Professional Tax (PT) is a state-level deduction from salaried income in India. Use our free Professional Tax Calculator for all 18 PT-levying states. Part of our Complete Salary & Tax Guide for India.
What Is Professional Tax?
Professional Tax is levied by state governments on salaried individuals and professionals. The constitutional maximum is ₹2,500 per year under Article 276. Your employer deducts it monthly and deposits it with the state.
Which States Levy PT?
18 states levy PT including Maharashtra, Karnataka, Telangana, West Bengal, Gujarat, and Tamil Nadu. Major states without PT include Delhi, Uttar Pradesh, Haryana, Rajasthan, and Punjab.
State-wise Slabs (Major States)
| State | Max Monthly PT | Annual Max |
|---|---|---|
| Maharashtra | ₹200 (₹300 in Feb) | ₹2,500 |
| Karnataka | ₹200 | ₹2,400 |
| Telangana | ₹200 | ₹2,400 |
| West Bengal | ₹200 | ₹2,400 |
| Gujarat | ₹200 | ₹2,400 |
Maharashtra's February Quirk
Standard PT is ₹200/month, but February is ₹300 to reach the ₹2,500 annual cap (11 × ₹200 + ₹300 = ₹2,500).
Maharashtra Women's Exemption
Women earning ₹25,000 or less per month pay ₹0 PT in Maharashtra. Above ₹25,000, standard slabs apply.
Section 16(iii) Deduction
Professional Tax paid is deductible from salary income under Section 16(iii), reducing your income tax liability. Related: CTC Calculator, Income Tax Calculator.
Remote Work and PT
PT is based on your employer's registered office state, not where you physically work from.
Frequently Asked Questions
What is the maximum Professional Tax in India?
The maximum professional tax any state can levy is ₹2,500 per year, as capped by Article 276 of the Indian Constitution. Most states with a simple slab structure have a maximum of ₹2,400-₹2,500 annually.
Which states in India don't have Professional Tax?
Professional Tax is not levied in several major states including Delhi, Uttar Pradesh, Rajasthan, Haryana, Punjab, Uttarakhand, Himachal Pradesh, and Goa. Professional Tax is a state subject and these states have chosen not to implement it.
Why is Maharashtra PT ₹300 in February?
Maharashtra's standard PT is ₹200/month. However, if you deduct ₹200 × 12 = ₹2,400 annually, it falls ₹100 short of the ₹2,500 constitutional limit. To maximize collection within the limit, Maharashtra charges ₹300 in February (₹200 + ₹100 extra), bringing the annual total to exactly ₹2,500.
Are women exempt from Professional Tax in Maharashtra?
Yes — women earning ₹25,000 or less per month are exempt from Professional Tax in Maharashtra. For women earning above ₹25,000/month, standard PT rates apply.