Professional Tax Registration
PTEC and PTRC: who registers, amounts and returns, with Maharashtra and Karnataka examples.
Key facts
- There are two registrations in states that levy professional tax. Enrolment (PTEC) covers the business's own tax: companies, firms, LLPs, directors, partners and self-employed professionals. Registration (PTRC) is for employers who deduct PT from salaries.
- Apply online on the state commercial tax / PT portal within the time the state allows (commonly 30 to 90 days of becoming liable).
- Enrolled persons usually pay a flat ₹2,500 a year, the constitutional maximum.
- Maharashtra salary slabs: men — nil up to ₹7,500, ₹175 a month for ₹7,501–10,000, ₹200 a month above ₹10,000 (₹300 in February); women — nil up to ₹25,000, then ₹200 a month (₹300 in February).
- Maharashtra employer returns are monthly if the previous year's tax was ₹50,000 or more, otherwise annual.
- Karnataka: ₹200 a month for salary of ₹25,000 or more; no PT below that.
- Late registration, payment or returns attract penalties and interest (in Maharashtra, interest of 1.25% a month on late payment).
- Directors pay PTEC once even if they are directors in several companies.
Common questions
What is the difference between PTEC and PTRC?
PTEC (enrolment) is for the business or professional's own professional tax — usually ₹2,500 a year. PTRC (registration) is for employers who deduct professional tax from employees' salaries and deposit it. A company with employees needs both.
How do I register for professional tax?
On your state's professional tax portal (in Maharashtra, the Mahagst portal): apply for enrolment (PTEC) and, if you have employees, registration (PTRC), with PAN, address proof, constitution documents and employee details. The certificates are issued online.
Maharashtra professional tax slab: how much PT on salary?
For men: nil up to ₹7,500, ₹175 for ₹7,501–10,000, and ₹200 a month above ₹10,000 (₹300 in February). For women: nil up to ₹25,000, then ₹200 a month (₹300 in February). The yearly maximum is ₹2,500.
How much is professional tax in Karnataka?
₹200 a month for employees whose salary is ₹25,000 or more a month; nothing below that.
Does a proprietor need professional tax enrolment?
Yes, in states that levy it, a self-employed person or proprietor carrying on a profession, trade or business needs enrolment and pays the annual amount fixed by the state (usually ₹2,500).