Question
I have heard professional tax can never cross Rs 2,500 in a year. Is that true everywhere in India?
Answer
Yes: no state can charge more than Rs 2,500 in professional tax per person in a financial year. This ceiling is fixed by Article 276 of the Constitution of India. So however high your salary, your annual professional tax stops at Rs 2,500, usually collected as Rs 200 every month with Rs 300 in one month (often February). The cap applies per person, per state. Several states levy less than the full Rs 2,500. Confirm your monthly and yearly figure with our professional tax calculator.
This answer is general information based on the law as it stood when written and is not professional advice on your specific situation. Verify the current position and consult a qualified professional before acting. See our disclaimer.