Professional tax by state

Professional tax (PT) is a small tax on income from employment, levied by state governments (not the central government). It's modest — usually a few thousand rupees a year — but it does reduce your in-hand salary and is deducted directly from your payslip.

How much is it?

Most states cap professional tax at ₹2,500 per year (the constitutional maximum), commonly deducted as about ₹200/month. That's why the calculator uses a default of ₹2,400/year.

It varies by state

• Levied in states like Maharashtra, Karnataka, West Bengal, Tamil Nadu, Telangana, Gujarat, Andhra Pradesh and Madhya Pradesh — typically up to ₹2,400–₹2,500/year.
• Not levied in several states/UTs including Delhi, Haryana, Uttar Pradesh, Uttarakhand and Rajasthan — where PT is ₹0.

Slabs are usually income-based, so lower earners pay less or nothing. Because it's capped so low, professional tax has only a tiny effect on take-home compared with income tax and EPF.

Is it deductible?

Under the old regime, professional tax paid is deductible from salary income. Under the new regime it is not separately deductible. Either way it's a small line item — see how it fits into your full breakdown in the in-hand salary calculator.