Taxation

All you need to know about Tripura Professional Tax Registration

Individuals drawing a regular income from salary, profession or engaged in trade or business has to pay professional tax. The state government sets a tax slab rate based on which professional tax is calculated. In this article, we will look into the procedure for enrolment for Tripura professional tax.

What is Tripura professional tax?

Tripura professional tax is a tax levied on the persons salaried or engaged in profession or trade. The maximum amount of Rs. 2500 can be levied as professional tax by the concerned authority in the state of Tripura.

The professional tax is levied based on the tax slab rates by the state government.

The employer deducts professional taxes^[1] from the employee’s salary, and the money deducted must be deposited to the respective government account within 30 days of deduction along with proof.

A person who is liable to pay professional tax must be registered within 90 days from the engagement in any trade, profession, employment and calling.

Who are exempted from paying Tripura professional tax?

The following people are exempted from paying professional tax:

• A person with a permanent physical disability
• Senior citizens above 65 years
• Parents or guardians of physically disabled children
• Parents or guardians of mentally disabled children

What is the tax slab rate for Tripura professional tax?

The tax slab rate for professional tax are:

Monthly Gross Income from	Amount	Applies to
Less than Rs. 7500	Rs. 150 per month	Applies to all the employees
Ranges between Rs. 7501 to Rs. 15,000		Applies to all the employees
More than Rs. 15,000	Rs. 208 per month	Applies to all the employees
N / A	Rs 2500 p.a	Applies to all the directors
N / A	Rs 2500 p.a	Applies to the employer or establishment registered under the Tripura shops & establishments act, 1975 (other than directors)

 

What are the documents required for the registration of professional tax in Tripura?

The documents that are required to register for professional tax are in the tabular form below.

S. No.	Documents required
1	MoA & AoA
2	Incorporation certificate
3	PAN card
4	Lease agreement
5	Shops & Establishment Registration Certificate or Trade License Copy

What is the application procedure for Tripura professional tax?

To register for a professional tax, there are 2 forms:

• Form – I for an employer
• Form – II for a self – employed person

The steps to be followed for enrolment in professional tax are:

• Visit the official website of the concerned department of state.
• Click on new registration and then enter the applicant’s details. In case of details of an individual, choose an individual option or else choose others.
• Enter the OTP received on the mobile number.
• Then enter the details of the establishment, whether it is employment, profession, trade or calling.
• Then select the category & subcategory.
• Before the submission, the applicant must review the application.
• Click on submit and then enter the OTP received on the mobile number.
• Then the taxpayer will receive ARN that can be used for tracking the application status.

What is the due date & penalty for Tripura professional tax?

Due Date

The due date to pay professional tax is the last day of the month depicting the salaries paid by the employer in the preceding month of the payment or deduction.

Penalty

The penalty to be imposed in case of:

• Delay in obtaining the registration certificate, a penalty of Rs. 5 per day till the delay continues.
• Delay in payment of professional tax, a penalty of 10% will be imposed on the taxation amount.
• Late filings of returns, a penalty of Rs. 300 per return be imposed.

Conclusion

The amount of Tripura professional tax is calculated based on the tax slab rate set by the respective state government. The procedure for enrollment and payment of professional tax in the state of Tripura is mentioned in the article.

Read our article:All you need to know about Telangana Professional Tax Registration