Professional Tax

First of all it is Profession Tax & not PROFESSIONAL Tax

It is allowabel as exp subject to SEC  43B

i.e. on payment basis it is allowed as exp

ITS ALLOWABLE

absolutely it is allowable expense

its allowable exp

for detail info on professional tax go to this forum

/forum/professional-tax-90801.asp

professional tax is a tax on employment to be paid by the employee.. which is allowed as an deduction u/s 16(iii)..on actual payment basis from Gross Salary...If paid by the employee , it is allowed as deduction from gross salary to arrive at income from salary...If paid by the employer on behalf of his employee..it is first added to salary as an perquisite ..and then allowed as an deduction ...for employer , it is a perquisite provided to the employee n allowed as an expenditure on payment basis.....

yes it is a allowable exp. its is a part of salary if u deposite on behalf of the employee.

if u have business or profession than u debited it in his profit & loss a/c