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PROFESSIONAL TAX

Applicable To Banks

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191 views13 pages

PROFESSIONAL TAX

Applicable To Banks

Uploaded by

cascgosmanabad
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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PROFESSION

AL TAX
COMPLIANCE
S FOR UCB’S
INTRODUCTION
Profession Tax is a tax levied by the
Maharashtra state government on business
entities, individuals earning an income
through employment, profession, trade, or
business or self employed individuals. It is
governed by the Maharashtra State Tax on
Professions, Trades, Callings, and
Employments Act, 1975.

The Profession Tax 1975 has been


categorized in 2 parts that is as follows: -

1.PTRC (Profession Tax Registration


ELIGIBILIT Who are the Professional Taxpayers?
Y The following are the individuals who are liable
to pay Professional Tax:

• All Salary , Wages holder or its kind.


• Members of HUFs (Hindu Undivided Families)
• Earning individuals residing within state
boundaries
• All association of a body or person, public or
private limited company, any cooperative
society, and others .
• Each partner of partnership firm (PTEC).
• In short every individual needs to get enrolled
for profession tax based on thier eligiblity.
Monthly Gross Salary PTRC PAYABLE

Nil (For male


RS 0 TO Rs 7,500
& Female)

PTRC SLAB Rs 7,501 to Rs


Rs 175 per
month (For
10,000
male)

For Male Rs 200 per


Rs.10,001 & month except
for Feb
Above & For
Rs 300 for the
Female Feb month
Rs.25,001 &
Above
The Due date for the PTRC Return
generally after the registration is
mandatorily remains monthly and due date
for the monthly PTRC return is last date of

DUE that particular month to which the return


is being filled.

DATES For Ex. The monthly due date for the April
Similarly if the annual tax liability of the
FOR 2025 will
entitiy be on or
remains
periodicity
before
below 30th
Rs.1 LakhApril
then2025.
of the return filling becomes
the

PTRC
.

annual and due date for the annual PTRC


return is 31st March of that relevant
RETUR financial year.

N
DUE
Any guess why here the word PTEC payment
has been used instead of PTEC return?

DATES Well ! The PTEC is not a return it is type of


payment that an employer or say eligible
FOR entities needs to be done annuallly on or
before June 30th after the start of that
PTEC relevant financial year.

PAYME For Eg. The PTEC liability payment of the


upcoming FY 2025-26 should be paid on or

NT before 30th June 2025.


LATE FEES & INTEREST FOR NON COMPLIANCE OF
PROFESSION TAX

1. An employer in default shall be liable to pay simple interest of


the amount of the tax payable for each month for the period, for
which the tax remains unpaid
• That is 1.25% per month up to one month
• 1.5% per month for 2nd & 3rd month
• 2% per month above 3 months

2. Late fee for delay in filing return


Rs.200/- if return is filed within 30 days of the due date
Rs.1000/- if delay is more than 30 days of the due date
EXEMPTION FROM PROFESSIONAL TAX

1.Members of armed forces of Union serving in the State.


2.Badli workers in the textile industry.
3.Any person suffering from a permanent physical disability.
4.Women exclusively engaged as agents under the Mahila
Pradhan Kshetriya Bachat Gat Yojana of Directorate of Small
Savings.
5.Any person and parents or guardians of such person who is
suffering from mental retardation or physical disability.
6.Persons having completed age of 65 years.
7.Partnership firms and HUFs not for PTEC (But each partner of
a partnership firm and each coparcener of HUF are liable for
PT ACT COMPLIANCES APPLICABLE TO URBAN CO-OP BANKS
UNDER SCHEDULE SEC (1). OF PTECACT 1975.
SH. CLASS OF CATEGORIES RATE OF TAX
SEC.

2,500 /
2 (e) Commission Agents, including pigmy agents and other.
annum

Directors of the company registered under companies Act 2013 and


director of banks registered and notified under banking regulation
act 1949 under section 10.
2,500 /
5 (a)
Provided that the company registered office should not be outside annum
maharashtra and the said director should not be residing outside
maharashtra then in this case the PT will not be applicable.

16 Banking Companies, as defined in the Banking Regulation Act, 2,500 /


(a) 1949 (10 of 1949). annum

All Persons engaged in business and profession by a way of


POINTS TO REMEMBER FOR PT COMPLIANCES
FOR
Salary and Wages means UCB’S
including all basic wages, dearness
allowance and all other emoluments including perquisites
and profits I lieu of salary received by any person on regular
basis except bonus and gratuity. U/s (4). In Short the gross
payable salary of that particular period.
For UCB’s directors are liable to PTRC if the director is under
consideration of salary and if director is under the
remuneration then a seperate PTEC enrollment should be
obtained.
UCB’s should consider the commission agents, recovery
agents as a part of liability and should discharge the liability
considering on behalf of employer.
ENTRIES FOR THE PROFESSIONAL TAX TO BE MADE
 1: Professional Tax of employee deducted and paid to
department
Employee having salary of Rs.40,000/- per month at that time
Professional tax deduction and
payment entry are as follows :

1) Salary Account Debit Rs. 40,000/-


To Professional Tax Payable A/C Rs.200/-
To Bank Account Credit Rs.39,800/-
( Being salary paid for the month........)

2) Professional Tax Payable A/C Debit Rs.200/-


To Bank Account Rs .200/-
( Being professional tax of employee paid )

 2. Professional tax paid of bank paid for the year Rs.


2,500/-
Any Questions?
CA Mosin Shaikh
Email:-
[email protected]

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