Professional Tax Registration

Professional Tax Registration is a mandatory compliance requirement levied by state governments in India on individuals earning income through employment or various professions. This direct tax ensures that businesses and self-employed professionals contribute to state revenue while maintaining legal adherence. Employers are typically responsible for deducting professional tax from their employees’ salaries and remitting it to the state authority, necessitating a Professional Tax Registration Certificate (PTRC). Self-employed individuals and business owners, on the other hand, obtain a Professional Tax Enrolment Certificate (PTEC) and directly pay their own professional tax. Timely registration and payment are crucial to avoid penalties and ensure smooth business operations.