Professional Tax in Karnataka.

Every worker earning ₹25,000 or more in a month pays ₹200, and ₹300 in February. The employer deducts it from salary and pays it by the 20th of the next month.

Updated 18 October 2026 from Karnataka's Act and the Commercial Taxes Department. How we check

From a salary ofa month: ₹25,000
Each month: ₹200
February: ₹300
Duewith Form 5-A: 20th

₹2,500 a year, in twelve parts.

The financial year from April: the same ₹200 each month, and ₹300 in February to reach the Constitution's limit.

₹200

Apr

₹200

May

₹200

Jun

₹200

Jul

₹200

Aug

₹200

Sep

₹200

Oct

₹200

Nov

₹200

Dec

₹200

Jan

₹300

Feb

₹200

Mar

11 × ₹200April to January, and March

₹300February

₹2,500the most Article 276(2) allows a year

For a worker earning ₹25,000 or more every month of the financial year. In a month below ₹25,000, nothing is due.

Work it out.

For one worker's salary in a month.

Salary for the month

Each month, April to January and March: ₹200
February: ₹300
The year: ₹2,500

Deducted from salary and paid by the 20th of the next month.

The rules.

Who pays

Workers: Anyone whose salary or wage for the month is ₹25,000 or more. Bonus and arrears count, spread over the months they relate to.
Left out: Anyone employed for 120 days or less in the year, and people aged 60 or more.
The company itself: A company also pays ₹2,500 a year for itself, before 30 April. Where several entries in the Schedule apply to a business, it pays under only one.

What the employer does

Register: Apply for a registration certificate in Form 1 within 30 days of becoming an employer. Registering late carries a ₹1,000 penalty.
Deduct and pay: Deduct the tax from salary, pay it and file the Form 5-A statement with proof of payment within 20 days of the month's end. The employer owes it whether or not it was deducted.
The year: File the annual return within 60 days of the year's end. There has been no quarterly option since 1 April 2012.
Where: On the Commercial Taxes Department's portal, ptax.karnataka.gov.in, under Employer Login.

Paid late

Interest: 1.5% of the unpaid tax for each month or part of a month.
Penalty: 10% of the tax due after a notice of demand, on top of the interest; ₹250 for not filing the statement or not paying.
Not registered: The department assesses the tax on the information it has, and adds a penalty equal to that tax.

Contract workers

Who deducts: The contractor, for its own workers. Where workers are supplied as a manpower service, the Act also has the principal deduct their tax from what it pays the contractor, in any month the payment exceeds ₹3,000, unless the contractor produces a copy of its filed return.

Questions

What is the professional tax slab in Karnataka?

One slab for salaried workers: ₹200 a month, and ₹300 in February, on a salary or wage of ₹25,000 or more for the month. Below ₹25,000 there is no tax.

When did it change?

The ₹25,000 threshold applies from 1 April 2023, when it rose from ₹15,000. The ₹300 February amount applies from 1 April 2025, taking the year from ₹2,400 to ₹2,500.

Is professional tax deducted from contract workers?

Yes, from those earning ₹25,000 or more in the month and employed for more than 120 days in the year. The contractor deducts it; for workers supplied as a manpower service, the principal can be required to deduct it from the contractor's payment.

Professional Tax in other states Contract labour in Bengaluru

Sources (4)