Professional Tax in Andhra Pradesh (2026): Slabs, Registration, Payment, Due Dates and Penalties

Professional tax in Andhra Pradesh is small — at most ₹200 a month a month for a salaried employee — but the state is strict about who must register, how it is paid and what happens when it is late. This guide is for employers running payroll in Visakhapatnam, Vijayawada, Guntur, Tirupati or anywhere else in the state, and for business owners and professionals who pay their own PT. It uses the Commercial Taxes Department's own schedule and Act text, and shows the slabs, business rates, registration, online payment, due dates, penalties and worked examples in rupees.

Quick answer

In Andhra Pradesh, salaried employees pay nil up to ₹15,000 a month, ₹150 a month from ₹15,001 to ₹20,000, and ₹200 a month above ₹20,000, deducted by the employer every month. Businesses and professionals pay a yearly amount — usually ₹2,000 or ₹2,500 — under an enrolment certificate. All payments are made online on myprofessiontax.apct.gov.in.

• No higher February or March instalment — the yearly maximum for an employee is ₹2,400

• Employers register (Form I); businesses and professionals enrol (Form II)

• Enrolled persons pay before 30 June each year

• Late payment: interest of 2% a month or part of a month, plus a 25–50% penalty after a demand notice

Professional tax slabs for salaried employees in Andhra Pradesh

Andhra Pradesh levies PT under the Andhra Pradesh Tax on Professions, Trades, Callings and Employments Act, 1987 (Act 22 of 1987). Entry 1 of its First Schedule covers salary and wage earners. The current slabs were introduced by G.O.Ms.No.82 of 4 February 2013 for the then-undivided state, and the department's schedule shows the same rates for the years up to 2019-20 and from 2020-21.

"Salary or wages" means gross monthly pay. An employee whose pay varies — because of overtime, incentives or arrears — moves into a different slab in the month the higher pay is paid. The constitutional cap of ₹2,500 a year a year applies, but at these rates an employee never reaches it from salary alone.

Several payroll websites say Andhra Pradesh collects ₹300 in February or March to bring the total up to ₹2,500. The department's schedule does not say that: the top slab is a flat ₹200 a month "PM" (per month). If your payroll software adds an extra ₹100 for AP employees, you are over-deducting.

Rates for businesses, professionals and companies

Anyone who carries on a profession, trade or calling listed in the schedule pays a yearly amount on their own account. G.O.Ms.No.223 of 24 August 2020 "rationalised" several of these rates from 2020-21, mainly by raising ₹1,250 entries to ₹2,000 or ₹2,500 and lowering the turnover band for the top rate. The key entries:

The full schedule has around 40 entries, including petrol pumps, nursing homes, diagnostic centres, beauty parlours, cinema and cable operators, transport permit holders with three or more vehicles, money lenders and chit funds, educational institutions, property developers, marriage halls, courier and telecom operators, call centres and landlords of commercial premises. Where a person falls under more than one entry, the highest applicable rate is paid once.

What has changed recently

The salary slabs have not moved since 2013, so most of the recent changes affect businesses and the way tax is collected rather than employees' payslips.

From 2020-21, G.O.Ms.No.223 raised the middle rate for contractors, factory owners and hotels from ₹1,250 to ₹2,000 and cut the turnover at which the top ₹2,500 rate starts from ₹50 lakh to ₹25 lakh. The same order raised the rate for each remunerated partner, district-level co-operative societies, weigh-bridge operators, video libraries and assistant film crew from ₹1,250 to ₹2,500, and added restaurants, takeaway points, canteens and curry points at ₹2,500. GST-registered dealers and shopkeepers kept their ₹1,250 middle rate.

Also in 2020, the department made online payment the only route from 1 January, and the government made PT payment a condition for granting or renewing certain licences and permits. In March 2025 it rescinded the 2012 orders that had let the Visakhapatnam and Vijayawada municipal corporations collect PT. The current portal, My Profession Tax, puts registration, employee KYC, returns, payment and certificates in one place. When we checked in October 2026, the department's GO list showed no change to the salary slabs since 2013.

Who is exempt

Entry 39 of the schedule exempts five groups:

1. Agriculturists
2. Persons performing religious duties
3. Skilled workers — goldsmiths, blacksmiths, pot makers, basket makers, washermen, barbers, cobblers, tailors, carpenters, masons, plumbers, book binders, toddy tappers and electricians
4. Persons with a disability of 40% or more of any kind
5. Dry cleaners

Separately, salaried employees earning up to ₹15,000 a month, professionals with up to five years' standing, and businesses below the ₹10 lakh turnover bands pay nil under their own entries. Section 31 of the Act lets the government exempt or reduce tax for other classes by notification, so check the GOs page on the portal for any newer orders.

Keep evidence for anyone you treat as exempt. For a disabled employee, that means a disability certificate showing 40% or more; for others, whatever shows they fall in the exempt group.

Registration and enrolment: who needs which certificate

The Act uses two certificates, much like Maharashtra's PTRC and PTEC.

Certificate of registration (employers). Under section 6, every employer liable to deduct PT from staff salaries under section 5 must obtain a registration certificate. The application is in Form I. Section 5 makes the employer liable for the tax "irrespective of whether such deduction has been made or not", so if you forget to deduct, you pay. Central and state government offices are handled differently: their drawing and disbursing officers deduct PT from pay bills and report to the assessing authority.

Certificate of enrolment (everyone else who is liable). Businesses, professionals, directors, partners and others who pay PT on their own account must obtain an enrolment certificate, applied for in Form II. The certificate states the amount of tax payable and the date by which it must be paid, and it serves as a notice of demand.

The Act requires the application within thirty days of becoming liable. Both certificates must be displayed at the place of work. If you have more than one place of work in the state, you apply once, naming one principal place of work, and receive copies for the others. A move to a new area must be notified to the assessing authority within fifteen days.

Employees who pay PT themselves. An employee who works for two employers at once, or who also falls under a higher-rate entry (for example, a doctor drawing a salary from a hospital and running a private practice), can give the employer a certificate in Form III or IV, enrol in their own name and pay directly. The employer then stops deducting.

Registering and paying on the My Profession Tax portal

1. 1

   Check whether you are liable

   Use Know PT Liability on myprofessiontax.apct.gov.in to match your activity, turnover or staff salaries to the schedule.

   Open the AP PT portal
2. 2

   Apply for registration or enrolment

   Choose e-Registration. Employers apply for registration; businesses and professionals apply for enrolment. The Documentation Check List on the portal lists what to upload.

   Tip: Apply within 30 days of becoming liable — the penalty for wilful delay runs per day.

3. 3

   Track the application and print the certificate

   Use Track Application, then Print RC once the certificate is granted.

4. 4

   Authenticate employees (employers)

   Use Form I Employee KYC Authentication to add the employees whose PT you deduct.

5. 5

   File the return and pay

   Employers file the monthly return (Form V) through e-Return and pay through e-Payment. Enrolled persons pay their yearly tax through e-Payment.

6. 6

   Download the receipt

   Save the e-Receipt, and use Verify Challan Status if a payment doesn't show against your account.

Due dates for payment and returns

Employers. The Act requires every registered employer to file a return in Form V for the periods and by the dates prescribed in the rules, showing salaries paid and PT deducted, and the return must be accompanied by proof of full payment. Form V is a monthly return ("for the month ending on"). In practice, Andhra Pradesh payroll calendars and most compliance guides use the 10th of the following month for payment and filing; check the date shown in your login on the portal, because the department's online system enforces it.

Enrolled persons. Under section 10, the yearly tax shown in the enrolment certificate is due before 30 June for anyone enrolled before the start of the year or on or before 31 May, and within one month of enrolment for anyone enrolled after 31 May.

Government employees. Drawing and disbursing officers deduct PT every month and may not draw February salaries until the full March-to-February tax has been deducted. They send a statement to the assessing authority by 30 April.

Andhra Pradesh PT calendar

Monthly (10th, as commonly applied)

Employers pay PT deducted and file Form V for the previous month

Within 30 days of liability

Apply for registration (employers) or enrolment (others)

Before 30 June

Enrolled persons pay the year's tax (if enrolled by 31 May)

Within 1 month of enrolment

Enrolled after 31 May — pay the first year's tax

By 30 April

Government DDOs send the annual deduction statement

Paying online: what the portal accepts

The Commercial Taxes Department stopped accepting manual challans on 1 January 2020; profession tax can only be paid online. The portal's notices also say you must be registered under the Act to make a payment, so an unregistered employer cannot simply pay and register later. Accepted methods listed on the portal are UPI, net banking, credit and debit cards and digital wallets.

Since August 2020 (G.O. 664 of 24 August 2020), several departments that grant licences and permits treat payment of profession tax as a precondition for granting or renewing them. If you are renewing a trade licence or a permit, keep your latest PT e-receipt ready.

The department had appointed the Greater Visakhapatnam and Vijayawada municipal corporations as collecting agents in 2012; the orders issued under that 2012 G.O. were rescinded by G.O. 63 of 5 March 2025. Pay through the portal rather than through any intermediary.

Worked examples in ₹

Example 1 — a Vijayawada shop with six staff. Two assistants earn ₹14,000 (nil), two earn ₹18,000 (₹150 a month each) and two earn ₹26,000 (₹200 a month each).

• Monthly PT deducted: 2 × ₹150 + 2 × ₹200 = ₹700
• Yearly: ₹700 × 12 = ₹8,400
• The shop's own PT: as a GST-registered dealer with turnover of ₹40 lakh, it pays ₹1,250 a year under entry 8

Example 2 — the ₹20,000 boundary. An employee earning exactly ₹20,000 pays ₹150 a month. A raise to ₹20,500 moves them to ₹200 a month from the month the higher salary is paid — ₹600 more a year.

Example 3 — a chartered accountant. A CA in Guntur who has practised for seven years pays ₹2,500 a year before 30 June. A CA in the third year of practice pays nothing under entry 2, though she must still check whether another entry applies to her.

Example 4 — late payment by an employer. A Tirupati employer deducts ₹7,000 in July but pays it 40 days late. Interest at 2% a month or part of a month for two months or part-months: ₹7,000 × 2% × 2 = ₹280. If the employer ignores a demand notice, the assessing authority can add a penalty of 25% to 50% of the tax — ₹1,750 to ₹3,500.

Example 5 — a civil contractor. A contractor with turnover of ₹18 lakh paid ₹1,250 a year until 2019-20; from 2020-21 the rate is ₹2,000. Above ₹25 lakh, it is ₹2,500.

Our free salary slip generator has a professional tax line, so you can show the ₹150 or ₹200 correctly on each payslip.

Interest, penalties and offences

The Act sets out exact ranges, which is useful when you negotiate with an assessing officer:

• Interest (section 11 and the rules): 2% a month or part of a month — ₹2 for every ₹100 — from the due date, if an employer doesn't deduct, deducts but doesn't pay, or an enrolled person doesn't pay.
• Penalty for non-payment (section 12): 25% to 50% of the tax due, if the tax is not paid within the time in the demand notice without reasonable cause. This is on top of interest.
• Late returns (section 7): ₹5 to ₹100 for each day of delay, if there is no reasonable cause.
• Failure to register or enrol (section 6): ₹10 to ₹20 per day of delay for an employer, and up to ₹5 per day for others, where the failure is wilful. False information in an application: ₹100 to ₹1,000.
• Offences (section 22): on conviction, a fine of ₹500 to ₹5,000, and ₹10 to ₹50 per day while the offence continues.

Appeals against assessments go to the Appellate Deputy Commissioner, with a fee of 2% of the amount in dispute (minimum ₹50, maximum ₹1,000).

Andhra Pradesh vs Telangana vs Maharashtra — salaried PT

	Andhra Pradesh	Telangana	Maharashtra
Exempt up to (monthly)	₹15,000	₹15,000	₹7,500 (men), ₹25,000 (women)
Middle slab	₹150 (₹15,001–₹20,000)	₹150 (₹15,001–₹20,000)	₹175 (men, ₹7,501–₹10,000)
Top slab	₹200 a month	₹200 a month	₹200, ₹300 in February
Maximum a year from salary	₹2,400	₹2,400	₹2,500 a year

Exempt up to (monthly)

Andhra Pradesh

₹15,000

Telangana

₹15,000

Maharashtra

₹7,500 (men), ₹25,000 (women)

Middle slab

Andhra Pradesh

₹150 (₹15,001–₹20,000)

Telangana

₹150 (₹15,001–₹20,000)

Maharashtra

₹175 (men, ₹7,501–₹10,000)

Top slab

Andhra Pradesh

₹200 a month

Telangana

₹200 a month

Maharashtra

₹200, ₹300 in February

Maximum a year from salary

Andhra Pradesh

₹2,400

Telangana

₹2,400

Maharashtra

₹2,500 a year

Common mistakes

Adding ₹300 in February or March. As shown above, the AP schedule doesn't have it. Over-deducted amounts should be refunded to employees through payroll.

Treating Andhra Pradesh and Telangana as one. The slabs are the same today because both states inherited the 1987 Act, but they are now separate laws with separate portals and departments. An employer with staff in Hyderabad and Visakhapatnam needs a registration in each state.

Paying without registering. The portal requires registration before payment. Register first, then pay any arrears with interest.

Forgetting the business's own PT. Many employers deduct staff PT correctly but never enrol for the firm, the directors or the partners. Each partner drawing remuneration pays ₹2,500 a year since 2020-21.

Old rate cards for contractors and factories. Anyone using pre-2020 figures for contractors, factories, hotels or partners is under-paying by ₹750 to ₹1,250 a year.

Andhra Pradesh professional tax checklist

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• Register as an employer (Form I) if any employee earns more than ₹15,000 a month
• Enrol the business, each director and each partner drawing remuneration (Form II)
• Deduct ₹150 or ₹200 a month — no extra February or March instalment
• File Form V and pay every month; confirm the due date shown on the portal
• Pay the enrolment tax before 30 June each year
• Keep disability certificates and other proof for exempt employees
• Keep the latest e-receipt for licence and permit renewals
• Register separately in Telangana or other states for staff working there

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Income tax treatment

Employees can deduct PT paid from salary income only under the old income-tax regime; the new regime does not allow it. Form 16 shows the amount deducted. Businesses and professionals can claim the PT they pay on their own enrolment as a business expense. Use our TDS calculator to check the rest of the salary deductions.

Official links

• My Profession Tax — AP PT portalRegistration, Know PT Liability, e-Return, e-Payment, e-Receipt
• APPT First Schedule — rates (PDF)All entries, up to 2019-20 and from 2020-21
• APPT GOs & Notifications
• Commercial Taxes Department, Andhra Pradesh

What to do next

Check your payroll against the three AP slabs, remove any February or March top-up, and make sure the business, its directors and partners are enrolled and paid for the year. If you also employ people in other states, see our state-wise professional tax guide and the guide to paying professional tax in Maharashtra.

This is general information, not legal or tax advice — confirm on the official source or with a professional.

Frequently asked questions

What is the professional tax slab in Andhra Pradesh?

Under entry 1 of the First Schedule to the AP Tax on Professions, Trades, Callings and Employments Act, 1987, salaries up to ₹15,000 a month pay nothing, salaries from ₹15,001 to ₹20,000 pay ₹150 a month, and salaries above ₹20,000 pay ₹200 a month. The rates have not changed since 2013.

Is there ₹300 professional tax in February or March in Andhra Pradesh?

No. Andhra Pradesh's official schedule charges a flat ₹200 a month on salaries above ₹20,000, so a full year comes to ₹2,400, not ₹2,500. The extra ₹100 in February is a Maharashtra and Karnataka rule; some payroll sites wrongly apply it to Andhra Pradesh.

How do I pay professional tax online in Andhra Pradesh?

Use the My Profession Tax portal at myprofessiontax.apct.gov.in, run by the Commercial Taxes Department. Registered employers and enrolled persons log in, open e-Payment, choose the period and pay by UPI, net banking or card. Since 1 January 2020 profession tax can only be paid online, and you must be registered or enrolled to pay.

What is the due date for professional tax in Andhra Pradesh?

Employers file a monthly return in Form V with proof of payment for the tax deducted from salaries; most payroll calendars use the 10th of the following month. Enrolled persons — businesses and professionals — pay their annual tax before 30 June if enrolled by 31 May, or within one month of enrolment if they enrol later.

What is the penalty for late payment of professional tax in Andhra Pradesh?

Interest of 2% a month or part of a month runs on unpaid tax. If you still don't pay after a demand notice, the assessing authority can add a penalty of 25% to 50% of the tax. Late returns can attract ₹5 to ₹100 for each day of delay, and failing to register can cost an employer ₹10 to ₹20 a day.

Who is exempt from professional tax in Andhra Pradesh?

Entry 39 of the schedule exempts agriculturists, people performing religious duties, listed skilled workers such as goldsmiths, carpenters, masons, plumbers, tailors, barbers, toddy tappers and electricians, persons with 40% or more disability, and dry cleaners. Salaried people earning up to ₹15,000 a month also pay nothing.

Sources & verification

Figures on this page were checked against the sources below when it was last reviewed on 7 October 2026. Each rate and limit is stored once with its own official source and review date, and official update channels are monitored daily so changes are picked up. How we verify

1. 1.APPT Schedule — First Schedule to the AP Tax on Professions, Trades, Callings and Employments Act, 1987 (as amended up to date) — Commercial Taxes Department, Government of Andhra Pradesh · accessed 7 October 2026
2. 2.My Profession Tax — Andhra Pradesh Profession Tax portal — Commercial Taxes Department, Government of Andhra Pradesh · accessed 7 October 2026
3. 3.APPT Act 1987 (as amended) — sections 5, 6, 7, 10, 11, 12, 22 and 31; APPT Rules 1987 — Commercial Taxes Department, Government of Andhra Pradesh · accessed 7 October 2026
4. 4.GOs & Notifications — APPT — Commercial Taxes Department, Government of Andhra Pradesh · accessed 7 October 2026
5. 5.Revised rates of Profession Tax in Andhra Pradesh (G.O.Ms.No.82 dated 04-02-2013) — TaxGuru · accessed 7 October 2026
6. 6.Telangana Tax on Professions Act, 1987 — First Schedule — Commercial Taxes Department, Telangana · accessed 7 October 2026
7. 7.Andhra Pradesh Professional Tax Rules: applicability and payment — Zoho Payroll Academy · accessed 7 October 2026
8. 8.Professional Tax Andhra Pradesh — Act and rules summary — greytHR · accessed 7 October 2026