What is Professional Tax and Who Needs to Register?
Professional Tax is a state-level tax imposed on salaried individuals, professionals, and trades. In Karnataka, every employer who employs even one salaried person is legally required to register and comply with Professional Tax regulations.
Failing to register or file returns can lead to penalties, interest, and legal consequences—making it essential for all businesses to stay compliant.
Why Professional Tax Registration is Mandatory in Karnataka
Professional Tax is governed by the Karnataka Tax on Professions, Trades, Callings and Employments Act, 1976. Employers must:
Register for Professional Tax within 30 days of employing staff
Deduct tax from employees’ salaries each month
Remit the collected tax to the government
File monthly or annual returns as applicable
Common Misconceptions About PT Registration
“I have only 1 employee, so I don’t need to register.”
👉 False. Even with one employee, PT registration is mandatory in Karnataka.“Only big companies need to worry about this.”
👉 Incorrect. Startups, freelancers, and SMEs are all subject to this tax if they have salaried staff.
Penalties for Non-Compliance
Failing to register or pay Professional Tax on time can result in:
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₹1,000 fine for not registering
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₹250 per day for late filing
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Interest on delayed payments
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Legal notices and audits
Avoiding these risks is only possible through timely registration and diligent filing.
Documents Required for PT Registration
To register for Professional Tax in Karnataka, you’ll typically need:
PAN Card of the business
Address proof (Rental agreement, EB bill)
Employee salary details
Certificate of Incorporation / Business Registration
Aadhaar and PAN of Proprietor/Partner/Director
How Power of Factorial Simplifies the Process
At Power of Factorial Business Solutions, we take the hassle out of Professional Tax compliance by offering:
Fast Registration Turnaround (within 3–5 working days)
Accurate monthly return filing
Regular compliance reminders
Representation in case of notices or audits
End-to-end compliance for all Karnataka-based businesses
Ready to Get Started?
on’t let minor compliance cost you big money. Let Power of Factorial handle your Professional Tax registration and filing — professionally and promptly.
📞 Call/WhatsApp: +91 81050 21287
📧 Email: poweroffactorial024@gmail.com
🌐 Website: www.poweroffactorial.in
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