Doc Summary
Overview
Professional Tax Registration is a state-level compliance requirement imposed on individuals and entities engaged in professions, trades, or employment. It is a direct tax levied by respective State Governments under the Professional Tax Act.
Employers must obtain registration to deduct and deposit professional tax from employees’ salaries, while self-employed individuals must register and pay directly to the state authority.
Eligibility / Who Should Apply
- Employers with salaried employees in applicable states
- Self-employed professionals such as consultants, traders, or freelancers
- Businesses and companies operating in states that levy professional tax
- Partnerships, LLPs, and proprietorships engaged in commercial activities
Step-by-Step Process
- Determine Applicability: Check if the business operates in a state where professional tax is mandatory
- Application Submission: File an application for registration on the respective state’s professional tax portal
- Document Upload: Provide proof of business existence, identity, and address
- Verification: State authority verifies documents and assesses Liability
- Certificate Issuance: Receive Professional Tax Registration Certificate (PTRC) and Enrollment Certificate (PTEC)
Documents Required
- PAN and Aadhaar of business owner or partners
- Proof of business address (Rent Agreement / NOC / Ownership Proof)
- Incorporation Certificate (for companies or LLPs)
- Employee details and salary structure
- Bank account details of the business
Timeline
The registration process generally takes 5–10 working days, depending on the respective state’s portal and verification process.
Post-Registration Requirements
- Deduct professional tax monthly from employee salaries
- Deposit tax to the state government within the prescribed due date
- File periodic returns as per state laws
- Maintain records of deductions and challans for future reference
Penalties for Non-Compliance
- Delay in registration or payment attracts a penalty up to ₹1,000–₹5,000, depending on the state
- Late payment interest ranges from 1% to 2% per month
- Continuous default can result in legal recovery proceedings
Kanoons Service
Kanoons Law & Tax Consultants Pvt. Ltd. offers complete Professional Tax registration and compliance support across all applicable states in India.
Our services include:
- Guidance on state-specific applicability and slab rates
- Preparation and filing of professional tax registration applications
- Obtaining both PTRC and PTEC certificates
- Ongoing assistance for payment and return filing
- Timely reminders for due dates and renewal obligations
Kanoons ensures that your business meets every state’s professional tax requirement efficiently and on time.
Why Choose Kanoons
- State-wise registration expertise across India
- End-to-end process handled with accuracy and transparency
- Simple, paperless registration process
- Affordable packages with timely updates
- Reliable support for businesses and self-employed professionals
