Effective from 1 April 2022
Entry 1: Salary and Wage Earners
Under the first proviso to section 3(2) the rates for entry 1 are fixed by the State Government by notification. The same slab applies to sub-entry (A), salary and wage earners of the State Government, Central Government, Panchayats, public sector undertakings and grant-in-aid institutions, and to sub-entry (B), all other salary and wage earners.
| Monthly salary or wages | Rate of tax | Effective from |
|---|---|---|
| Up to ₹12,000 | Zero | 01/04/2022 |
| More than ₹12,000 | ₹200 per month | 01/04/2022 |
Explanation I: where salary or wages are payable for a period other than a month, the monthly figure is reckoned on the actual amount paid or payable for a month. Explanation II: where a person ceases to be a salary or wage earner before the end of a month, the tax for that month is reduced proportionately. The employer deducts the tax and is liable to pay it whether or not the deduction is made (section 4).
Rate sheet updated as on 27/06/2024
Entries 2 to 10: Rates Where the State Government Is the Designated Authority
Since 1 April 2008 the tax is levied by Designated Authorities (Municipal Corporations, Municipalities, Panchayats or the State Government) at the rate each fixes, within the maximum in Schedule I. The rates below are the ones the Commercial Tax Department publishes for cases where the State Government is the Designated Authority.
| Entry | Class of persons | Rate of tax | Effective from |
|---|---|---|---|
| 2 | Legal practitioners including solicitors and notaries public; medical practitioners including medical consultants and dentists; technical and professional consultants including architects, engineers, RCC consultants, tax consultants, chartered accountants, actuaries and management consultants; chief agents, principal agents, special agents, insurance agents and surveyors or loss assessors under the Insurance Act, 1938; all contractors other than building contractors; commission agents, dalals and brokers other than estate brokers; automobile brokers; tour operators and travel agents; cable TV operators; film distributors; owners of advertisement agencies; owners of tuition classes or tutorial institutions; owners of institutions or service providers engaged in computer education or training, or online information and database service; owners of driving schools; owners of marriage halls and party plots; angadia or courier service providers; owners of health clubs and recreation clubs. | ₹1,000 per year | 01/04/2008 |
| 3 | Members of associations recognised under the Forward Contracts (Regulation) Act, 1952; members of recognised stock exchanges; owners or lessees of oil pumps and service stations; licensed foreign liquor vendors and employers of residential hotels and theatres; public limited or private limited companies registered under the Companies Act, 1956 and engaged in any profession, trade or calling; individuals or institutions conducting chit funds; banking companies; State level and district level co-operative societies engaged in any profession, trade or calling; co-operative sugar factories and spinning mills; estate agents, estate brokers or building contractors; owners or lessees of video parlours or video libraries. | ₹1,000 per annum | 01/04/2008 |
| 4 | Firms registered under the Indian Partnership Act, 1932 which are engaged in any professions, trades or callings. | ₹1,000 per annum | 01/04/2008 |
| 5 | Occupiers of factories as defined in the Factories Act, 1948. | ₹1,000 per annum | 01/04/2008 |
| 6 | Employers of establishments as defined in the Bombay Shops and Establishments Act, 1948, where on an average the employees employed in the establishment during a year are more than five per day. | ₹1,000 per annum | 01/04/2008 |
| 7(i) | Dealers as defined in the Gujarat Value Added Tax Act, 2003 whose annual gross turnover of all sales or of all purchases is not more than ₹5,00,000. | Zero | 02/12/2021 |
| 7(ii) | Such dealers: more than ₹5,00,000 but not more than ₹10,00,000. | ₹1,250 per annum | 02/12/2021 |
| 7(iii) | Such dealers: more than ₹10,00,000. | ₹2,400 per annum | 02/12/2021 |
| 7A(i) | Suppliers as defined in the Gujarat Goods and Services Tax Act, 2017 whose turnover in State is not more than ₹5,00,000. | Zero | 02/12/2021 |
| 7A(ii) | Such suppliers: more than ₹5,00,000 but not more than ₹10,00,000, and not registered under that Act. | Zero | 02/12/2021 |
| 7A(iii) | Such suppliers: more than ₹5,00,000 but not more than ₹10,00,000, and registered under that Act. | ₹1,250 per annum | 02/12/2021 |
| 7A(iv) | Such suppliers: more than ₹10,00,000, whether registered under that Act or not. | ₹2,400 per annum | 02/12/2021 |
| 8 | Holders of permits for transport vehicles granted under the Motor Vehicles Act, 1988, used or adapted to be used for hire or reward, where the person holds permits for more than two transport vehicles (buses, taxis, trucks or three wheeler goods vehicles). Persons residing together as members of one family and holding separate permits are one person for this entry. | ₹1,000 per annum | 01/04/2008 |
| 9 | Money lenders licensed under the Bombay Money-Lenders Act, 1946. | ₹1,000 per annum | 01/04/2008 |
| 10 | Persons other than those in the preceding entries who are engaged in any professions, trades, callings or employments and in respect of whom a notification is issued under the fourth proviso to section 3(2). | ₹1,000 per annum | 01/04/2008 |
No rows match — clear the filter to see all.
For entry 7 the year is the year as defined in section 2(36) of the Gujarat Value Added Tax Act, 2003. For entry 7A, turnover in State has the meaning given in the Gujarat Goods and Services Tax Act, 2017, during any financial year or part of it.
Section 3 and Schedule I, from 1 April 2008
Maximum Rates in Schedule I and the Role of Local Bodies
| Point | Figure | What the Act says | Provision |
|---|---|---|---|
| Who levies the tax | Designated Authority | A Municipal Corporation, a Municipality, a village, taluka or district Panchayat or the State Government, as designated by notification for a class of persons and an area. The tax is levied for the benefit of the Panchayats, Municipalities, Municipal Corporations or the State. | s.2(aa), s.3(1) |
| Rate for entries 2 to 10 | Fixed by the Designated Authority | At the rate fixed by the Designated Authority, not exceeding the amount against the class in Schedule I. The State Government may notify a minimum rate. | s.3(2) and third proviso |
| Maximum rate printed in Schedule I for entries 2 to 10 | ₹2,500 per annum | As printed in the Act copy amended up to Gujarat Act 10 of 2008. In that copy the first dealer slab in entry 7 (turnover not more than ₹2,50,000) is Zero. | Schedule I (from 1-4-2008) |
| Rate for entry 1 (salary and wages) | Fixed by the State Government | By notification in the Official Gazette. | s.3(2), first proviso |
| Limit for any one person | ₹2,500 in a year | The tax payable in respect of any one person shall not exceed two thousand and five hundred rupees in any year. | s.3(2), second proviso |
Exemptions printed below Schedule I, for entries 2 to 10: companies in respect of which winding up orders are passed, from the date of the order; co-operative societies under liquidation, from the commencement of liquidation proceedings; and a primary co-operative society whose members are workers carrying on its activity by their own labour.
Practical
How to Use This Chart
- For payroll, deduct nil up to ₹12,000 of monthly salary and ₹200 a month above ₹12,000.
- For any class other than salary, first find out which Designated Authority collects the tax at the place of business. A Municipal Corporation, Municipality or Panchayat may have fixed its own rate within the ₹2,500 maximum.
- A person who falls under more than one entry pays under the entry with the highest rate (section 3(3)).
- A person under entries 2 to 10 pays for the whole year even if engaged in the profession, trade or calling for part of the year (section 3(4)).
- A person liable to more than one Designated Authority pays to the one where the liability is highest (section 3(5)).
Not shown on this page
- The rates for entries 2 to 10 are those published by the Commercial Tax Department for cases where the State Government is the Designated Authority. Rates fixed by individual Municipal Corporations, Municipalities and Panchayats are not shown.
- The rate sheet is marked "Updated as on 27/06/2024". A change notified after that date is not included.
- The notifications that fixed the salary slab from 1 April 2022 and the dealer and supplier slabs from 2 December 2021 are not on file; their numbers are not quoted here. The figures and effective dates are as printed in the department rate sheet.
- The Act copy read is amended only up to Gujarat Act 10 of 2008. Entry 7A (suppliers under the Gujarat GST Act) appears in the rate sheet but not in that copy, so the Schedule I maximum for it is not shown.
- Notifications under entry 10, exemption notifications, enrolment and registration procedure, returns, interest and penalties are not covered.
Official documents behind this page
- Rate of Profession Tax under the Gujarat State Tax on Professions, Trades, Callings and Employments Act, 1976, where State Government is Designated Authority, "Updated as on 27/06/2024" (Gujarat Commercial Tax Department, commercialtax.gujarat.gov.in)Entries 1 to 10 and 7A with the rate of tax and the effective date of each (01/04/2022 for entry 1, 02/12/2021 for entries 7 and 7A, 01/04/2008 for the rest), Explanations and Notes 1 to 3.
- Gujarat State Tax on Professions, Trades, Callings and Employments Act, 1976 (President Act 11 of 1976), Gujarat Commercial Tax Department copy amended up to Gujarat Act 10 of 2008Section 2(aa) (Designated Authority), section 3(1) to 3(5) (levy, rates fixed by the Designated Authority, entry 1 rates by State notification, limit of ₹2,500 a year), section 4 (employer liability), Schedule I as substituted with effect from 1-4-2008 (maximum rates) and the exemptions printed below it.
Disclaimer: This guide is general information based on the law and notifications in force when it was last updated. It is not professional advice for your case — rates, thresholds and due dates change, so check the current position or speak to our CA team before you act on it.