Bihar charges PT on annual income: nil up to ₹3 lakh, ₹1,000 up to ₹5 lakh, ₹2,000 up to ₹10 lakh and ₹2,500 above. The employer deducts the whole year's tax from September salary, deposits it by 15 November and files the annual statement in Form PT-IV by the end of November.
Professional tax slabs in Bihar
Professional tax in Bihar is levied under the Bihar Tax on Professions, Trades, Callings and Employments Act, 2011. It is fixed on annual salary or income. The rates below are notification S.O. 28 of 2 February 2016, which substituted the Schedule from its date of issue, as published on the official source listed at the end of this page (checked 21 October 2026). Article 276 of the Constitution caps professional tax at ₹2,500 a year per person.
| Annual income | PT a year |
|---|---|
| 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 |
Bihar PT is a once-a-year deduction, not a monthly one.
Who deducts it and registration
Rule 5 of the 2011 Rules makes every employer deduct the tax from the employee's salary for September each year. The employer's certificate of registration is in Form PT-II; its registration number is the employer's TAN prefixed with "10" (or PAN if it has no TAN). Individuals apply for enrolment in Form PT-IA within 7 days of becoming liable. An employee who will pay personally gives the employer a certificate in Form PT-VII.
The employee does not pay separately when the employer deducts: the deduction on the payslip is the employee's tax, and the employer is liable if it fails to deduct or pay.
Due dates and payment
- Deduct from September salary; deposit by 15 November.
- Annual statement in Form PT-IV by 30 November.
- Late or additional liability (for example after a raise): deduct from February salary and deposit by 15 April.
Keep the challan or payment receipt for each period and reconcile it with the payroll register: a mismatch between what payslips show and what was paid is the most common finding when the department checks an employer.
Penalties and interest
The official Bihar documents we opened do not state the penalty or interest amounts. The Act provides consequences for failing to register, deduct, pay or file; read the current Act on the state portal or ask the assessing authority before relying on a figure from elsewhere.
Worked example: Bihar
A Patna pharmacy chain has three employees.
| Monthly salary | Annual income | PT for the year | Deducted from |
|---|---|---|---|
| ₹22,000 | ₹2,64,000 | Nil | Nil |
| ₹35,000 | ₹4,20,000 | ₹1,000 | September salary |
| ₹60,000 | ₹7,20,000 | ₹2,000 | September salary |
If the ₹35,000 employee is raised to ₹60,000 from December, annual income becomes ₹5,20,000 (₹35,000 × 8 + ₹60,000 × 4) and the slab moves to ₹2,000; the extra ₹1,000 is deducted from February salary and deposited by 15 April.
Getting PT right on every payslip
- Use the expected annual salary to pick the slab, and recheck after every raise or arrears payment.
- Register in each state where you employ people: PT follows the place of work, not the head office.
- Show PT as a separate deduction on the payslip, next to PF, ESI and TDS.
- Under the new income-tax regime PT is not deductible from salary income; under the old regime it is.
Check take-home pay with the salary calculator, the employer and employee shares with the PF calculator and ESI calculator, and show every deduction clearly using the salary slip format. FundRaksha HR calculates professional tax with PF, ESI and TDS on each payroll run and produces the PT, PF ECR and ESI files, so the deduction on the payslip and the amount paid agree. Compare all states on the professional tax slabs by state page.
Sources
Last reviewed: 2026-10-21. Information for Indian businesses; not legal advice.