1) By whom payable?
Every person engaged actively or otherwise in any profession, trade, calling or employment and falling under one or other classes mentioned in Schedule I of Maharashtra State Tax on Professions, Trades callings and Employment’s Act, 1975 is liable to pay to State Government, tax prescribed under the said Schedule [Section 3 (2)]


2) Registration and Enrollment:

Registration:
In respect of persons earning salary or wages the responsibility is cast upon the Employer to register himself/itself and to deduct and pay the profession tax at the prescribed rate.


Enrollment:
Persons other than earning salary or wage, i.e. the self-employed persons have to enroll themselves and pay the profession tax at the prescribed rate.


3) The following classes of persons are exempted from payment of Profession Tax:

1. Members of the forces as defined in the Army Act,1950 or the Air Force Act,1950 and the Navy Act,1957 including members of auxiliary forces or reservists, serving in the state.
2. The badli workers in the textile industry.
3. Any persons suffering from a permanent physical disability (including blindness) as specified in the rule no.32, which is certified by a physician, surgeon or an oculist, who are working in a Government Hospital and which has the effect of reducing normal work or engagement in a gainful employment as occupation.
4. Woman exclusively engaged as agent under the Mahila Pradhan Kshatriya Bachat Yojana or director of small savings.
5. Parents or guardian of any person who is suffering from mental retardation specified in rule 32, which is certified by a Psychiatrist working in a Government Hospital.
6. Persons who have completed the age of sixty five years (Senior Citizen)
7. Parents or guardian of a child suffering from a Physical disability as specified in clause (c)

4) Penal Consequences for Defaults:

1. Interest on delayed payment of profession tax  

       Interest is payable @ 2% per month upto 30.06.2004

       Interest is payable @ 1.25% per month w.e.f 01.07.2004

Enrolled persons can discharge their liability of next five years by making advance payment of four times of the annual liability before 30th June of the year. Any increase or decrease in the tax rate within the said period of five years will not vary the tax liability of such persons.

Others

(a) w.e.f. 1.4.2006 various classes of self employed persons are liable to pay tax, at Rs. 2500/- per annum except as mentioned separately in (b) and (c) in respect of Dealer enrolled under entry 8 and 10 of the Schedule I respectively. 

(b) Dealers Registered under the Maharashtra Value Added Tax Act, 2002  or dealers registered only under the Central Sales Tax Act, 1956.
Whose total turnover of sales or purchases

(c) An employer or establishment as defined in the Bombay Shops and Establishment Act, 1948 not covered in any other schedule entry

(i) Situated within an area to which aforesaid Act applies where

(ii) Situated within an area to which aforesaid Act does not apply