Professional Tax Deduction - HQ in Bangalore, people employed PAN India

divya_mishra_90
Hi, I have one query regarding the deduction of Professional Tax. Our company headquarters are in Bangalore, but we have people employed PAN India. My question here is, that suppose a person is employed in Bikaner(For Rajasthan PT is 0),so will he be eligible for PT deduction as the company is registered in Bangalore or the rules will be applied as per his working location. Please help me out in this.
If possible,attach supporting documents also.
Prashant B Ingawale
If the payroll is processing only from one area then you can pay PT asper karnataka State Government
consultme
You have to consider the Nature of job, role and permanent work location . If your employees are working in a specific location like Chennai,Hyderabad, Kochi, Delhi etc. permanently from your branch office in those locations, as per prevailing rules,you are supposed to get registered under Shops and Establishment Rules of concerned states. This further clarifies that these guys are working in a Corporation/Municipality areas of concerned states and not Bangalore. This leads to payment of PT in respective states and not in Karnataka.
However if your employee is working like that of a pre-sales officer,onsite engineer, consultant who travels across cities based on customer requirement and permanent work location is Bangalore, then PT is payable in Bangalore only.
Srinath Sai Ram
The Employee will be governed by the prevailing Acts,Rules, Regulations of his Place of Work.The Location of Company HEAD QURTERS has no relevance in determining Applicability of Profession Tax
SP VELLAYAPPAN
As rightly said the Professional Tax is location specific. It has to be paid based on the slab rate applicable to the working location. It varies between Corporations, Municipality,Town Panjayat Etc., The deducting authorities has to adhere the different slabs.
Divyaa27
Is PT deducted as per the working location of the employee or the Hq of the organization?
Srinath Sai Ram
Dear Anamika, Application of PT will be guided by Employees Place of Work/Posting.
Application of PT has nothing to do with Organization head Quarters/Registered Office etc
PT is State specific Legislation & PT deducted will be remitted to respective sate
Shrikant_pra
All orgs that have PAN in India employees face this question. If an employee is resident / placed permanently in a state, then PT has to be deducted according to state & location. Now there are some states where registration under PT requires Shop Act RC (or factory license). The org may not have office in the state, but without shops act RC registration under shops act is not possible in some states. In such state you need to find an org having shops act RC in that state. Explain difficulty of PT RC. Get one to agree to share premises for the purpose & enter into lease agreement. Now you legally have office you may apply for Shops Act RC & eventually PT RC in states where it is needed.
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