Professional Tax in Assam: Tax Slab, Payment, Due Dates & Applicability

Introduction

It is a state-imposed tax on salaried employees, professionals, and business owners in Assam, with compliance essential in cities such as guwahati, jorhart, dibrugarh, bongaigaon, tinsukia and nagaon. Under the Assam State Tax on Professions, Trades, Callings, and Employment Act, 1947, the Assam Government levies PT. Salaried employees, individuals who are self-employed, and business owners are all subject to the tax. Maximum amount for Assam Professional tax is ₹2,500 per year. In this article we will get a complete understanding over the Professional tax in Assam including its applicability, types, documents, registration and filing process, due date and penalties. Whether you are a business or an individual, Bizfoc will help you navigate the complexities of professional tax, from registration to filing.

Who is Responsible for deducting Professional Tax in Assam?

Below mentioned two categories are responsible for deducting and remitting professional tax in Assam:

Employers: As per the Act’s, any employers (Organizations & Businesses) who have salaried employees in their company or organization must deduct professional tax from the employees salaried every month. This deduction amount is remitted to the State Government (Assam Government). If the employer fails to deduct and remit professional tax to the government, they face penalties.

Self-Employed Individuals: As per the Act’s, any individuals (Professionals, traders, freelancers, business owners, ect) who earns above the prescribed threshold are responsible for ducting Professional tax Assam. For this He/she must register themselves and obtain a PTEC (Professional Tax Enrollment Certificate) first. Professional Tax payments for self-employed persons in Assam are mainly made yearly.

Different Types of Professional Tax Certificate

There are two types of PT certificate. These are as follow:

Professional Tax Enrollment Certificate (PTEC):
The Professional Tax Enrollment Certificate (PTEC) is a registration for business entities like companies , partnership forms , sole proprietors and individual professionals. It is required to pay professional tax for both the business entity and its directors. Form 2 is used for registering as an employer.

Professional Tax Registration Certificate (PTRC):
Professional Tax Registration Certificate commonly known as PTRC, is used by the employer to deduct the professional tax from the respective employee salary and then deposit the same to the authorized state authority. Form1 is used for registering as a self-employed individual.

Exemptions for Professional Tax in Assam Online

As per the Assam PT Act (Assam State Tax on Professions, Trades, Callings, and Employment Act, 1947), only certain individuals are exempted from paying Professional tax:

1. Any person earns less than Rs.10,000/month.
2. Any Senior citizen (above the age of 65).
3. Disabled children’s parents and guardians.
4. Any disabled (at least 40%) person.
5. Armed Forces personnel.
6. Co-operative Society registered or deemed to have been registered under the Assam Co-operative Societies Act, 1947
7. School and organization, teaches disabled students.

Document Required for Professional Tax Registration Assam

The applicant shall produce/provide the following documents along with the application for Professional Tax Registration -

• Photo
• PAN Card (Photocopy)
• Rent Agreement (Photocopy)
• Salary/wage statement of the employees
• Current bank account copy of the employer/organization/company

Stepwise process of Professional Tax Registration and Filing in Assam

Before Professional tax filing, a company or individual must register themselves. The stepwise process is as follow:

Process of Professional Tax Registration in Assam

Step 1: Visit to the “Assam Commercial Taxes Department’s Official Portal”.

Step 2: After selecting the appropriate option fill Form I or Form II and fill accurately with relevant details and information including business or personal details, employee details (only for employers) profession and income.

Step 3: Attach all the required documents (listed above) to complete the registration process.

Step 4: Once the form is completed with appropriate details and documents, you will need to pay registration fees (if applicable).

Step 5: After this form submission, once the government verifies all the details will issue a certificate.

Process of Professional Tax Filing in Assam

Step 1: Log in to the Assam Commercial Taxes Department’s Official Portal using the credentials created during registration.

Step 2: Select the relevant filing period (monthly for employers, annually for self-employed individuals).

Step 3: Enter all the details such as income or employee salary details (for employers) and the corresponding professional tax payable. For employers, the tax will be automatically calculated based on salary slabs.

Step 4: Generate the payment challan and make the payment using online banking or other available payment methods.

Step 5: Submit the return online after completing the payment. Ensure that the return is filed before the due date to avoid penalties.

Professional Tax in Assam Tax slab

The complete tax slab of Professional tax Assam mentioned below:

Professional Tax in Assam Due Dates

The date on which certificate of enrollment obtained determines the professional tax payment deadline. If you received the certificate of enrollment on or before 31st May, required to pay the professional tax till 30th june.

You have one month from the enrollment date to pay the professional tax if you enrolled after May 31st.

Penalties with Respect to Professional Tax in Assam

The below mentioned are the applicable penalties:

Why to Choose Bizfoc?

Choosing Bizfoc for professional tax registration ensures expert guidance through the complex process, compliance with state-specific regulations, and efficient handling of documentation. Their support helps minimize errors and penalties, allowing you to focus on your business with confidence.

Conclusion

The aspect of professional tax in Assam plays a very vital role in the developmental process that takes place as the tax is paid towards the state government. One has the responsibility to deduct the professional tax which is to be done by the employers of any profession or trade towards the respective legislation.

Frequently Asked Questions