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Professional Tax Maharashtra: Tax Slab, Payment, Applicability, Due Date, Exemption

Updated on: Apr 5th, 2024

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11 min read

Whether you are a working professional or have a business, it is imperative to pay professional taxes. It is a deduction that you will notice on your pay slip. If you are an employee and have noticed your employer deducting this tax every month, you must know everything about this tax. 

All self-employed, salaried individuals and organisations are liable to pay professional tax in Maharashtra, depending on their income. This article will provide all the details on professional tax payments. 

Professional Tax In Maharashtra

The state government imposes a professional tax on your earned income. As per Article 276 of the Indian Constitution, whether you are a salaried employee or belong to any profession, you are liable to pay professional tax as per the applicable rate. The Maharashtra state government sets the tax rates and the income slabs. 

Maharashtra Professional Tax Rule

Under the Maharashtra State Tax on Professions, Trades, Callings, and Employment (Amendment) Rules, the government can impose a professional tax. As per Maharashtra professional tax rule, every salaried employee needs to pay this tax. 

Employers of such employees and self-employed individuals must obtain a certificate of registration or certificate of enrolment from the prescribed authority. Furthermore, you should apply for enrolment or registration within 30 days from the commencement date of your profession/business. 

Professional Tax Applicability in Maharashtra

Professional tax in Mumbai applies to the following categories of individuals:

Furthermore, only employers of salaried individuals are liable to pay such taxes on behalf of their employees. In this process, the employer deducts a certain amount of tax from the salary and deposits it to the municipal corporation.

Professional Tax Slab Rate in Maharashtra

The calculation of professional tax depends on your salary and predetermined tax rates. You may have to pay something between Rs 200 to Rs 300 2500 per month. For complete details, look at the table below:

Monthly Gross Salary

Payable Profession Tax

Less than Rs 7500

0

Rs 7501 to Rs 10000

Rs 175 per month (Nil for women)

Rs 10001 and above

Rs 200 per month except for Feb

Rs 300 for the Feb month

Maharashtra Professional Tax Online Payment

After learning about the tax slab rate and applicability of professional tax, the next question that will hit your mind is what the procedure to pay this tax is. 

Follow the below process and pay professional tax online without any hassle.

  • Visit the official website of the Maharashtra GST Department and click on the ‘e-payment’ option.
  • As per the status of your professional tax payment, select the appropriate option.
  • Now, select the appropriate professional tax act. You can choose either the PTEC (Professional Tax Enrolment Certificate) or the PTRC (Professional Tax Registration Certificate) Act.
  • After selecting the applicable option, enter the essential details. This includes the payable amount, period of professional tax payment, mobile number, etc.
  • Click on 'Proceed to Payment'.
  • After successful payment, an acknowledgement receipt will appear on the screen. You can take a screenshot or download it for future reference.

In addition, you can make payments through an alternative process. Follow the below process:

  • Navigate to the official website of the Sales Tax Portal of GRAS and choose the tax type.
  • Provide necessary TIN. For PTRC, enter the 12-digit TIN; for PTEC, enter the 11-digit TIN.
  • Now click on the ‘Submit’ option. After that, provide the necessary details like your mobile number, office location, employer name, etc. 
  • Now choose the payment type. Once the ID gets generated automatically, select the payment period.
  • Provide all payment-related details and click the 'Proceed' option. Then your screen will show a payment summary.
  • Click on ‘OK’ after evaluating all details. Then a Government Reference Number will appear.
  • Now click 'OK', and you will be redirected to the bank's website. After making a successful payment, a receipt will be generated. You can download it as per your need. 

Maharashtra Professional Tax Payment Due Date

In Maharashtra, the date of enrolment determines the due date of professional tax payments. For instance, businesses that enrolled before May 31 of a given year must pay this tax by June 30 of that year. On the other hand, organisations that enrolled after May 31 of a fiscal year must pay professional tax within one month of the enrolment date. 

Maharashtra Professional Tax Late Payment Penalty

A penalty of 1.25% tax is payable for each month if an enrolled individual fails to pay this tax on time. On the other hand, employers must pay 2% interest per month on the total amount due if they fail or delay doing so. 

Maharashtra Professional Tax Exemption

Check out the list below to know about individuals who are exempted from paying professional tax in Maharashtra.

  • Senior citizens aged 65 years and above.
  • Parents of physically challenged children
  • Individuals having more than 40% disability
  • Badli workers of the textile industry. 

Final Word

Under the Professional tax in Maharashtra Act, every person engaged actively in any profession in Maharashtra is liable to pay this. Make sure to pay the applicable tax on time to avoid incurring any hefty penalties. 

Related Articles:
 Professional Tax in Karnataka
 Professional Tax in West Bengal
 Professional Tax in Delhi
 Professional Tax in Telangana
 Professional Tax in Gujarat
 Professional Tax in Bihar
 Professional Tax in Jharkhand
 Professional Tax in Odisha
 Professional Tax in Tamil Nadu
 Professional Tax in Punjab
 Professional Tax in Kerala
 Professional Tax in Assam
 Professional Tax in Andhra Pradesh

Frequently Asked Questions

Is professional tax compulsory in Maharashtra?

Yes, it is compulsory to pay professional tax in Maharashtra. Self-employed and salaried individuals are liable to pay this tax depending on their income. However, the employers are responsible for paying this tax to the authorities on behalf of their employees.

How much is the professional tax in Maharashtra?

The amount of professional tax payable by an individual in Maharashtra depends on his/her income and applicable tax rate.

Who is eligible for professional tax in Maharashtra?

Individuals (salaried and self-employed), companies, corporations, firms, HUF, societies, clubs and associations are eligible to pay professional tax in Maharashtra.

Who is exempt from professional tax in Maharashtra?

Senior citizens, specially-abled individuals with more than 40% disability, badli workers, and parents of specially-abled children do not have to pay professional taxes.

How to pay professional tax in Maharashtra?

You can pay it online by visiting the official website of the Maharashtra Sales Tax Portal of GRAS.

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Quick Summary

Professional tax is a mandatory deduction for salaried and self-employed individuals in Maharashtra. The tax rates and income slabs are set by the state government. Payment can be done online via the official Maharashtra GST Department website. Late payment incurs penalties, exempted individuals include senior citizens, parents of physically challenged children, and more.

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