The Government of Tamil Nadu, through the Greater Chennai Corporation, has issued a notification regarding the revision of Profession Tax (PT) slab rates, on January 20, 2025. This update is crucial for both employers and employees operating within the limits of Greater Chennai Corporation.
Profession Tax Deduction:
Profession Tax is an important source of revenue for the Greater Chennai Corporation, funding essential services and infrastructure for the city. The tax applies to individuals and entities engaged in various professions, trades, callings, or employment within the city limits. The tax also extends to firms, companies, corporations, and other associations but excludes casual workers.
Due Dates for Remittance:
Employers must deduct the Profession Tax from employees’ salaries for the period until November 2024, with remittance due by March 31, 2025. This ensures that any arrears, if applicable, are paid without delay.
Revised Profession Tax Slab Rates:
Here are the updated half-yearly income slabs and the corresponding Profession Tax rates:
| Sl. No. | Half-Yearly Income (Rs.) | Profession Tax (Rs.) |
| 1 | Upto Rs. 21,000 | NIL |
| 2 | Rs. 21,001 to Rs. 30,000 | Rs. 180 |
| 3 | Rs. 30,001 to Rs. 45,000 | Rs. 425 |
| 4 | Rs. 45,001 to Rs. 60,000 | Rs. 930 |
| 5 | Rs. 60,001 to Rs. 75,000 | Rs. 1,025 |
| 6 | Rs. 75,001 and above | Rs. 1,250 |
Employer Obligations:
- Deduction and Remittance: Employers are responsible for deducting the Profession Tax from employees’ salaries and remitting the amount to the Greater Chennai Corporation by the due date.
- Filing Returns: Employers must file their returns in Form 14 and Form 15 through the Corporation’s portal, uploading the required Excel templates before making payments.
Payment Methods:
The Profession Tax can be paid through several channels, including:
Bank Transfer: NEFT, ECS, or RTGS in favor of “Commissioner, Greater Chennai Corporation Profession Tax,” using the account number 13170PE16473 at IDFC First Bank Limited (IFSC code: IDFB0080101).
Online Payment: Debit/Credit Card, Cheque, or Demand Draft in favor of “The Revenue Officer, Corporation of Chennai.”
Online Portal: Payment can also be made conveniently online at the official Greater Chennai Corporation website: www.chennaicorporation.gov.in.
Important Legal References:
The taxation is carried out under the Tamil Nadu Urban Local Bodies (TNULB) Act 1998, as amended in 2022. Relevant sections include:
- Section 117-8: Levy of Profession Tax
- Section 117-C: Employer’s liability to deduct and pay tax on behalf of employees
- Section 117-D: Filing of returns by the employer
- Section 117-F: Penalty and interest provisions
Final Note:
Employers and employees must ensure timely deduction and remittance of Profession Tax to avoid penalties or interest for late payments. By adhering to the revised tax slab rates and filing requirements, the Greater Chennai Corporation continues to fund critical services for the city’s development.
