Professional tax in Gujarat
One threshold, one rate: ₹200 a month once your salary is more than ₹12,000 — and a proportional cut in your last month if you leave mid-month.
Gujarat professional tax slab
As of 1 April 2022 · In force from 1 April 2022 (department schedule updated 27 June 2024) · last checked 1 November 2026
You pay ₹200 per month at a salary of ₹50,000 — ₹2,400 a year.
| Monthly salary | Professional tax | Per year |
|---|---|---|
| Up to ₹12,000 | Nil | ₹0 |
| More than ₹12,000 | ₹200 a month | ₹2,400 |
Source: Gujarat State Tax on Professions, Trades, Callings and Employments Act, 1976. New to professional tax? What it is and why every State is different.
How much professional tax is deducted in Gujarat?
Nothing at ₹12,000 a month or less; ₹200 a month above ₹12,000, with no February top-up — ₹2,400 a year. The rate has applied since 1 April 2022. You are exempt at 65 or older, with a certified disability, or serving in the armed forces in Gujarat.
Key takeaways
- →One band: more than ₹12,000 a month means ₹200; ₹12,000 or less means nil.
- →₹2,400 a year — no February ₹300.
- →Leave mid-month and that month's tax is cut in proportion.
- →Interest fell to 1% a month in October 2023; the department's consolidated Act still says 2%.
Professional tax calculator
Your State and monthly salary in — what is deducted, when, and whether you are exempt
Where you work, not where your company is registered.
The gross on your payslip, before any deductions.
Exemptions differ by State. The result says whether yours is recognised.
Deducted from your salary each month
₹200
₹2,400 a year in Gujarat. Your slab: More than ₹12,000 (monthly salary).
How it comes out of your pay
- Every month₹200
- Total for the year₹2,400
When your employer must pay it
An employer with more than 20 employees files Form 5 with payment within 15 days of the end of each month (Rule 11). An employer with 20 or fewer pays within 15 days after each quarter and files one annual return in Form 5AA within 15 days of the end of the year (Rule 11A).
Where this comes from
Gujarat State Tax on Professions, Trades, Callings and Employments Act, 1976. Slabs as of 2022-04-01. Full Gujarat rules
Show the working
- 1Gross monthly salary₹50,000
- 2Slab (Gujarat, as of 2022-04-01)More than ₹12,000
- 3Tax for the month₹200
- 4Every month₹200
- 5Total for the year₹2,400
Gujarat's single-rate Schedule
Since 1 April 2022 there is one salary line: up to ₹12,000 a month pays zero, anything more pays ₹200. It applies equally to government, public sector and private employees, and exactly ₹12,000 is in the zero band.
Municipal corporations such as Surat collect the tax in their own areas, but at the same Schedule rates, so the amount does not change with the city.
Leaving mid-month, and pay periods that are not a month
Explanation II to the salary entry says that if you stop being a salary earner before a month ends, that month's tax is reduced proportionately — a last day of 10 June should mean about a third of ₹200 for June. Explanation I says that pay for a period other than a month is reckoned on what is payable for a month.
Payroll does not always apply either in a full and final settlement. If your last payslip shows a full ₹200 for a part-month, ask for the proportional figure.
Gujarat professional tax due dates, interest and penalty
Due dates depend on employer size: more than 20 employees means monthly, 20 or fewer means quarterly with one annual return. Enrolled individuals pay before 30 September.
| Gujarat rule | |
|---|---|
| Employer deducting from salary | An employer with more than 20 employees files Form 5 with payment within 15 days of the end of each month (Rule 11). An employer with 20 or fewer pays within 15 days after each quarter and files one annual return in Form 5AA within 15 days of the end of the year (Rule 11A). |
| Self-employed or enrolled person | Before 30 September if enrolled before the year began or by 31 August; within one month of enrolment if enrolled after 31 August (s.8(2)). |
| Interest on late payment | Simple interest at 1% a month on tax not deducted, or deducted and not paid (s.9), at the rate notified by the Finance Department on 1 October 2023 under the Gujarat Taxation Laws (Amendment) Act 2023. It used to be higher; the consolidated Act on the department site still prints the old 2%. |
| Penalty | A penalty of up to 50% of the tax due for non-payment without reasonable cause within the time in a demand notice (s.10). |
| Late return fee | Up to ₹5 for each day a return is late (s.6(3)); up to ₹20 a day for an employer who registers late (s.5(5)). |
What paying late costs, in rupees
The Finance Department set interest at 1% a month from 1 October 2023; a penalty of up to 50% can follow a demand notice. On ₹2,400:
| Paid late by | Interest | Penalty | Total extra |
|---|---|---|---|
| 3 months | ₹72 | ₹0 to ₹1,200 | ₹72 to ₹1,272 |
| 12 months | ₹288 | ₹0 to ₹1,200 | ₹288 to ₹1,488 |
Gujarat professional tax registration and payment
Employer registration has its own page on the Commercial Tax portal, and payment is made there after logging in. In Surat and other corporation areas, the corporation's profession tax office administers the same law.
Who is exempt from professional tax in Gujarat
Gujarat exempts by notification under s.26A: those who have completed 65 (since 1999), persons with a qualifying disability (since 1989), and the armed forces serving in the State (since 1977).
| Who | What the law says | Provision |
|---|---|---|
| Senior citizens | An individual who has completed 65 years of age: the whole of the tax, from 1 April 1999. | s.26A; notification (GHN-7)PFT-1099(S.26A)(13)TH-1 dated 1 April 1999 |
| Persons with disability | Persons who are blind, deaf or dumb, or orthopaedically handicapped with at least 40% permanent partial disability of the upper or lower limbs (50% of both together), with a Government hospital certificate. | s.26A; notification (GHN-20)PFT-1089(S.26A)(9)/TH-1 dated 31 March 1989 |
| Armed forces | All members of the armed forces of the Union serving in Gujarat, from 1 December 1977. | s.26A; notification (GHN 63)PFT-1077(S.26A)(1)-TX dated 23 November 1977 |
Gujarat professional tax: two worked examples
1. A machine operator in Rajkot on ₹12,000 a month
"Up to ₹12,000" — zero. One rupee more and it is ₹200 a month, a cliff worth knowing about before a small raise.
2. A chartered accountant employed in Ahmedabad on ₹90,000 a month
₹200 a month, the same as at ₹12,001: ₹2,400 a year with no February adjustment.
| Step | Example 1 | Example 2 |
|---|---|---|
| Gross monthly salary | ₹12,000 | ₹90,000 |
| Slab | Up to ₹12,000 | More than ₹12,000 |
| Deducted | Nothing | ₹200 every month |
| Professional tax for the year | ₹0 | ₹2,400 |
How Gujarat professional tax shows on your payslip
Expect ₹200 in every month you earn more than ₹12,000, and ₹2,400 on Form 16 for a full year. In your final month, compare the line with the days you were employed.
Gujarat against its neighbours
At ₹50,000 a month Gujarat takes ₹2,400 against ₹2,500 in Maharashtra and Karnataka; its ₹12,000 threshold sits between Maharashtra's ₹10,000 for men and ₹25,000 for women.
What we could not verify for Gujarat
Left out rather than guessed. If any of these matters to you, ask your payroll team or the department.
- No exemption for parents of children with disability was found in the current notifications, so none is claimed.
- The Rule 11 / 11A due dates come from the department's undated consolidated Rules, corroborated by Surat Municipal Corporation's January 2025 FAQ; a dated latest Rules notification was not read.
Gujarat professional tax: questions people ask
What is the professional tax slab in Gujarat for 2026?
Is professional tax deducted on a ₹12,000 salary in Gujarat?
What is the due date for professional tax in Gujarat?
What is the interest rate on late professional tax in Gujarat?
Are senior citizens exempt from professional tax in Gujarat?
Do I pay full professional tax in my last month if I leave a job in Gujarat?
Related tools
Sources for the figures on this page
Gujarat: slab table (as of 2022-04-01)
Gujarat Commercial Tax Department, Rate of Profession Tax: "Salary and Wages earners ... whose monthly salaries or wages are (i) Up to 12,000/- (i) Zero (ii) More than 12,000/- (ii) 200/- per month [Effective from 01/04/2022]" — the same for government and private employees. If employment ends part-way through a month, that month's tax is reduced proportionately (Explanation II).
View sourceChecked 2026-11-01
Gujarat: due dates
Gujarat Professions Tax Rules 1976, Rules 11 and 11A, and Act s.8(2), in the consolidated Act and Rules on the Commercial Tax site; the monthly / quarterly split is repeated in Surat Municipal Corporation's profession tax FAQ (January 2025).
View sourceChecked 2026-11-01
Gujarat: interest and penalty
Finance Department Notification No.(GHN-77)-PFT-2023-S.9(1)(2)-TH dated 1 October 2023: "the Government of Gujarat, hereby specifies one per cent. per month as the rate of interest"; Act s.10 ("a penalty not exceeding fifty percent of the amount of tax due"). The notification is hosted by Surat Municipal Corporation.
View sourceChecked 2026-11-01
Gujarat: exemptions
Gujarat Professions Tax Act 1976, Appendix III ("Current Notifications") under s.26A, in the consolidated Act on the Commercial Tax site.
View sourceChecked 2026-11-01
Constitutional ceiling on the total professional tax payable by one person in a State, per year
Constitution of India, Article 276(2), as amended by the Constitution (Sixtieth Amendment) Act, 1988. The Statement of Objects and Reasons records that clause (2) previously capped the tax at "two hundred and fifty rupees per annum" and that it was "accordingly proposed to amend clause (2) of article 276 of the Constitution to increase the ceiling of profession tax from two hundred and fifty rupees per annum to two thousand and five hundred rupees per annum", omitting the then-existing proviso as no longer relevant. The levy itself is imposed by each State under Article 276(1) through its own Act, so the slabs differ by State and no national slab table exists.
View sourceChecked 2026-10-14
Written and reviewed by Deepak Middha, Chartered Accountant (ICAI, India) and founder of LayoffNext.
Founder of LayoffNext. Chartered Accountant and finance educator who builds free tools for people navigating layoffs.