The Best way for Professional Tax Registration in Karnataka

Professional Tax is levied by state governments as a tax on profession, trade, calling or employment. In this blog, we will discuss about Professional tax registration and all other aspects of Professional tax registration in Karnataka.

1) What is Professional tax registration? 

Professional tax registration is mandatory for all employers and professionals. Professional tax is a tax which is imposed on all the people who are earning salary or people who are practicing a profession such as a chartered accountant, company secretary, doctors etc. The owner of a business is responsible to deduct professional tax from the salaries of his/her employees and pay the amount so collected to the Government. Professional tax is levied by Municipal Corporations also the majority of the Indian States impose this tax. Professional tax is a source of revenue for the government. Professional tax is collected from individuals working in Government, Private and Non-government organizations.

2) The professional tax rate in Karnataka

In the state of Karnataka, professional taxes are levied as per the Karnataka Tax on Professions, Trades, Callings and Employment Act, 1976. If persons in Karnataka who earn wage and salary less than Rs 15000 per month, then professional tax does not apply on them. If someone in Karnataka is earning more than Rs 15000 per month, then per month he needs to pay Rs 200 as professional tax. 

3) Who is liable to pay professional tax in Karnataka?

In Karnataka, both salaried, as well as self-employed earners, have to pay professional tax to the state government of Karnataka. Various professionals such as doctors charted accountants, lawyers etc need to pay professional tax in the state of Karnataka.

4) Persons exempt from Professional tax registration in Karnataka

List of the persons who are exempted from professional tax registration in Karnataka is given below:

a) Senior Citizens

b) All the charitable hospitals

c)Members of the armed forces

d) Director of companies being registered in the State and being nominated by financing agencies.

e) Technicians who belong to other countries but working in the state of Karnataka.

f) Blind persons, a deaf and dumb person earning salary and wage

g) Central paramilitary force personnel

5) How to enroll for professional tax registration in Karnataka?

Persons wish to wish  to register themselves for professional taxes in Karnataka need to follow the guidelines listed below:

a) Persons wish to register themselves for professional taxes in Karnataka need to visit the official personal tax website.

b) By visiting the website the persons can apply online for registration.

c) Persons require to find out the link for professional tax enrollment and need to click on the same

d) After that persons need to follow the instructions as appear on the website.

6) Karnataka professional tax e-payment

Procedure to  make e-payment of professional tax in Karnataka is given below:

1) A professional taxpayer can pay the professional tax through online by visiting the official website as prescribed by the Government of Karnataka.

2) The website allows taxpayers to submit tax returns and make payment of professional tax by entering their personal and financial details.

3) Taxpayers can also generate the certificate of Tax payment online without contacting the officers of professional tax.

4) The website helps professional taxpayers as they can now pay taxes from home on monthly, quarterly and annual basis.

7) Documents required for professional tax registration in Karnataka.

Following are the list of documents that required for professional tax registration in Karnataka :

1) Copy of PAN card of applicants

2) In case of a company, Pan card of director of the company

3) Passport Size photo of applicant or director in case it is a company

4) Mobile number and email ID of applicant  and director if it is a company

5) Residence proof of the applicant

Conclusion:

Professional tax is levied on employees, the person carrying on business including freelancers, professionals etc subject to income exceeding the monetary threshold if any. By taking professional registration you are entitled to get tax benefits.

If you have any doubt about professional tax registration, then  Keep in touch with Enterslice or  research team of Enterslice to get the best service in a matter of Professional tax.