Every person who is engaged in any profession (business or service) is liable to pay a profession tax of Rs. 2,500/- p.a. with the government every year. The self-employed persons are liable to pay profession tax for themselves and the for salaried employees (whose salary is above Rs. 7,500 p.m.) the onus is on their employer to deduct the profession tax for such employee and deposit the same with the government.
Profession Tax Registration Certificate (PT-RC) is to allow the employer to deduct profession tax from the salary of its employees. The Profession Tax Enrolment Certificate (PT-EC), on the other hand, allows the person (including company and the directors) to pay the profession tax for and behalf of themselves.
Applicability of PTEC:
This certificate is to be obtained by every person (excluding Partnership firm or HUF)who are engaged in their own business after the incorporation or commencement of business.
Applicability of PTRC:
This certificate is to be obtain by every person who is liable to deduct profession tax of any employee whose monthly salary is above Rs. 7,500/- .
When to Apply?
A Person has to apply for PTEC/ PTRC within Thirty days from the date he is liable to pay Professional tax. He has to make an online application within a prescribed time failure to which Authorised department may levy a Penalty.
Documents required for registration:
S. No. Nature of Document
1. Copy of PAN Card of the Company
2. Proof of the Constitution of Business(Certificate of Incorporation, Partnership Deed, Joint Venture Agreement)
3. Aadhar Copy Partners, Director & Proprietor
4. PAN of the Resident Partners, Director & Proprietor
5. Proof of the Place of Business (Electricity Bill/Utility Bill) along with rent agreement if any
6. Blank Cancelled Cheque of the Company
7. Shop and Establishment Certificate(in case of proprietorship)
8. Details of the number of employees, as well as their salary slabs
9. E-mail ID and Contact Number of all the Partners, Director & Proprietor
Disclaimer: The contents of this document have been prepared on the basis of relevant provisions and as per the information existing at the time of the preparation. Users of the Information are expected to refer to the relevant existing provisions of applicable laws. The user of the information agrees that the information is not a professional advice. We assume no responsibility for any consequences of use of such information