What is professional tax in India?

A state tax on employment, deducted by the employer from the employee's salary and deposited with the state or local body. The Constitution caps it at ₹2,500 per person per year, and not every state levies it.

Which states have no professional tax?

Delhi, Haryana, Uttar Pradesh, Himachal Pradesh, Rajasthan and Chhattisgarh do not collect it, and Odisha repealed it from April 2026. Uttarakhand, Arunachal Pradesh, Chandigarh and Ladakh also collect none. Goa and Jammu & Kashmir have laws on the books but nothing is deducted in practice. Check the state list on this page for the reason in each case.

Do Bihar and Jharkhand levy professional tax?

Yes. Both charge it on annual income: nothing up to ₹3 lakh, then ₹1,000 (Bihar) or ₹1,200 (Jharkhand) from ₹3 lakh, rising to ₹2,500 a year at the top. Many payroll sites wrongly list them as having no professional tax.

Why does Kerala or Tamil Nadu charge twice a year?

Both collect professional tax through local bodies on six months' income, not on monthly salary. Kerala's dates are 31 August and 28 February; Tamil Nadu's are 30 September and 31 March. Puducherry works the same way.

Who is responsible for paying professional tax?

The employer deducts it from salaries and deposits it with the state. You register in each state where employees work; there is no single national registration. Due dates and return frequency differ by state.

How does professional tax apply to remote employees?

It generally follows the state where the employee actually works, not where your company is registered. For fully remote staff practice varies, so confirm the position for your setup with a payroll-compliance professional.

What is the maximum professional tax I can be charged in a year?

₹2,500 per person per year anywhere in India. Several states stay below it because of their slab: ₹2,400 in Gujarat, Andhra Pradesh, Telangana, Punjab and Sikkim, and ₹2,496 in West Bengal, Assam, Tripura and Nagaland.

Why is the Maharashtra amount different for women?

Maharashtra charges women employees nothing up to ₹25,000 a month, against ₹7,500 for men, and the same ₹200 a month above that (₹300 in February). Select 'Woman' in the calculator to apply it.

What happens if I miss the professional tax deadline?

Late deposit and non-filing attract interest and penalties set by each state, and continued default can lead to notices. Treat the state's due date as firm.

Can employees claim professional tax as a deduction?

Yes. Professional tax actually paid is allowed as a deduction from salary income, so it reduces the employee's taxable salary, and it is a business expense for the employer. It should show on the payslip and in Form 16.

Karnataka Professional Tax Slab 2026-27

Karnataka's professional tax slabs for 2026-27, and what they cost your business per employee and in total. Enter gross salary and headcount below for your exact liability.

Monthly gross salary per employee

₹

Gross monthly salary (basic + HRA + allowances) before deductions.

₹50 thousand

State of employment

Professional tax is deducted in the state where the employee works.

Employee

Only Maharashtra charges women differently (nil up to ₹25,000 a month). Ignored elsewhere.

Number of employees

Total employees in this state subject to professional tax.

Annual professional tax per employee

₹2,500

Deducted every month: ₹200, with ₹300 in February so the year totals ₹2,500.

Deduction each month₹200

Annual total (all employees)₹25,000

Most one employee pays in Karnataka₹2,500

For 10 employees in Karnataka, all on this salary.

Estimates only — not financial, tax or legal advice. Figures vary by state, capital and individual circumstances.

How to use this calculator

Enter gross salary and headcount to see the professional tax each employee pays in this state, and what it costs in total.

1
Enter monthly gross salary. Gross salary including basic, HRA and all allowances before deductions.
2
Confirm the state. Pre-selected for this page — change it if you are comparing another state.
3
Enter headcount. Total employees working in this state, to see your total yearly liability.
4
Read the result. Per-employee and total professional tax for the year, and the amount of each deduction.

Professional tax slabs in Karnataka (2026-27)

Karnataka sets professional tax by monthly gross salary. The slabs in force today:

Below ₹25,000 monthly gross: Nil
₹25,000 and above monthly gross: ₹200 a month (₹300 in February)

What professional tax costs per employee in Karnataka

The slabs applied to a few monthly salaries:

Monthly gross ₹5,000: ₹0 a year
Monthly gross ₹25,000: ₹2,500 a year

At ₹50,000 a month, Karnataka charges ₹2,500 a year per employee. Among the other 18 states that levy it, that is higher than 13 and the same as 5.

How it is collected and paid

Deducted every month: ₹200, with ₹300 in February so the year totals ₹2,500.

Register for professional tax in Karnataka before deducting it from employees there.
Deduct the amount for each employee's slab from their salary.
Deposit what you deducted with Karnataka by the state's due date, and file any return the state asks for.
Show the amount deducted on the employee's payslip and Form 16.

Professional tax is capped at ₹2,500 per person per year across India. In Karnataka the most one employee pays is ₹2,500.

Where these figures come from

Karnataka Act 33 of 2025 (state gazette), in force from 1 April 2025. Last checked on 18 October 2026. Professional tax is set by each state and can change without notice, so confirm the current schedule with the state tax department before you rely on it for a filing.

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Professional tax in other states

Maharashtra Tamil Nadu Andhra Pradesh Telangana West Bengal Gujarat Kerala Madhya Pradesh Assam Punjab Bihar Jharkhand Meghalaya Tripura Sikkim Mizoram Nagaland Puducherry Delhi Rajasthan Chhattisgarh Odisha

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