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Professional Tax India 2026: State-Wise Rates

Complete list of professional tax rates across all Indian states and Union Territories for FY 2026-27. See which states charge PT, the exact slabs, and which states have no professional tax.

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Professional tax (PT) is a direct tax levied by state governments on salaried employees and professionals. Unlike income tax — which is centrally administered — PT rates differ by state, and about a third of Indian states don’t charge it at all.

The maximum any state can charge is ₹2,500 per year, set by Article 276 of the Constitution.

What is Professional Tax?

PT applies to:

  • Salaried employees
  • Professionals (doctors, lawyers, chartered accountants, engineers, etc.)
  • Business owners and self-employed individuals

For salaried employees, your employer deducts PT from your monthly salary and deposits it to the state government directly. You don’t file PT separately — it’s handled through payroll.

States That Charge Professional Tax

Maharashtra

Monthly SalaryMonthly PT
Up to ₹7,499Nil
₹7,500 – ₹10,000₹175
₹10,001+₹200 (₹300 in February to total ₹2,500/year)

Karnataka

Monthly SalaryMonthly PT
Up to ₹14,999Nil
₹15,000 – ₹24,999₹150
₹25,000+₹200

West Bengal

Monthly SalaryMonthly PT
Up to ₹10,000Nil
₹10,001 – ₹15,000₹110
₹15,001 – ₹25,000₹130
₹25,001 – ₹40,000₹150
₹40,001+₹200

Andhra Pradesh & Telangana

Monthly SalaryMonthly PT
Up to ₹15,000Nil
₹15,001 – ₹20,000₹150
₹20,001+₹200

Tamil Nadu (half-yearly collection)

Monthly SalaryHalf-Yearly PT
Up to ₹21,000Nil
₹21,001 – ₹30,000₹600
₹30,001 – ₹45,000₹846
₹45,001 – ₹60,000₹1,000
₹60,001 – ₹75,000₹1,150
₹75,001+₹1,250

Gujarat

Monthly SalaryMonthly PT
Up to ₹5,999Nil
₹6,000 – ₹8,999₹80
₹9,000 – ₹11,999₹150
₹12,000+₹200

Other States That Charge PT

  • Kerala (half-yearly)
  • Assam
  • Meghalaya
  • Tripura
  • Odisha
  • Jharkhand
  • Bihar
  • Madhya Pradesh
  • Chhattisgarh
  • Sikkim
  • Manipur
  • Mizoram
  • Nagaland

For the exact slabs and current rates for any of these states, use our Professional Tax Calculator.

States and UTs That Do NOT Charge Professional Tax

The following states and Union Territories have no professional tax as of 2026:

  • Delhi
  • Rajasthan
  • Uttarakhand
  • Haryana
  • Uttar Pradesh
  • Punjab
  • Himachal Pradesh
  • Goa
  • Chandigarh
  • Jammu & Kashmir
  • Ladakh
  • Puducherry
  • Andaman & Nicobar Islands
  • Dadra & Nagar Haveli and Daman & Diu
  • Lakshadweep

If you’re employed in any of these states, no PT is deducted from your salary.

Is Professional Tax Deductible from Income Tax?

Yes. Professional tax paid is fully deductible under Section 16(iii) of the Income Tax Act. It reduces your taxable salary income under both the new and old tax regimes — one of the few deductions available in both.

Quick math: gross salary ₹10 lakh, PT paid ₹2,500 — taxable salary becomes ₹9,97,500. The saving is small, but it’s automatic and requires no action on your part.

How PT Affects Take-Home for the Same CTC

₹2,500/year sounds minor. But consider two employees earning ₹12 LPA:

  • Mumbai (Maharashtra): ₹2,500/year PT deducted
  • Delhi: ₹0 PT

The Delhi employee takes home ₹2,500 more per year purely because of their employment location. Multiply this across 30 years of a career — it adds up to ₹75,000.

Our CTC Salary Calculator auto-applies professional tax based on your selected state, so you see the exact impact in your take-home calculation.

When Is PT Deducted?

Most states collect PT monthly through payroll. Exceptions:

  • Tamil Nadu: Half-yearly collection (April–September and October–March)
  • Kerala: Half-yearly collection

What If Your Employer Doesn’t Deduct PT?

If you’re in a state that levies PT and your employer hasn’t been deducting it, you may still be personally liable. In practice, enforcement responsibility rests with the employer — companies without proper multi-state payroll systems are the most common offenders. If you’re unsure, check your payslip and confirm with HR.

Summary

  • Maximum PT in India: ₹2,500/year (constitutional cap under Article 276)
  • States with highest PT: Maharashtra, Karnataka, West Bengal, Tamil Nadu (all cap at ₹2,500)
  • States with no PT: Delhi, Rajasthan, Haryana, Uttar Pradesh, Punjab, and more
  • Tax treatment: Fully deductible under Section 16(iii) — both regimes
  • Collection: Mostly monthly; Tamil Nadu and Kerala collect half-yearly

For quick calculations, use our Professional Tax Calculator. For your full salary breakdown — PT, income tax, EPF, HRA, and more — use our CTC Salary Calculator.

Professional tax rates change when state budgets are announced. This article reflects rates as of April 2026. Always verify with your state government for the most current slabs.