Professional Tax in India: State-by-State Guide
Current as of May 2026. Professional tax (PT) is a state-level tax on income from employment, profession, trade or calling, levied under Article 276 of the Constitution and capped at ₹2,500 per year per person. Each state sets its own slab structure, registration threshold and filing cycle, so a multi-state employer pays PT under several different schedules at once. PT is deductible under Section 16(iii) in the old tax regime only; the new regime adds it back to taxable salary.
Which states levy professional tax
About 17 states and union territories levy PT, including Maharashtra, Karnataka, West Bengal, Tamil Nadu, Andhra Pradesh, Telangana, Gujarat, Madhya Pradesh, Kerala, Odisha, Assam, Bihar and Jharkhand. States that do not levy PT include Delhi, Haryana, Uttar Pradesh, Uttarakhand, Rajasthan and Punjab. Applicability follows the employee work location, not the registered office, so a Delhi company with one employee in Bengaluru registers for PT in Karnataka.
State slabs at a glance
- Professional tax Karnataka: Up to ₹25,000 ₹0; Above ₹25,000 ₹200
- Professional tax Maharashtra: Up to ₹7,500 (male) / ₹25,000 (female) ₹0; ₹7,501 to ₹10,000 (male) ₹175
- Professional tax West Bengal: Up to ₹10,000 ₹0; ₹10,001 to ₹15,000 ₹110
- Professional tax Tamil Nadu: Up to ₹21,000 ₹0; ₹21,001 to ₹30,000 ₹135
- Professional tax Gujarat: Up to ₹12,000 ₹0; Above ₹12,000 ₹200
- Professional tax Andhra Pradesh: Up to ₹15,000 ₹0; ₹15,001 to ₹20,000 ₹150
- Professional tax Telangana: Up to ₹15,000 ₹0; ₹15,001 to ₹20,000 ₹150
- Professional tax Madhya Pradesh: Up to ₹18,750 ₹0; ₹18,751 to ₹25,000 ₹125
The ₹2,500 constitutional cap
Article 276(2) caps PT at ₹2,500 per person per year. States structure their slabs to fit under it; most reach the ceiling only at higher salary bands. Maharashtra and Madhya Pradesh use a higher February figure so the annual total lands exactly on ₹2,500.