PROFESSIONAL TAX REGISTRATION & FILING,
PROFESSIONAL TAX REGISTRATION & FILING,
Professional Tax registration is required for employers and individuals engaged in a profession or trade.
It is a tax levied by the state on the income earned by employees on rendering their specific services. Contact Corpbiz and get registered under Professional tax for your services!
Overview of Professional Tax Registration
The ‘Professional tax’ is a tax which is levied on all kinds of professions, trades, and employment, and its applicability is based on the income of such-
- Trade, and
Professional tax is levied by the State Government and it varies from state to state. To govern the professional tax of the particular state, every state has its laws and regulations. However, all the states do follow a slab system based on the income to levy professional tax. Further, Individuals carrying on freelancing business without any employees are required to obtain Professional tax certificate subject to the pecuniary threshold if any, provided by the respective State Authorities.
- PTEC (Professional Tax Enrollment Certificate):
This is paid by the business entity, owner or a professional i.e. Private/ Public Limited Company, Sole Proprietor, Director Etc.
- PTRC: (Professional Tax Registration Certificate):
Government or Non- Government employer deducts the tax from the employee’s wages and deposit the same to the government.
Note- A professional tax imposed is subject to the exemption provided by the respective State to particular categories
Applicability of Professional Tax Registration
Company /LLP / Firm
he persons like HUF, firm, Limited Liability Partnership (LLP), Company, Corporations, other Corporate bodies, any societies, Club or Association is considered as a taxable person under Professional Tax. Or every branch of the above said persons are treated as the separate person for the purpose of registration with the Professional Tax Department and Tax payments.
Legal Practitioners including Solicitors and Notaries, Medical Representatives including Medical Consultants and Dentists, Doctors, Chartered Accountant, Company Secretaries, Management Consultants, Architectures, Engineers, Tax Consultants, Insurance Agents, and Surveyors all kind of Contractors etc.
Directors & Partners
Persons acting as Directors of the Companies, the Partner of a firm or designated partner and Partners of LLP are also considered as Professionals. Hence, to comply with the provisions of Professional Tax law the Directors and Partners are required to obtain registration under PT Act, within 30 days of their appointment.
As An Employee
The professional tax on salaried individuals in applicable state is to be collected by the employer after making the appropriate deduction from the salary of the employees and to deposit with the professional tax department. The employer needs to obtain registration with professional tax department within 30 days of its applicability
What are the Benefits of Professional Tax Registration?
Imposes Minimal Restriction
Professional tax is simple to comply with and the compliances relating to professional tax
Implementing Welfare & Development Programs
The Professional Tax is a source of revenue for the state governments which helps in implementing schemes for the various welfare and development of the region
Professional tax payment is a legal requirement, and hence ignoring it can result in any penalty or prosecution
Can Get Professional Help
You will never have to deal with all your tax-related issues on your own again. Since you have tax professionals helping you with your tax-related work, you will never be alone again
Professional tax is easy to get registered with simplified annual or monthly compliances.
Can Claim Deduction
The deduction can be claimed of earlier paid professional tax on salary. that also provides some tax education and more information related to about Professional Tax Registration and & More
Documents Required For PT Registration For Company /LLP
|S.No||List Of Document|
Certificate of Incorporation, MOA & AOA / LLP Agreement.
PAN card of Company/LLP duly attested by directors of the company
Premises proof of Company and an NOC from the owner of such premises
Bank Account of Company: Cancelled cheque and bank statement.
List of Directors, passport size Photographs of all Directors, Id and address proof.
Board Resolution or consent statement of partners
Attendance Register & Salary Register