What is Professional Tax?

Professional tax (PT) is a state-level tax on employment. It is deducted by the employer from your salary and paid to the state government. Not all states have it; where applicable, it is usually a few hundred rupees per month (subject to a yearly cap).

Which states have professional tax?

States like Maharashtra, Karnataka, West Bengal, Tamil Nadu, Gujarat, and others levy PT. The rate and cap vary by state. Some states have no PT.

How much is professional tax?

Typically ₹200–₹300 per month per person, with an annual ceiling (e.g. ₹2,500). Exact amount depends on your state and salary. It appears as “P.Tax” or “Professional Tax” on your salary slip.

PT and in-hand salary

PT is deducted after gross salary and other deductions. So it reduces your in-hand. A salary calculator that supports your state will include PT and show correct take-home.