The date of liability will be the date on which the employer disburses salary/wages to any of his employees in the taxable limit, for the first time.

Who are liable to pay Profession Tax as ‘Employer’?

Every employer is liable to deduct Profession Tax (as per the Schedule to the Profession Tax Act) from the salary / wages paid to his employees & to pay the Profession Tax so deducted.

What is the penalty for furnishing wrong information?

The penalty prescribed for giving false information in an application for Registration Certificate or Enrolment Certificate is equal to three times the tax payable under the Profession Tax Act.

What are the advantages of payment of tax?

The Enrolment Certificate holder can discharge his liability for the next five years by making payment in advance of a lump sum amount equal to four times of such rate of tax on or before 30th June, so advantage in paying lump sum is that of, saving of one year’s liability.

Who is assessed under Profession Tax Act?

An employer liable to pay Profession Tax is assessed under the Profession Tax Act.