Why Tax Registration is Essential

• Legal Compliance: Fulfill legal requirements and avoid penalties for non-compliance.
• Business Legitimacy: Establish your business’s legitimacy and credibility in the market.
• Tax Benefits: Access eligible tax benefits, deductions, and credits.
• Operational Efficiency: Streamline your tax management and reporting processes.

Professional Tax Applicability

This tax is levied on all kinds of professions, trades, and employment. Profession tax is applicable to the following classes of persons:

• An Individual
• A Hindu Undivided Family (HUF)
• A Company/Firm/Co-operative Society/Association of persons or a body of individuals, whether incorporated or not

The professionals earning an income from salary or other practices such as a lawyer, teachers, doctors, chartered accountants, etc. are required to pay professional tax.

Types of Professional Tax Certificates

Regarding professional tax, there are different types of profession tax payment certificates that individuals and businesses may need to obtain. Here are the key types of profession tax payment certificate:

1. Professional Tax Registration Certificate: This profession tax payment certificate is obtained by individuals and businesses to register themselves for professional tax. It proves compliance with professional tax regulations and is essential for conducting business or practising a profession
2. Professional Tax Enrolment Certificate: In some cases, employers may require an additional enrolment certificate and the registration certificate. This profession tax payment certificate confirms the employer’s enrollment for professional tax purposes. It is necessary to deduct professional tax from employee salaries
3. Professional Tax Exemption Certificate: Certain individuals or categories of professionals may be eligible for exemptions from professional tax. The exemption certificate is obtained to establish their eligibility for exemption and avoid the obligation of paying professional tax.

Exemptions for Payment of Professional Tax

There are exemptions provided for certain individuals to pay Professional Tax under the Professional Tax Rules. The following individuals are exempted to pay Professional Tax:

• Parents of children with permanent disability or mental disability
• Members of the forces as defined in the Army Act, 1950, the Air Force Act, 1950, and the Navy Act, 1957 including members of auxiliary forces or reservists, serving in the State.
• Badli workers in the textile industry
• An individual suffering from a permanent physical disability (including blindness)
• Women exclusively engaged as agents under the Mahila Pradhan Kshetriya Bachat Yojana or Director of Small Savings.
• Parents or guardians of individuals suffering from a mental disability.
• Individuals, above 65 years of age

Types of Tax Registration We Offer

1. Goods and Services Tax (GST) Registration: Register your business under GST to manage and comply with indirect tax obligations.
2. Permanent Account Number (PAN) Registration: Obtain a PAN for your business, essential for income tax purposes and various financial transactions.
3. Tax Deduction and Collection Account Number (TAN) Registration: Register for TAN if your business is required to deduct or collect tax at source.
4. Income Tax Registration: Ensure compliance with income tax regulations for individual or corporate taxpayers.
5. Professional Tax Registration: Register for professional tax, where applicable, to meet state-specific tax obligations for professionals and businesses.

Documents required for Professional Tax Registration

• Certificate of Incorporation / LLP Agreement
• MOA and AOA
• PAN Card of Company/LLP/Proprietor/Owner/Director
• NOC from the landlord, where the business is situated
• Passport size photos of Proprietor/Owner/Director
• Address and identity proof of Proprietor/Owner/Director
• Details of employees and salaries paid
• Additional registrations and licenses

Procedure for Obtaining Professional Tax Registration Certificate

The process for fulfilling professional tax obligations varies by state. Additionally, filing deadlines for these taxes also differ depending on state regulations. Professionals/Employers required to pay professional taxes should follow the procedures outlined below.

• The applicant must file the application form and the requisite documents.
• The applicant needs to submit the Application with the necessary documents to the concerned state government. A copy of the same should also be submitted to the tax department.
• On receipt of an application, the tax authority shall scrutinize the application to ensure that all the information is correct.
• Issue of Professional Tax Certificate: The authority will issue the registration certificate after successfully scrutinizing all the documents.

Our Tax Registration Services

1. Consultation and Assessment: Evaluate your business needs and determine the appropriate tax registrations required.
2. Document Preparation: Assist in gathering and preparing all necessary documents for tax registration.
3. Application Submission: Complete and submit registration applications to the relevant tax authorities on your behalf.
4. Follow-Up and Compliance: Monitor the status of your application and ensure successful registration and compliance.
5. Ongoing Support: Provide continued support for any tax-related queries and updates on regulatory changes.

Benefits of Professional Tax Registration

The benefits of tax registration for professionals are given below.

• It is simple to comply with the Professional Tax Compliance, which results in a smooth registration process with minimum restrictions.
• It is compulsory to pay Professional tax as per the law. Hence, the timely payment of Professional tax can help avoid penalties and any punitive action against the Employer or a self-employed person.
• Professional Tax Compliance is simple, which can enable a smooth and hassle-free Registration Process.
• The Professional Tax acts as a revenue source for the state governments that helps the government to implement schemes for the various welfare and development of the region.
• The Employer or the self-employed person can claim a deduction on the previously paid professional tax.