If you're a salaried employee in India, you may have noticed a small deduction labelled "PT" or "professional tax" on your payslip. It's a state-level tax that often goes unexplained. Here's what it is, how much it can be, and how it differs across states.
What is professional tax?
Professional tax is a tax levied by many state governments on salaried employees, professionals and traders. Your employer deducts it from your salary and deposits it with the state. Despite the name, it has nothing to do with your profession's prestige — it applies to almost all earners in states that levy it.
Importantly, it is not the same as income tax, which is a central levy. Professional tax is also generally deductible from your taxable income under the old regime.
The maximum limit: Rs 2,500 per year
By constitutional limit, professional tax cannot exceed ₹2,500 per year in any state. Most states structure their slabs so higher earners pay up to this cap, while low earners pay nothing.
State-wise slabs (illustrative)
Slabs differ by state; here are some common examples for reference:
| State | Typical monthly P-tax | Annual maximum |
|---|---|---|
| Maharashtra (male) | ₹0 up to ₹7,500; ₹175 for ₹7,501–10,000; ₹200 above (₹300 in February) | ₹2,500 |
| Maharashtra (female) | Nil up to ₹25,000; ₹200/month above | ₹2,400 |
| Karnataka | ₹200/month (₹300 in February) | ₹2,400 |
| West Bengal | Slab-based on monthly salary | ₹2,400 |
| Tamil Nadu | Half-yearly slab basis | ₹2,500 |
Note: Karnataka revised its professional tax slabs with effect from 1 April 2025, so always check the current notification.
Which states don't levy professional tax?
Several states and union territories do not charge professional tax at all — including Delhi, Haryana, Uttar Pradesh, Rajasthan and others. If you work in one of these, you won't see a PT deduction.
Who is exempt?
Exemptions vary by state but often include senior citizens, parents of children with disabilities, and certain low-income earners. Check your state's commercial tax department for the exact list.
Calculate yours instantly
Use our Professional Tax Calculator to estimate the PT deducted from your salary based on your state and income.
Disclaimer: Professional tax slabs are revised periodically by each state. Confirm the current rates with your state's commercial tax department before relying on these figures.