Professional tax is a state level tax which is imposed on income earned by way of profession, trade, calling or employment.

The tax is based on slabs depending upon income of individual who may be self employed or working as employee of an entity. At present the maximum tax that can be imposed is restricted to is Rs. 2500/-.

The registration fee varies by state. Some states charge a nominal fee for registration, while others may impose a higher fee based on business type or income.

Yes, in most states, professional tax can be paid online via the state’s official portal. Businesses and individuals can log in, check the amount due, and make payments conveniently.

Failure to register or pay professional tax can result in penalties, interest, or even prosecution. The penalty amount varies by state, but it usually involves a fine or interest on overdue payments.

Yes, professional tax paid can typically be claimed as a deduction under Section 16 of the Income Tax Act for individuals, while businesses may be able to deduct it as a business expense.