Professional Tax in Karnataka
By Varun M
Karnataka simplified its professional tax slab in 2025 — if you're seeing a three-tier structure with a ₹150 middle slab quoted anywhere, that's the old rule. Here's what actually applies now.
Professional Tax Calculator
Enter your own salary to see your exact monthly and annual professional tax.
The short answer
Nil up to ₹25,000/month, then a flat ₹200/month above that (₹300 in February) — totalling exactly ₹2,500/year. Just two tiers, not three.
2025 amendment: three tiers became two
The Karnataka Professional Tax (Amendment) Act, 2025 (Karnataka Act No. 33 of 2025), effective 1 April 2025, raised the exemption threshold from ₹15,000 to ₹25,000/month and removed the old middle slab entirely (which used to charge ₹150/month between ₹15,000 and ₹25,000). If a source shows a nil/₹150/₹200 three-tier structure, it's describing the pre-amendment rule — still common online since not every publisher has updated. The two-tier structure below is current.
The slab, month by month
| Monthly salary | Monthly PT |
|---|---|
| Up to ₹25,000 | Nil |
| Above ₹25,000 | ₹200 (₹300 in February) |
Who's liable
Every salaried employee earning above ₹25,000/month is liable, with the employer deducting and remitting on their behalf. Self-employed professionals, traders, and businesses are separately liable under the same Act via their own enrollment — not modelled by this calculator, which covers salaried employees.
Payment and filing
Deducted monthly from your payslip. Registered employers typically remit the deducted tax and file returns monthly, commonly by the 20th of the following month — confirm your employer's exact cadence with Karnataka's Commercial Taxes Department if you need the precise date.
The ₹2,500 cap, in context
Like Maharashtra, Karnataka's top slab is structured to hit the Article 276(2) constitutional ceiling exactly: ₹200 × 11 months + ₹300 in February = ₹2,500, the maximum any state can charge per person per year. Compare this to Telangana, which also tops out at ₹200/month but with no February adjustment — landing at ₹2,400/year instead.
Worked examples
- ₹20,000/month: under ₹25,000 — ₹0.
- ₹25,000/month exactly: still within the "up to ₹25,000" band — ₹0. The threshold is inclusive; you need to earn more than ₹25,000 to trigger the tax.
- ₹30,000/month: above ₹25,000 — ₹200/month (₹300 in February), ₹2,500/year.
Related reading
- Professional tax in Maharashtra — the other state using the same February top-up to hit ₹2,500 exactly.
- Professional tax in Telangana — a major tech-hub state with a lower exemption threshold and no February adjustment.
- Professional tax in Andhra Pradesh — identical structure to Telangana, both inherited from the same pre-2014 Act.
- States with no professional tax — 15 states and UTs where this deduction simply doesn't apply.
Professional tax is one of the deductions modelled in the Take-Home Salary Calculator — use it for your full monthly breakdown, not just professional tax on its own.
FAQ
Nil up to ₹25,000/month, then a flat ₹200/month above that (₹300 in February, totalling ₹2,500/year) — just two tiers, effective from the Karnataka Professional Tax (Amendment) Act, 2025.
No. The Karnataka Professional Tax (Amendment) Act, 2025, effective 1 April 2025, raised the exemption threshold from ₹15,000 to ₹25,000 and removed the middle ₹150 slab entirely. Sources still showing a three-tier nil/₹150/₹200 structure are describing the pre-amendment rule.
1 April 2025, under the Karnataka Professional Tax (Amendment) Act, 2025 (Karnataka Act No. 33 of 2025), Gazette notified 15 April 2025.
To make the annual total land exactly on the Article 276(2) constitutional cap of ₹2,500/year: ₹200 × 11 months + ₹300 in February = ₹2,500.
Every salaried employee earning above ₹25,000/month, with the employer deducting and remitting on their behalf. Self-employed professionals and businesses are separately liable through their own enrollment, not modelled by this calculator.
Last verified: 15 Aug 2026
Sources: Article 276(2) of the Constitution (₹2,500/year cap); Karnataka Tax on Professions, Trades, Callings and Employments Act, 1976, as amended by the Karnataka Professional Tax (Amendment) Act, 2025 (Karnataka Act No. 33 of 2025, Gazette notified 15 April 2025, effective 1 April 2025), corroborated across multiple independent tax-compliance publishers. Payment/filing cadence corroborated via secondary sources with lower certainty than the slab figures.
This is an indicative estimate for salaried employees, not accounting or legal advice. It does not cover self-employed/professional enrollment tax. Confirm your exact liability with your employer's payroll team or a qualified professional.