Hi can someone help me understand who is eligible for professional tax?
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Hey Pooja
The following are subject to professional tax:
- An individual
- Hindu Undivided Family (HUF)
- Whether or whether it is incorporated by a company, firm, cooperative society, association of people, or group of people
The company owner is in charge of withholding this tax from their staff. They are also accountable for paying the appropriate government agency with their collected money. In addition, depending on the kind of company, tax payments may be made monthly, semi-annually, or yearly.
After the fiscal year, professional tax returns must also be submitted to the tax authorities. Professional tax returns must be filed in the pre-described format and within the allotted time frame (with tax payment documentation). Furthermore, a Professional Tax return filing would be ruled invalid or incomplete if the tax payment documentation is not included.
If you would like to read more about Professional Tax, visit PATTIC - Professional Tax.
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Individual, HUF, firm, company are liable for PT. From an organization standpoint, the employees PT will be collected and deposited by the organization. Even the organization will be liable to PT. Please see, exemptions, rates and timelines in respective state law.
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Thank you @Sharad, this was helpful!