Understanding Salary Slips: How Does Leave Without Pay Affect Your Profession Tax?

Dear All,

I want to know about the salary slip. Is leave without pay treated as a deduction from the salary? I am aware of the different slabs of Profession Tax but want to know how to calculate Profession tax, i.e., on the total salary of the employee in that month or on total earnings minus total deductions?

Waiting for a reply.

Thank you! - Pinky

Hi,

The LOP is deducted from the salary. As regards to Professional Tax, this differs from State to State. However, the calculation is based on the salary prior to deductions.

Varsh

Hi,

I have finished using Tally 7.2, and I am currently working in a private company. However, I do not have much experience in accounting. Could anyone please help me understand how to calculate salary in Tally? Additionally, I would appreciate some guidance on how to maintain accounts in Tally.

Thank you.

Madam Pinky,

In Maharashtra, PT is calculated on gross salary, which means wages before deductions.

Regards