How professional tax works
Professional tax is a state levy on income from employment and professions, capped by Article 276 of the Constitution at ₹2,500 per person per year. Employers must register, deduct the tax from salaries according to the slab for the state where the employee works, and remit it monthly, quarterly or annually depending on the state. Several states, including Delhi, Haryana, Uttar Pradesh, Rajasthan and Uttarakhand, do not levy it at all. Tamil Nadu and Kerala collect it through local bodies on a half-yearly basis with slabs that vary between corporations and municipalities, so those states are not included in the automatic calculation here.
Some states deduct a higher amount in a specific month to reach the annual total. Maharashtra deducts ₹300 in February instead of ₹200 so the year adds up to ₹2,500, and Karnataka follows the same pattern. The calculator shows this as a separate February figure where it applies.
- Tax is based on the work location, not the head office state
- Slabs apply to monthly salary in most states; Madhya Pradesh publishes annual slabs converted to monthly amounts
- Women in Maharashtra are exempt up to ₹25,000 per month
- Annual cap of ₹2,500 applies in every state
Slabs used by this calculator
Maharashtra: nil up to ₹7,500; ₹175 for ₹7,501 to ₹10,000; ₹200 above ₹10,000 (₹300 in February). Karnataka: nil up to ₹25,000; ₹200 above (₹300 in February). Telangana and Andhra Pradesh: nil up to ₹15,000; ₹150 for ₹15,001 to ₹20,000; ₹200 above ₹20,000. West Bengal: nil up to ₹10,000; ₹110 for ₹10,001 to ₹15,000; ₹130 for ₹15,001 to ₹25,000; ₹150 for ₹25,001 to ₹40,000; ₹200 above ₹40,000. Gujarat: nil up to ₹12,000; ₹200 above. Madhya Pradesh: nil up to ₹18,750; ₹125 for ₹18,751 to ₹25,000; ₹167 for ₹25,001 to ₹33,333; ₹208 above (₹212 in the final month). These reflect the schedules in force in September 2026; state governments revise them, so verify before the first payroll of each financial year.