Document

Professional Tax Andhra Pradesh: Tax Slab, Payment, Applicability, Login, Due Date, Exemption

By Ektha Surana

|

Updated on: May 23rd, 2024

|

18 min read

If you are a salaried or self-employed individual, you are liable to pay professional tax in Andhra Pradesh. But you might be thinking that if you already pay income tax to the Central Government, why would you need to pay another type of tax to your state government? Why is it charged particularly for a state? We agree it might be a little confusing.

To get answers to the above questions and understand everything about professional tax payments in Andhra Pradesh read on further. 

Professional Tax in Andhra Pradesh

Under the APPT (Andhra Pradesh Profession Tax) Act, 1987, professional tax is levied on every salaried individual or person involved in professions like doctors, lawyers, chartered accountants, entrepreneurs, etc.  The State's Commercial Taxes Department has the power to collect professional taxes. Although the tax payable depends on monthly income, the annual professional tax payment doesn’t exceed Rs 2,500.  

Professional Tax Slab Rate in Andhra Pradesh

The professional tax slab rates for employees in Andhra Pradesh are stated in the table below:

Monthly Salary

Professional Tax (per month)

Up to Rs 15,000

Nil

Rs 15,001 to Rs 20,000

Rs 150

Rs 20,000 and above

Rs 200 

The professional tax slab rates for certain professionals in Andhra Pradesh are: 

Turnover 

Professional Tax (per month)

Contractors with an annual turnover below Rs 10 lakh 

Nil

Contractors with an annual turnover from Rs 10 lakh to Rs 25 lakh  

Rs 2000

Contractors with an above Rs 25 lakh 

Rs 2500

A person employed in the cinema industry, cinema producers, lyricists, junior artists, music directors, etc

Rs 2500

Owners or Lessees  of factories registered under the Factories Act, 1948, with an annual turnover below Rs 10 lakh

Nil

Owners or Lessees  of factories registered under the Factories Act, 1948, with an annual turnover of Rs 10 lakh to Rs 25 lakh 

Rs 2000

Owners or Lessees of  Factories Act, 1948,  with an annual turnover of over Rs 25 lakh 

Rs 2500

Owners of Lessees of hotels, lodging, bars, restaurants, etc Factories Act, 1948, with a turnover below Rs 10 lakh

Nil

Owners of Lessees of hotels, lodging, bars, restaurants, etc, with a turnover below Rs 10 lakh 

Nil

Owners of Lessees of hotels, lodging, bars, restaurants, etc, with a turnover between Rs 10 lakh to Rs 25 lakh 

Rs 2000

Owners of Lessees of hotels, lodging, bars, restaurants, etc, with a turnover above Rs 25 lakh

Rs 2500

Co-operative societies registered under the A.P.Co-operative Societies

Act, 1964 involved in any profession at Mandal and Village level

Nil

Co-operative societies registered under the A.P.Co-operative Societies

Act, 1964 involved in any profession at district and State level societies.

Rs 2500

Every partner engaged in profession, trade and calling of a firm drawing remuneration from the firm 

Rs 2500

DVD, CD libraries, Video Cassettes

Rs 2500

Weigh Bridge Operators

Rs 2500

Enrollment tax depends on various parameters such as annual income, type of profession etc., click here to know in detail.

Andhra Pradesh Professional Tax Online Payment

You can pay professional tax in Andhra Pradesh by filing two types of returns - Form I and Form II. 

  • Form I Return (Monthly Tax  Return)
    • On the official website of the Commercial Taxes Department, click on the 'Make Payment' option.
    • Now select ‘Online Payment’ and complete the payment on your preferred payment gateway.
    • After that, a message will appear on the screen detailing all payment details. You can print it for future reference.
  • Form  II Return (Payment made during a fiscal year)

You can pay it in two ways, which include: 

  • Direct Payment
  • After Login

Direct Payment

  • Once you visit the website of the Commercial Taxes Department, click on 'My Profession Tax' and then 'E-payment'
  • Once you provide Form II PTIN and captcha code, you will receive an OTP on your registered mobile number. 
  • Enter the OTP and choose the financial year for which you are paid the professional tax.
  • Complete the payment.

After Login

  • After visiting the website mentioned above, click on ‘My Profession Tax’ and then ‘Taxpayer Login’.
  • Click on ‘Dashboard’ and then ‘Returns’. Under this, click on Form II payment.
  • Select 'Financial year' and click on the 'Make Payment' option.
  • Click on ‘Online Payment’ and choose a suitable payment gateway as per your preference.
  • Once payment is made, you will receive a message on the screen. You can use the print option to generate a receipt.

Andhra Pradesh Professional Tax Payment Due Date

In Andhra Pradesh, the enrolment date of the assessee determines when professional tax payments are due. 

Assessee holding the registration certificate being an employer, if you are eligible to pay professional tax, then you must pay it on or before the 10th of each month. If you fail to make payment of any tax amount within this specified time, then the state government will levy a penalty. 

As per Rule 14 of the Andhra Pradesh Professional Tax 1987, if you are enrolled or stand enrolled before May 31 of a particular year, you must pay professional tax before June 30. If you enroll after May 31, you must do so within a month of the enrollment date. 

Andhra Pradesh Professional Tax Late Payment Penalty

If anyone fails to pay professional tax in Andhra Pradesh, they may have to pay a penalty of 25% to 50% of the tax amount due.  This penalty is in addition to the interest on non-payment or late payment of taxes.

Andhra Pradesh Professional Tax Exemption

According to the Andhra Pradesh Tax on Professions, Trades, Vocation and Employments Act, 1987, the following group of people and businesses are not required to pay professional tax in Andhra Pradesh:

  • People with 40% disability of any kind
  • Public telephone operators
  • Commercial establishments with an annual turnover of up to Rs 10 lakh
  • People whose monthly salary/wages is not more than Rs 15,000

Professional Tax Forms For AP

Category of assessee

Application Form

Application of enrollment by employer

Form I

Application of enrollment by the assessee (other than a person earning salary or wages)

Form II

Certificate to be furnished to the employer

Form III

certificate to be furnished by a person if he is employed under more than one employer

Form IV

Return to be filed by employer

Form V

Paying in slip for making Payment 

Form VI

Receipt for the amount of tax, Interest and Penalty

Form VII

Revision Application against an order of assessment appeal penalty interest

Form XII

Refund Claim

Form V

Final Word

Every earning individual with a minimum salary of Rs 15,001 is eligible to pay professional tax in Andhra Pradesh. As discussed above, the amount payable varies depending on the income. Make sure to pay the tax on time as per your employment type and tax rate to avoid hefty penalties. 

Frequently Asked Questions

Is professional tax compulsory in Andhra Pradesh?

Paying professional tax is compulsory in Andhra Pradesh. Any kind of payment failure will attract hefty penalty charges. 

How much is the professional tax in Andhra Pradesh?

The amount of professional tax payable depends on the income slab of an individual/entity. The minimum tax rate in Andhra Pradesh is Rs 150 per month and can be as high as Rs 2500 per month. 

Who is eligible for professional tax in Andhra Pradesh?

Salaried individuals, freelancers and other self-employed individuals earning a stable income are liable to pay professional tax. However, the minimum income for professional tax eligibility in Andhra Pradesh is Rs 15,000 per month.

Who is exempt from professional tax in Andhra Pradesh?

Individuals with 40% disability of any kind and public telephone operators are eligible for professional tax exemption in Andhra Pradesh. Commercial establishments with an annual turnover of ₹ 10 lakh. 

How to pay professional tax in Andhra Pradesh?

To pay this tax, you can fill out two types of returns - Form I and Form II. You can pay the tax online through the official website of the Commercial Taxes Department of Andhra Pradesh. 

About the Author

Multitasking between pouring myself coffees and poring over the ever-changing tax laws. Here, I've authored 100+ blogs on income tax and simplified complex income tax topics like the intimidating crypto tax rules, old vs new tax regime debate, changes in debt funds taxation, budget analysis and more. Some combinations I like- tax and content, finance & startups, technology & psychology, fitness & neuroscience. Read more

Public Discussion

Get involved!

Share your thoughts!

summary-logo

Quick Summary

Professional tax in Andhra Pradesh applies to salaried or self-employed individuals. Rates vary based on income and profession. Payments collected by the State's Commercial Taxes Department. Penalty for late payment applies. Exemptions exist for certain individuals and businesses. Detailed procedures for online payment and due dates outlined.

Was this summary helpful?
liked-feedbackliked-feedback

Clear offers taxation & financial solutions to individuals, businesses, organizations & chartered accountants in India. Clear serves 1.5+ Million happy customers, 20000+ CAs & tax experts & 10000+ businesses across India.

Efiling Income Tax Returns(ITR) is made easy with Clear platform. Just upload your form 16, claim your deductions and get your acknowledgment number online. You can efile income tax return on your income from salary, house property, capital gains, business & profession and income from other sources. Further you can also file TDS returns, generate Form-16, use our Tax Calculator software, claim HRA, check refund status and generate rent receipts for Income Tax Filing.

CAs, experts and businesses can get GST ready with Clear GST software & certification course. Our GST Software helps CAs, tax experts & business to manage returns & invoices in an easy manner. Our Goods & Services Tax course includes tutorial videos, guides and expert assistance to help you in mastering Goods and Services Tax. Clear can also help you in getting your business registered for Goods & Services Tax Law.

Save taxes with Clear by investing in tax saving mutual funds (ELSS) online. Our experts suggest the best funds and you can get high returns by investing directly or through SIP. Download Black by ClearTax App to file returns from your mobile phone.

Cleartax is a product by Defmacro Software Pvt. Ltd.

Company PolicyTerms of use

ISO

ISO 27001

Data Center

SSL

SSL Certified Site

128-bit encryption