How to Pay Profession Tax Online in Maharashtra?

The Professional Tax Rules apply to employers liable to pay profession tax as per the prescribed return on behalf of the employees, and they must possess a Professional Tax Registration Certificate (PTRC). However, a Professional Tax Enrollment Certificate (PTEC) may apply to individuals liable to pay Profession Tax in their individual or professional capacity. So, let’s check out how registered and non-registered individuals can do so from scratch. 

What is Profession Tax?

It is a direct tax levied by certain state governments in India on income earned from employment, trade, or professions, subject to the applicable State law. Employers are required to deduct Profession Tax from employees and deposit it with the relevant State authority, where applicable.

How to Pay Profession Tax?

A registered employer is liable to pay the tax on or before the date prescribed for filing the return. Both registration and enrolment are made through the applicable prescribed forms and procedures. But electronic returns are filed through Form III-B, and the corresponding payment is made through MTR-6.

Who Should Pay The Profession Tax in Maharashtra?

Employers whose Profession Tax liability during the previous year was Rs 1 lakh or more are generally required to furnish monthly returns through Form III-B and make the corresponding payment. However, persons having a liability of less than Rs 1 lakh may be governed by the annual-return provisions specified under Rule 11, and, in the first year of registration, the applicable return period may be determined in accordance with Rule 11 (subject to applicable rules).

What’s The New GRAS Updates?

• MAHAGST currently provides payment facilities for eligible unregistered PTRC/PTEC taxpayers. They may do so without logging in and simply by using their PAN.
• Available payment-period options depend on the applicable Profession Tax requirement and the options provided on the portal.
• Although multiple payment periods are supported in GRAS, the applicable period should be selected based on the underlying Profession Tax liability.
• Rule 32 of the Maharashtra Profession Tax Rules, 1975, was deleted by notification dated 15 March 2024.

How to Create A Profile with MGSTD?

Eligible unregistered PTRC/PTEC taxpayers may currently make Profession Tax payments using PAN through the available MAHAGST payment facility.

Below are the steps to follow:

• Visit the MAHAGST portal
• Go to New Dealer Registration under PT
• Select “The Maharashtra State Tax on Professions, Trades, Callings and Employments Act, 1975 (PTRC)”
• Select the identification type: PAN or TAN
• Enter and verify your PAN
• Enter and verify your email ID.
• Enter and verify your 10-digit mobile number
• Click on Create Profile to generate the temporary user ID.

However, payment requirements depend on the taxpayer’s applicable PTRC/PTEC status and the current MAHAGST payment facility.

How to Obtain A PTRC?

To obtain the registration certificate, you may follow the steps mentioned on the MAHAGST portal:

• Visit the official website of MAHAGST
• Click on e-Payment-PTRC-Return/PTEC
• Enter/Verify Applicant Details
• Fill PTRC Form I
• Add Business & Signatory Details 
• Add Proprietor/Partner/Director Details 
• Enter Activity & Liability Dates 
• Add Business Addresses 
• Add Bank Details 
• Upload Signature/Documents 
• Verify & Submit 
• Download Acknowledgement 
• Download the PTRC registration certificate, if issued.

How to Pay Profession Tax as A Registered User?

• Log in to your GRAS account
• Click on Make Payment
• Select the Payment Period
• Fill in the Payment Details 
• Click on Submit 
• Next, review the Draft Challan 
• Click on Proceed  
• Next, click on OK to proceed with the payment
• Log in to Internet Banking
• Confirm the payment
• Receive the challan (upon successful payment)

Also, if a registered user needs to make a similar payment again, a ‘Repeat Payment’ facility may also be available to reuse details from previous transactions.

How to Pay Profession Tax Without Registration?

Eligible taxpayers may make Profession Tax payments through the available MAHAGST payment facility without completing PTRC/PTEC registration, where permitted.

For that, follow the steps below:

• Visit the GRAS portal
• Select Pay without Registration from the Categories
• Click on e-payment as the payment mode
• Enter your challan details (Department, payment type, scheme name, district, office name, applicable FY)
• Enter the tax amount
• Enter your personal details (Tax ID, PAN [if required], your full name, block no., locality/road, area/city, PIN, mobile number, and remarks [if you want])
• Next, select your bank
• Click on Submit

Now, if you want to edit anything or want to start over, click on Reset. Once you click on Submit, the system will display the Draft Challan. Now, either click on Cancel to go back to the previous screen and re-enter challan details, or you can click on Proceed for Payment to continue.

The next few steps are simple:

• Note the 18-digit Government Reference Number (GRN)
• Continue to the bank website
• Log in to Internet Banking
• Confirm the payment
• Note the bank CIN no., branch code, and PRN no.

Online Profession Tax Payment Made Easier in Maharashtra

Online GRAS payment makes the process more streamlined. Now, users can select the required tax period, enter the amount, and complete payment through an Internet-enabled bank account instead of relying only on the older physical treasury/challan process described in the rules.

Frequently Asked Questions

Q1. Can I pay Profession Tax without PTRC?

Ans: Eligible taxpayers may currently make Profession Tax payments without PTRC/PTEC registration through the applicable MAHAGST payment facility, subject to the nature of the liability and applicable requirements.

Q2. What is GRN in Profession Tax Payment?

Ans: GRN stands for Government Reference Number, a reference number generated for an online payment transaction.

Q3. What Happens if Profession Tax is not Paid? 

Ans: Delay in paying Profession Tax or filing applicable returns may result in interest, late fees or other consequences prescribed under the applicable Maharashtra Profession Tax law.