Professional tax

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One of my friend was working in state government till july 2015. He took long leave without pay from the government job w.e.f june 2, 2015 and took permanent employment in private organisation in july,15. He paid professional tax in both the places for the first half of 2015-16

 

Whether he can claim refund from the privte organisation, showing the payment challan of government job.

Whether professional tax is applicble for temproary post also.

What is the maximum limit to be claimed in income tax

 

Replies (17)

This situation must not have arisen, had you declared your previous employer's Form 16 to the present employer. 

There is no way that you can claim refund of professional tax. Although the same will be incorporated in both form16. If your salary income is taxable then the taxable salary will be reduced by the prof. tax so paid. 

Hence while filing the return you can take the entire claim of professional tax paid.

For salaried person prof Tax is deducted from salary @ Rs 200 Pm except february where they deduct Rs300. He must have left Govt Job. He has to show his salary sheet of Govt to his new employer.  For April may june - Govt must have deducted PT and the new employer must have deducted from July 15. 

How do you say both places it is deducted.

Originally posted by : Sindhu
One of my friend was working in state government till july 2015. He took long leave without pay from the government job w.e.f june 2, 2015 and took permanent employment in private organisation in july,15. He paid professional tax in both the places for the first half of 2015-16

 

Whether he can claim refund from the privte organisation, showing the payment challan of government job.

Whether professional tax is applicble for temproary post also.

What is the maximum limit to be claimed in income tax

 

 

Profession tax is deducted on monthly basis, so when he is on leave means he is not paid by govt. hence the question of deduction for the  unpaid  leave month does not arise, however if he on leave with payment, then its vilation of govt employment rules, 

 

Where the employee took long leave from govt job and joined pvt employment, where is the period where PTwas deducted double time. Probably there no way-out for claiming refund PT.

@ U S SHARMA

For the month of July, PT has been deducted twice since he had not informed about his employment to either employer. I.e for the month of July in particular, the tax has been deducted twice. The employee had not informed about his leaving the job to the govt job nor had informed about his previous employment with new employer I.e private organisation

Originally posted by : Ms. Rinkal
@ U S SHARMA

For the month of July, PT has been deducted twice since he had not informed about his employment to either employer. I.e for the month of July in particular, the tax has been deducted twice. The employee had not informed about his leaving the job to the govt job nor had informed about his previous employment with new employer I.e private organisation

 

Profession tax is deducted on payment basis or , if he is on leave from june, then how the tax can be deducted without payout ? if tax has been deducted then there is a payment for sure, for the vacation period, 

in such situation is violation of service rules, because at same time a person can not work at two places, to be more precise, a govt employee can not work at any other place , under his contunity of service, 

better to forget the little amount, as it may dig some more issues of "concealment of data" during verification, 

@ U S SHARMA

PT is not deducted on payment basis. It is deducted based on gross salary he/she is drawing. It has no connection with respect to salary is paid or unpaid. 

no you cannot forget that petty amt. It already appears in form16 and it can be tracked with the help of pan details of employee also. So strictly speaking, claim the same in the return. Do not ignore the same.. 

However if you have said in respect to ignoring the amt from the point of view of claiming pt refund, then I agree with you. Because there is no way to claim pt refund back

Originally posted by : Ms. Rinkal
@ U S SHARMA

PT is not deducted on payment basis. It is deducted based on gross salary he/she is drawing. It has no connection with respect to salary is paid or unpaid. 

no you cannot forget that petty amt. It already appears in form16 and it can be tracked with the help of pan details of employee also. So strictly speaking, claim the same in the return. Do not ignore the same.. 

However if you have said in respect to ignoring the amt from the point of view of claiming pt refund, then I agree with you. Because there is no way to claim pt refund back

i am unable to understand that how an employer can deduct the PT of employee when no payment is made for the period,  ....... to be precise, employer deducts the PT on monthly wages / salary payable to the employee, and here the employee is on leave (the person has not mentioned with payment or without payment) so  if we assume that he on on leave without payment, then please eleborate under which condition the employer can deduct ? ( its not enrollment, which accure auto, but the deduction of PT from the wages payable) 

and if he is on leave with payout, then  .........no reply just fingers crossed.

@ U S SHARMA: 

Originally posted by : Sindhu

One of my friend was working in state government till july 2015. He took long leave without pay from the government job w.e.f june 2, 2015 and took permanent employment in private organisation in july,15. He paid professional tax in both the places for the first half of 2015-16

 

Whether he can claim refund from the privte organisation, showing the payment challan of government job.

Whether professional tax is applicble for temproary post also.

What is the maximum limit to be claimed in income tax

 
Firstly no need to assume that the employee was on leave without payment as the same as already been stated by Sindhu. (Read the bold lines properly here)
 

 

Secondly, the PT payments are made by an employer which are done based on employees employed for that period. Needless to mention, employees on leave are also covered under it. At that stage they (employer) took the view that the employee is still employed and was on leave and would not even think that the employee was supposed to leave the organisation permanently.

PT payments are based on wage/ salary payable and not paid basis. Had the employee returned back to work, then wasn't he subjected to receive the salary as well as deduction of the PT required. 

 

@ Ms. Rinkal

 

Then you want to establish that from ZERO  payment the PT is deducted, ??

Then in that case what would you say for an example that a person came to office for just about 2-3 days of a month and it is not paid leave for the remaining days because not all organisations have paid leave concept. then what would you comment on it. Pt would be paid on it or not. 

Obviously it would be paid as pt is based on gross salary payable and not paid basis. The rules regarding pt are very clear. Its payment are to be done on monthly basis and on payable basis.

Originally posted by : Ms. Rinkal
Then in that case what would you say for an example that a person came to office for just about 2-3 days of a month and it is not paid leave for the remaining days because not all organisations have paid leave concept. then what would you comment on it. Pt would be paid on it or not. 

Obviously it would be paid as pt is based on gross salary payable and not paid basis. The rules regarding pt are very clear. Its payment are to be done on monthly basis and on payable basis.

Please get updated about PT rules please, its not on gross assumption, but on gross payable for the previous month, and if the person draws less than 8500 in any month PT is not deducted. 

 

Labout laws are little bit different than other tax laws, 

I never said it is based on gross assumption. Even I m aware about the law and hence commenting. I m very well updated with the professional tax related issues. Thanks for your concern. 

And since you are so much updated with the pt rules, please provide the facts where it is stated that prof tax is not reqd to be paid when an employee is on leave for the month and that being an unpaid leave. 

Also for your kind information pt slabs are different for different states. It is better if you are updated regarding the same. What you are commenting is just commenting on the basis of 1 state. 

Please check the table for your ready reference. Here is just an extract of various states levying pt on monthly basis

Professional Tax For The Financial Year 2015-16

 
Professional tax is a tax levied by the various State Governments of India on salaried individuals, working in government or non-government entities, or in practice of any profession, including Chartered Accountants, Doctors, Lawyers etc or carry out some form of business. This form of tax is in practice for a long time and States were conferred the power of leveling the Tax under Clause (2) of Article 276. The rate at which Professional tax is charged is based on the Income Slabs set by the respective State Governments. However the maximum Professional Tax that can be levied by any State till date is Rs 2500/-. The total amount of professional tax paid during the year is allowed as Deduction under the Income Tax Act. The professional tax is a source of revenue for the State Governments which helps the different in implementing schemes for the welfare and development of the region.
Professional Tax is deducted by the employers from the salary of the salaried employees and same is deposited with the State Government. For other individuals, they have to directly pay it to the Government or through the Local Bodies appointed to do so.
 
For the Financial Year 2015-16 few states have made some alteration which has been updated in this post.
 
Let’s look at the Professional Tax Slabs of the States which levy the Professional Tax:-
 
Andhra Pradesh
 
Monthly Salary
Professional Tax Levied (P.M)
Up to Rs 15,000/-
Nil
Rs 15,001-Rs 20,000/-
Rs 150
Rs 20,001/- or Above
Rs 200
 
Assam
 
Monthly Salary
Professional Tax Levied (P.M)
Up to Rs 10,000/-
Nil
Rs 10,001- Rs 14,999/-
Rs 150
Rs 15,000- Rs 24,999/-
Rs 180
Rs 25,000/- or Above
*Rs 208 & 212
 
*Professional Tax is payable @ Rs 208 for first 11 months and Rs 212 in the last month.
 
Bihar
 
Monthly Salary
Professional Tax Levied (P.M)
Up to Rs 25,000/-
Nil
Rs 25,001-Rs 41,666/-
Rs 83.33
Rs 41,667-Rs 83,333/-
Rs 166.67
Rs 83,334/- or Above
Rs 208.33
 
Chattisgarh
 
Monthly Salary
Professional Tax Levied (P.M)
Up to Rs 12,500/-
Nil
Rs 12,501-Rs 16,667/-
Rs 150
Rs 16,668-Rs 20,833/-
Rs 180
Rs 20,834-Rs 25,000/-
Rs 190
25,001/- or Above
Rs 200
 
Gujarat
 
Monthly Salary
Professional Tax Levied (P.M)
Up to Rs 5,999/-
Nil
Rs 6,000-Rs 8,999/-
Rs 80
Rs 9,000-Rs 11,999/-
Rs 150
Rs 12,000/- or Above
Rs 200
 
Jharkhand
 
Monthly Salary
Professional Tax Levied (P.M)
Up to Rs 25,000/-
Nil
Rs 25,001-Rs 41,666/-
Rs 100
Rs 41,667-Rs 66,666/-
Rs 150
Rs 66,666-Rs 83,333/-
Rs 175
Rs 83,334/- or Above
*Rs 208
 
*Professional Tax is payable @ Rs 208 for first 11 months and Rs 212 in the last month.
 
Karnataka
 
Monthly Salary
Professional Tax Levied (P.M)
Up to Rs 15,000/-
Nil
Rs 15,001/- or Above
Rs 200
 
Kerala
 
Monthly Salary
Professional Tax Levied (P.M)
Up to Rs 1,999/-
Nil
Rs 2,000- Rs 2,999/-
Rs 20(120)
Rs 3,000- Rs 4,999/-
Rs 30(180)
Rs 5,000- Rs 7,499/-
Rs 50(300)
Rs 7,500- Rs 9,999/-
Rs 75(450)
Rs 10,000- Rs 12,499/-
Rs 100(600)
Rs 12,500- Rs 16,666/-
Rs 125(750)
Rs 16,667- Rs 20,833/-
Rs 166(1000)
Rs 20,884/- or Above
Rs 208(1250)
 
Payable Semi Annually. In bracket Professional Tax payable Semi Annually is mentioned.
 
Madhya Pradesh
 
Monthly Salary
Professional Tax Levied (P.M)
Up to Rs 12,500/-
Nil
Rs 12,501-Rs 14,999/-
Rs 125
Above Rs 15,000/-
*Rs 208 & Rs 212
 
*Madhya Pradesh levies Professional Tax @ Rs 208 for 11 months and Rs 212 for the last month.
 
Maharashtra
 
Monthly Salary
Professional Tax Levied (P.M)
Up to Rs 7,500/-
Nil
Rs 7,501-Rs 10,000/-
Rs 175
Above Rs 10,001/-
*Rs 200 & Rs 300
 
*Maharashtra Government levies Professional Tax @ Rs 200 for 11 months and Rs 300 for the last month.
**Women who earn Salary up to Rs 10,000/- per month are exempted from paying Professional Tax.
 
Meghalaya
 
Monthly Salary
Professional Tax Levied (P.M)
Up to Rs 4,166/-
Nil
Rs 4,167- Rs 6,250/-
Rs 16.50
Rs 6,251- Rs 8,333/-
Rs 25
Rs 8,334- Rs 12,500/-
Rs 41.50
Rs 12,501- Rs 16,666/-
Rs 62.50
Rs 16,667- Rs 20,833/-
Rs 100
Rs 20,834- Rs 25,000/-
Rs 125
Rs 25,001/- or Above
*Rs 208 & Rs 212
 
*Professional Tax is payable @ Rs 208 for first 11 months and Rs 212 in the last month.
 
Orissa
 
Monthly Salary
Professional Tax Levied (P.M)
Up to Rs 13,304/-
Nil
Rs 13,305- Rs 25,000/-
Rs 125
Rs 25,001/- or Above
*Rs 200 & Rs 300
 
*Professional Tax will be payable @ Rs 200 for first 11 months and Rs 300 in the last month.
 
Tamil Nadu
 
Monthly Salary
Professional Tax Levied (P.M)
Up to Rs 3,500/-
Nil
Rs 3,501-Rs 5,000/-
Rs 16.66(100)
Rs 5,001-Rs 9,000/-
Rs 40 (235)
Rs 9,001-Rs 10,000/-
Rs 85(510)
Rs 10,001-Rs 12,500/-
Rs 126.67(760)
Above Rs 12,501/-
Rs182.50 (1095)
 
Collectible Semi- Annually. In bracket Professional Tax payable Semi Annually is mentioned.
 
Tripura
 
Monthly Salary
Professional Tax Levied (P.M)
Up to Rs 5,000/-
Nil
Rs 5,001- Rs 7,000/-
Rs 70 (420)
Rs 7,001- Rs 9,000/-
Rs 120(720)
Rs 9,001- Rs 12,000/-
Rs 140(840)
Rs 12,001- Rs 15,000/-
Rs 190(1140)
Rs 15,001/- or Above
Rs 2496(208)
 
Collectible Semi-Annually. Amount given in bracket is the Professional Tax payable Semi Annually.
 
West Bengal
 
Monthly Salary
Professional Tax Levied (P.M)
Up to Rs 8,500/-
Nil
Rs 8,501-Rs 10,000/-
Rs 90
Rs 10,001-Rs 15,000/-
Rs 110
Rs 15,001-Rs 25,000/-
Rs 130
Rs 25,001-Rs 40,000/-
Rs 150
Above Rs 40,001/-
Rs 200
 
States and Union Territories where Professional Tax is Not Applicable
 
Arunachal Pradesh
Andaman & Nicobar
Chandigarh
Dadra & Nagar Havelli
Daman & Diu
Delhi
Goa
Haryana
Himachal Pradesh
Jammu & Kashmir
Lakshadweep
Nagaland
Punjab
Rajasthan
Uttaranchal
Uttar Pradesh

And please before giving advice, check all the details of the post, as to what the person has told. It seems you are making assumptions. Check your comments first. 

My language here is bold enough in this post. Sorry but can't help it. You read incomplete details and comment on it. So it was just required you to tell.

I wouldn't have spoken so harsh on this public platform. But truely very sorry. Could not control.

@ U S Sharma

Also for your kind information, his pt is deducted which means obviously he is drawing a salary more than the prescribed limits. 

Do not comment on such issues which are just not reqd

 


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