Professional Tax in Bihar — Slabs, Registration & the September Deduction
Quick answer: Bihar levies professional tax under its 2011 Act — nil up to ₹3 lakh a year, ₹1,000 to ₹5 lakh, ₹2,000 to ₹10 lakh, ₹2,500 above — deducted from the September salary and deposited by the employer, who needs a registration certificate from the Commercial Taxes Department. Delhi, UP and Haryana do not levy it, which is why NCR payroll vendors miss it for Patna offices. We register, run the deduction and file the return.
Last verified 4 October 2026 — rules on this page checked against the current notifications. We update it the day a rule changes.
Bihar professional tax — slabs, timing, who files
| Annual salary / wages | Tax per year |
|---|---|
| Up to ₹3,00,000 | Nil |
| ₹3,00,001 – ₹5,00,000 | ₹1,000 |
| ₹5,00,001 – ₹10,00,000 | ₹2,000 |
| Above ₹10,00,000 | ₹2,500 |
Employer obligations in Patna
- Obtain the employer registration certificate on the Commercial Taxes portal (and an enrolment certificate where the firm is itself liable)
- Map every employee to the slab on annual salary, including Bihar-posted staff of NCR companies
- Deduct in September; deposit and file the return by the due date; keep the register
- Show the deduction on Form 16 so the employee gets the income-tax deduction
- Update registration on change of name, address or constitution; cancel on closure
What we do
- Registration and enrolment, with the Shop Act, EPF and ESIC files for the same establishment — see Patna employer registrations
- Payroll setup for the September deduction and the annual return; multi-state payrolls (Bihar branch of an NCR company)
- Replies to assessment or penalty notices from the Commercial Taxes Department
Related: company registration in Patna · GST in Patna · income tax & TDS in Patna · Bihar practice.
Talk to us before you file anything
Frequently asked questions
Who pays professional tax in Bihar?
Salaried employees above the slab (deducted and deposited by the employer), and self-employed professionals, traders and businesses enrolled under the Bihar Tax on Professions, Trades, Callings and Employments Act, 2011. Delhi, UP and Haryana do not levy it — which is why NCR payroll vendors miss it for Patna offices.
What are the Bihar professional tax slabs?
On annual salary or wages: up to ₹3,00,000 — nil; ₹3,00,001 to ₹5,00,000 — ₹1,000; ₹5,00,001 to ₹10,00,000 — ₹2,000; above ₹10,00,000 — ₹2,500 per year (the statutory maximum). We confirm the current schedule on the Commercial Taxes Department's notification before each payroll year.
When is Bihar professional tax deducted?
For employees it is an annual deduction, made from the salary of September; employers deposit it and file the return by the due dates set under the Rules. Late payment carries interest and penalty.
Does the employer need a separate registration?
Yes — a registration certificate as an employer (to deduct and deposit for staff) and, where the employer is itself a person liable, an enrolment certificate for its own tax. Both are obtained from the Commercial Taxes Department through its online portal; there is no application fee.
Is professional tax deductible for income tax?
Yes — the amount paid is allowed as a deduction from salary income under the Income-tax law, which is why it should appear correctly on Form 16.
I run a Noida company with a Patna branch — am I liable?
Yes, for employees working in Bihar. The Patna establishment needs the employer registration and the September deduction for its Bihar staff; the Noida payroll needs no PT. We run both correctly from one payroll setup.