If we pay the bonus amount to an employee at the time of his full and final settlement, will the bonus amount be calculated using the Gross salary for the West Bengal Professional Tax slab? Kindly guide.
Regards
Tarak Shaw
From India, Kolkata
4Regards
Tarak Shaw
From India, Kolkata
Bonus shall be calculated on such salary subject to following conditions.
1. If, in respect of the the employment minimum wages has been notified by the government, the same shall be taken as bonus qualifying salary. From this amount days for which no salary was given due to leave without pay shall be proportionately deducted.
2. If there exists no such minimum wages then Rs 7000 shall be taken as the base for computation of bonus.
From India, Kannur
1. If, in respect of the the employment minimum wages has been notified by the government, the same shall be taken as bonus qualifying salary. From this amount days for which no salary was given due to leave without pay shall be proportionately deducted.
2. If there exists no such minimum wages then Rs 7000 shall be taken as the base for computation of bonus.
From India, Kannur
There is no relation between bonus calculation and gross salary of Professional tax slab, West Bengal.
Bonus is a deferred wages and bonus for the year 2024-25 will be paid on 2025 after April and within 8 months of completion of financial accounting year.
Based on bonus % calculation of the organization considering Set ON, Set Off etc. after determining the % of Bonus - it will be paid to the concerned employee.
S K Bandyopadhyay ( WB, Howrah)
CEO-USD HR Solutions
+91 98310 81531
www.usdhrs.in
skb@usdhrs.in
From India, New Delhi
Bonus is a deferred wages and bonus for the year 2024-25 will be paid on 2025 after April and within 8 months of completion of financial accounting year.
Based on bonus % calculation of the organization considering Set ON, Set Off etc. after determining the % of Bonus - it will be paid to the concerned employee.
S K Bandyopadhyay ( WB, Howrah)
CEO-USD HR Solutions
+91 98310 81531
www.usdhrs.in
skb@usdhrs.in
From India, New Delhi
Pl.go thru' the definitions provided in the act:
THE WEST BENGAL STATE TAX ON PROFESSIONS, TRADES,
CALLINGS AND EMPLOYMENTS ACT, 1979
(West Bengal Act VI of 1979) [31st March, 1979]
xxxxx
2. Definitions.- In this Act, unless the context otherwise requires, -
xxxxx
(i) "profession tax" means the tax on professions, trades, callings and employments levied
under this Act;
(j) "salary" or "wage" includes pay, dearness allowance and all.other remunerations
received by any person on regular basis, whether payable in cash or in kind, and also
includes perquisites, and profits in lieu of salary, as defined in section 17 ofthe Incometax
Act, 1961 (43 of 1961);
Explanation.-For the purposes of this clause or clause (c), the expression "on regular
basis" shall mean for a period exceeding 180 days in a year.
(k) "tax" means the profession tax;
(l) "year" means a financial year.
From India, Bangalore
THE WEST BENGAL STATE TAX ON PROFESSIONS, TRADES,
CALLINGS AND EMPLOYMENTS ACT, 1979
(West Bengal Act VI of 1979) [31st March, 1979]
xxxxx
2. Definitions.- In this Act, unless the context otherwise requires, -
xxxxx
(i) "profession tax" means the tax on professions, trades, callings and employments levied
under this Act;
(j) "salary" or "wage" includes pay, dearness allowance and all.other remunerations
received by any person on regular basis, whether payable in cash or in kind, and also
includes perquisites, and profits in lieu of salary, as defined in section 17 ofthe Incometax
Act, 1961 (43 of 1961);
Explanation.-For the purposes of this clause or clause (c), the expression "on regular
basis" shall mean for a period exceeding 180 days in a year.
(k) "tax" means the profession tax;
(l) "year" means a financial year.
From India, Bangalore
I think Mr. Shaw's question is whether bonus is to be included in computing the slabs for profession tax.
If you are paying Bonus correct once a year, it will not be included in slabs for deciding PT.
But if you are paying bonus monthly, then it will be counted in PT slabs
From India, Mumbai
If you are paying Bonus correct once a year, it will not be included in slabs for deciding PT.
But if you are paying bonus monthly, then it will be counted in PT slabs
From India, Mumbai
Sorry to differ, the question was not whether the amount of bonus should be taken as income received for the purpose of calculation of profession tax but whether the bonus shall be calculated on the basis of salary declared for professional tax calculation or not. I also differ that bonus is not considered for calculation of income for payment of profession tax because profession tax is a tax on profession, and not a tax on 'salary'. Therefore, whatever is earned by a professional, business man, employee, trader, freelancer etc should attract profession tax. In the case of employed person, the income earned shall include bonus, and in the half year (normally all the states have payment of profession tax in half yearly basis, and I believe that the same is the system in West Bengal also) bonus is received, for that half year, PT should be calculated based on salary including bonus. Simply, bonus is an income in the hands of a salaried person for the purpose of income tax, and in the same way, it is an income for the purpose of computation of profession tax payable.
From India, Kannur
From India, Kannur
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