Documents required for professional tax registration

Address Proof of establishment

Address proof of Partners, Proprietor or Directors as applicable

PAN

Photo of Proprietor, Partner or Directors as Applicable

Along with these documents Salary details of employees need to be provided. If it not the first year or you have not obtained the PT registration at the start of business or profession you need to also provide financial statements.


Advantages of Professional tax registration

  • Penalty for non-registration in case of employer – Rs.1,000/- In case of other persons Rs.500/-.
  • Penalty for non filing of Returns for an employer Rs.250/-.
  • Penalty for non-payment of tax by enrolled person and registered employer with interest at rate of 1.25% per month and Penalty not exceeding 50% of the tax amount due

APPLICABILITY OF PROFESSIONAL TAX

Company/ LLP/Firm

The 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.

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.

Individual Professionals

Legal Practitioners including Solicitors and Notaries, Medical Representatives including Medical Consultants and Dentists, Doctors, Chartered Accountant, Company Secretaries, Management Consultants, Architects, Engineers, Tax Consultants, Insurance Agents, and Surveyors all kind of Contractors etc.

As an Employer

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.