Persons exempt from Payment of Profession Tax

Exemption from payment of Profession Tax –

Following classes of persons are exempted from payment of Profession Tax –

  1. Members of the forces as defined in the Army Act, 1950 or the Air Force Act, 1950 and the Navy Act, 1957 including members of auxillary forces or reservists, serving in the state.
  2. The badli workers in the textile industry.
  3. Any person suffering from a permanent physical disability (including blindness)
  4. Women exclusively engaged as agent under the Mahila Pradhan Kshetriya Bachat Yojna or Director of Small Savings.
  5. Parents or guardian of any person who is suffering from mental retardation
  6. Persons who have completed the age of 65 years (w.e.f. 1.4.1995)
  7. Parents or guardians of a child suffering from a physical disability as specified in clause (C) w.e.f 1.10.1996


So, in case you are above 65 years of age, contact your Profession Tax office alongwith an application stating that you are above 65 years of age & carry a proof of your age- ex: Pan Card or Voter’s ID card.

In the store- It is heard that 01/04/2008 onwards, Profession tax office will be handling Service tax as well!

13 comments on “Persons exempt from Payment of Profession Tax

  1. We, the members of the United Education Association are in possession of the final accounts of the following Educaitional socieites filed with the Registrar of Societies, Sahakari Mahal, mangalore.

    1. Sisters of Charity education Society, jeppu, Mangalore
    2. Apostolic Carmel educational Society, Mangalore
    3. Bethany Educaitonal Society Mangalore

    It is shocking that these societies even after having 20-30 units are paying professional tax of Just Rs. 2500 to the Government when they have to pay professional tax for each branch. The professional tax Act says that every society and every branch of the society has to pay professional tax. These societies have in our opinion defrauded revenue to the government to the extent of atleast Rs. 35 laks. These societies have admitted in their return with the registrar of societies that they have branches. These societies have shown these branches as units just to avoid tax. As you know, unit and branch means the same. How can a society make take two different positions with two government departments in the same state. With societies department it says they have 30 units, 50 units and with profession tax department they pay only 2500.The Karnataka state budget of 2009-10 exempted branches of educational societies only from 2009 -10. That means before 2009-10 these societies had to pay tax for every primary school, middle school, higher primary school, high school. That means before 2009-10 every branch of education society institution had to pay profession tax. Explanation IV in the Profession tax rate schedule says Notwithstanding anything contained in the Schedule, every branch of any self-employed assessee enumerated in any item of the Schedule shall be deemed to be a separate assessee for the purpose of levy of profession tax specified in the Schedule. If this is the rules then how come these societies are paying only Rs. 2500 ?we also have a copy of clarification of Addl. Commissioner of Commercial taxes in the case of Shree Siddhartha educational society which says that every branch of society has to pay profession tax. When these societies are saying openly in their filing acocunts to registrar that they have branches and are just changing their name to units just to avoid profession tax, why is the department not taking any action against them. The society act there is no definition for unit. But still the society files with registrar as units when actually this units mean branches. We therefore ask you to call the societies and ask for a copy of the accounts filed with the registrar of societies and decide by yourself whether the societies have cheated the government or not. These societies charge heavy fees from students and then cheat the government by just paying profession tax of Rs. 2500/-

  2. I am ex-serviceman re-employed in central government office located in karnataka state. Am I exempted from paying professional tax. Please reply.

  3. Dear Akshay

    Do we have an documentation proof for the following:
    Exemption from payment of Profession Tax –

    Following classes of persons are exempted from payment of Profession Tax –

    Members of the forces as defined in the Army Act, 1950 or the Air Force Act, 1950 and the Navy Act, 1957 including members of auxillary forces or reservists, serving in the state.

    If any than please publish, many people like me will be benefited by the same.

    Thank you

    Priyaranjan

  4. IS THERE ANY GOI ISSUED FOR EXEMPTION OF PROFESSIONAL TAX EXEMPTION FOR EXSERVICEMAN WORKING IN CENTRAL GOVT. IS SO PLS GIVE DETAILS

  5. It is not clear whether Ex-Servicemen on re-employment in a Private/PSU is exempted from paying professional tax in Maharashtra ?? Pls clarify. Rgds.

  6. I am working as a Librarian in Jawahar Navodaya Vidyalaya,Mysuru, Karnataka.Having only female child studiying in 10th std . She is hearing impaired. Am i eligible for professional tax exemption. Clarify please.With regards.

  7. I am workng as agent under the Mahila Pradhan Kshetriya Bachat Yojna from last 12 years.So I am exmpted from proffesional Tax.But from last 2 years i am working as Mutual fund distributor (agent/Advisor).do I pay proffesional Tax or not .please guide me.___Mrs.Sneha Samir Dalvi

  8. i am WORKING IN POSTAL DEPT CENTRAL GOVT one of my son suffering from cerebral policy (CP) permanently physically handicapped is it any GOVT ORDERS For professional tax exemption please intimate me.

  9. I am a differently abled person with more than 40% permanent disability certified by the Medical Board with Civil Surgeon, Nagpur. Earlier I was posted at Nagpur. Now I am posted in Gujarat and so my Office says that it will levy profession tax of Rs 200/- per month. Is it applicable to me.

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