Idea On Professional Tax - Xls Download

asit kumar santra
Dear Sir,
On a Full & Final Settlement one employee has earned as per attachment please find.

Which is the actual Professional Tax for this employee please ?
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manjunathhegde
Prof Tax Will be 200/-
(PT includes pay or wages, DA, Arrears, Bonus, perquisites and profits in lieu of Salary)
deenajag
Dear Mr Santra,

PT Rates are different for every state. I believe you are located in Bengal and hence you wish to have the PT for that state which is 200 per month above Rs.40000/-

. As a general thumb rule, as per your example PT, will be applicable on Basic + OT + Notice Pay+ retrenchment + Other Allowance. However to be on the safe side, it better not to make any deductions from the retrenchment pay.

For your reference, you may see the definition of Salary as given in State TAX on Profession, Trade , Calling. The term salary is defined as follows ""salary" or "wage" includes pay or wages, dearness allowance and all other remunerations received by any person on regular basis, whether payable in cash or kind, and also includes perquisites and profits in lieu of salary, as defined in section 17 of the Income-tax Act, 1961, but does not include bonus in any form, and on any account or gratuity"

As you see it also refers to Sec 17 of IT Act for profits in lieu of salary wherein as per Sec 17 (3) Profit in lieu of salary includes "

(i) the amount of any compensation due to or received by an assesse from his employer or former employer at or in connection with the termination of his employment or the modification of the terms and conditions relating thereto"

Request other esteemed members to share their point of view.

Regards,

Deena Jagasia
gauravsoni.0232@gmail.com
PROFESSIONAL TAX SLAB OF WEST BENGAL
upto Rs. 1500/- = nil
Rs. 1501/- to 2000/- = Rs. 18/-
Rs. 2001 to 3000/- = Rs. 25/-
Rs. 3001 to 5000/- = Rs. 30/-
Rs. 5001 to 6000/- = Rs. 40/-
Rs. 6001 to 7000/- = Rs. 45/-
Rs. 7001 to 8000/- = Rs. 50/-
Rs. 8001 to 9000/- = Rs. 90/-
Rs. 9001 to 15000/- = Rs. 110/-
Rs. 15001 to 25000/- = Rs. 130/-
Rs. 25001 to 40000/- = Rs. 150/-
Rs. 40001/- = Rs. 200/-
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