Understanding Professional Tax Deductions for Mid-Month Employee Departures: What Should Be Included?

Sanket Kale

I would like to know if, when an employee leaves the organization in the middle of the month, I have to make his F&F settlement. Do I have to deduct his professional tax on only salary components or inclusive of bonus & leave encashment as well? Please let me know what the right method is so that I can do justice to the leaving employee in terms of deductions.

Regards,
Sanket Kale
14th March 2011 From India, Vadodara

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Madhu.T.K

4526

If during the period or at the time of full and final settlement he is paid bonus and leave encashment, that should also be included in profession tax calculation. Regards, Madhu.T.K
14th March 2011 From India, Kannur

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mookoneri

Hello ! Salary payable till mid month is more than 10K, applicable PT will apply . Additional PT on leave en-cashment is not required
29th October 2013 From India, Bangalore

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Related Files & Downloads Shared By Members

 Professional tax hyderabad.doc

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Understanding Professional Tax Deductions for Mid-Month Employee Departures: What Should Be Included?

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