Prasanthsmc
Kindly let me know whether it is necessary to obtain License or Certificate under Shop and Establishment Act before going to register for Professional tax?
From India, Kochi
Madhu.T.K
4239

Profession Tax is assessed and paid to the local administration, ie, Gram Panchayat, Municipality or Corporation whereas registration to run an establishment is issued by the competent authorities under the Factories Act( Inspector of Factories and Boilers), Kerala (any other State) Shops and Commercial Establishments Act( State Labour Department) etc. Obtaining registration to start an establishment is mandatory and is the first step. But it has nothing to do with assessment of profession Tax.
Regards,
Madhu.T.K

From India, Kannur
Prasanthsmc
Dear Madhu,
Thank you very much. Its very useful.
But when I approached the Revenue Inspector at Corporation of Cochin, Zonal office, they are saying Now we have to first submit an application for revenue assessment of our branch, then after assessing the office and other details by Revenu Inspector, they will inform us the amount we have to pay against and also what all the documents to be submitted along with the amount. But he was asking me first that "have u got license from health department" ?.
So now I again got confused what all are the procedures to get the same done (I mean Proffessional tax payment).
Can you please clarify.
I knw the procedures to get the License under Shop and Establishment Act. But don't know about the license from health department.
If you can give me a clear idea about this I will be very thankful to you and to this group.

From India, Kochi
Madhu.T.K
4239

Obtaining licence from the health department is one of the formalities connected with setting up of an establishment. Once you comply with it only you can get registration under Shops and Commercial Establishments Act or Factories Act, as the case may be. The licence is in fact the identity of the establishment. That is why the Officer has asked about it.
Regards,
Madhu.T.K

From India, Kannur
Madhu.T.K
4239

Any tax, whether Income tax or profession tax, is calculated on the earnings of the employee. Therefore, if an employee had been paid something less than what is his actual pay due to absence from work without leave or simply loss of pay, the same has to be added up to arrive at his earnings/ salary for the purpose of tax calculation. As such salary after deduction of Loss of pay should be the base for PT calculation. And in case the employee has been on leave without pay and has worked for less than 60 days in the half year, naturally, he is not expected to pay any profession tax.
Regards,
Madhu.T.K

From India, Kannur
Madhu.T.K
4239

There is no separate PT slab for Cochin. For Kerala a common slab is available and that is available in the thread as attachment. Please start from the beginning of the thread and get it.
Regards,
Madhu.T.K

From India, Kannur
5608
I paid my professional tax, then after two months or later but less than 6 month I resigned from my post, what is the procedure? Is i’m liable? ,if liable how much? please inform me.
From India, Kottayam
Madhu.T.K
4239

I presume you mean your salary was subject to deduction of Prof. tax for two months and later on you resigned. If so, the employer will pay the tax so deducted to the local administration when it becomes payable along with tax due on other employees salary. If no deduction is made from the monthly salary but the practice is to deduct it once with sixth month salary only, then you will be liable to pay it directly to the local administration as per the tax rates applicable. But in practice no body remits it so and the local administration will not trace it.
Regards,
Madhu.T.K

From India, Kannur
krishna.gs
Will you be able to throw some light on how the salary for the month of August and September is calculated if the tax is to be remitted in August (the 5th month). If the figures taken are of the payable scale without deductions and supposing that the employee is on medical leave or loss of pay for two months; he is not earning anything. Will it be an acceptable practice if six months prior to August is taken for computing profession tax?
From India, Thiruvananthapuram
krishna.gs
Thanks for the reply Madhu. But if anyone in the group can throw some light on how this practise of taking the projected salary for one or two months rather than taking the paid salary of previous six months came to be, it will be useful. Does anyone see anything seriously wrong if one takes the actual salary of previous six months for computation of professional tax?
From India, Thiruvananthapuram
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