PTEC and PTRC (Registration / Payment / Profile Creation / Returns) – Maharashtra

FAQs

 Q: Are there any other fees related to the PTRC registration process?

Ans: All professional fees, as well as a comfort charge, are included in the plan fee. The relevant government charges vary by state because professional taxation is a state-level tax. Government fees will be determined on an individual basis.

Q: Can one make payment of the professional tax liability under PTEC and PTRC in one lump sum?

Ans: In some states, the concept of a composition scheme exists. For example, in Mumbai, the government introduced a system under which anyone who owes the government ₹ 2,500 per month can make a lump sum payment of ₹ 10,000 and their 5-year payment obligation erased.

Q: Who is in charge of deducting taxes and depositing them to the government?

Ans: In the context of PTEC and PTRC, in self-employed individuals, the taxes are paid by the person himself. In the event of employees, the employer bears responsibility.

Q: Who is liable to pay Profession Tax in the State of Maharashtra? 

Ans: Any person who is engaged in any profession, Trade, callings, and employment in the State of Maharashtra is liable to pay Profession Tax. A person includes a Hindu undivided family, firm, company, corporation, or other corporate body, any society, club, or association. 

Q: What are the types of Profession Taxpayers? 

Ans: There are 2 types of Profession Taxpayers

a) Profession Tax Enrollment Certificate (PTEC): Any person engaged in Profession, Trade, and Callings and falling under one or the other of the classes mentioned in the second column of Schedule I shall obtain PTEC

b) Profession Tax Registration Certificate (PTRC): Every employer who has employed even a single employee whose salary is above the prescribed limit for deducting Profession Tax shall obtain PTRC. 

Q: What is the time limit to apply for Enrollment / Registration? 

Ans: A person/employer shall apply within 30 days of becoming liable to pay tax. 

Q: Which forms are to be used for applying PTEC and PTRC? What is the method of application? 

Ans: The person who is liable to obtain PTEC shall apply in Form II and an employer who is liable to obtain PTRC shall apply in Form I. Both applications shall be made online on Maharashtra Goods and Services Tax Department’s (MGSTD) website www.mahagst.gov.in 

Q: Whether I have to create a profile for the application of PTEC and/or PTRC? 

Ans: Every entity who wants to apply for registration for any of the Acts governed by MGSTD shall create a profile on www.mahagst.gov.in. a) If any applicant has already obtained registration under any of the Acts and wants to apply for registration under another Act shall create his profile by selecting the option “Create Profile for New System” under “Log in for e-services”. After the creation of the profile, he can use the e-services also. b) applicant other than ‘a’ above shall create his profile by selecting the option “ New Dealer Registration” under “Other Acts Registration”. 

Q: What are the documents required to be uploaded along with the application? 

Ans:

fa) For PTEC no documents are required to be submitted.

b) For PTRC the list of required documents is given in Trade Circular 20T of 2017 Dt 16/6/2017.

Q: What are the penalty provisions, if I apply late for registration / Enrollment? 

Ans: As per Section 5(5) of the PT Act, where an employer or a person liable to registration or enrolment has failed to apply for a such certificate within the required time, the prescribed authority may impose a penalty of rupees five for each day of delay in case of such employer and rupees two for each day of delay in case of such person 

Q: How do I know that the application submitted by me is in order or that any query has been raised against my application? 

Ans: If the query is raised against the application a defect memo is sent to the registered mail ID of the applicant. The applicant has to comply with the query within 30 days from the date of the query raised. If he does not comply within 30 days, his application gets rejected. However, he can reapply using the same application again. He can check the status of his application by entering his PAN at “RC Download” in “Other Acts Registration”.

a) If the status is shown “With STO” then the application is with nodal officer.

b) If the status is shown as “With Applicant” then either the application is not submitted by the applicant or the officer has raised the query. 

Q: How do I know that PTEC / PTRC Tax Identification Number (TIN) has been allotted to me? 

Ans: A mail is sent on a registered mail ID containing digitally signed PTRC / PTEC immediately after granting TINs. The user can check the same by entering his PAN at “RC Download” in “Other Acts Registration”. He can download the Registration / Enrollment certificate by clicking the ‘Print / Preview’ button. 

Q: What is the due date for PTEC payment after obtaining TIN? 

Ans:

a) If the PTEC TIN holder has any previous year’s liability shown in the certificate, he has to discharge the same immediately.

b) Current year’s tax liability can be discharged up to 30th June of that financial year if the enrollment is taken before 31st May. If the enrollment is taken after that the liability shall be discharged within 30 days from the date of enrollment.

c) For future financial years, he has to discharge his tax liability up to 30th June of every financial year. 

Q: What are the due dates for making payments to PTRC?

Ans: Due date for making the payment is the last date of the month to which the return relates. 

Q: What are the periodicities for PTRC payment and return after obtaining TIN? 

Ans:

 a) As per Rule 11A employer has to discharge his liability and file the return monthly up to the end of the financial year in which he has obtained PTRC TIN.

b) From next year, if his previous year’s tax liability was i) less than Rs 50,000/- then his periodicity to pay tax and file return for the current financial year is annual. However, an employer can discharge his liability multiple times by selecting a yearly period while making payments. ii) Rs 50,000/- or above then his periodicity to pay tax and file return for the current financial year is monthly. 

Q: I want to change the Address of the Place of Activity, what is the procedure? 

Ans: The user can apply for amendment by login >> Registration >> Amendment >> Email / Mobile or Other. 14) How to apply for cancellation? Ans: The user can apply online for cancellation by login >> Registration >> Cancellation. 

Q: Whether PTRC and PTEC holders must make e-Payment

Ans: As per notification No PFT.1012/ C.R.29/ Taxation-3 Date 14-June-2012 e-Payment is made mandatory for Profession Tax Registration Certificate (PTRC) holders. However, it is optional for Profession Tax Enrollment (PTEC) holders. 

Q: From which website payment can be made?

Ans: e-Payment shall be made through www.mahagst.gov.in >> e-Payment. 

Q: What are the options available in e-Payment for Profession Taxpayers?

Ans: Options available for Profession Taxpayers are a) Advance Payment and b) Order Dues Payment.

Q: Which option I should select for payment of Profession Tax deducted from the salary of my employees (PTRC) and/or payment of PTEC? 

Ans: The taxpayer should select the ‘Advance Payment’ option to make payment of PTRC and PTEC. 

Q: Which option I should select for payment of Profession Tax liability arising out of any order passed by the Profession Tax Department?

Ans: Taxpayers shall select ‘Order Dues payment’ for discharging liability other than 16 above.

Q: What is the procedure to make a payment?

 Ans:

1. go to www.mahagst.gov.in 
2. and put your mouse pointer on e-Payment. The tile will flip and an option will be displayed. 
3. Select the appropriate option 
4. Enter Your TIN, and captcha and Press the Next button 
5. Select Act, form ID, Financial Year, Period, and Location. Enter the amount and then press Proceed for Payment. 
6. Agree to the refund policy by clicking the radio button and then select payment gateway and clicking on Proceed 
7. Draft challan will be displayed 
8. Click on Make Payment
9. The payment gateway page will be displayed Select Bank in which you hold a net banking account. 
10. Click on Proceed for Payment 
11. Gateway will redirect you to the bank web-page 
12. enter your login credentials for net banking and make payment. 
13. The final receipt in MTR-6 will be generated. A stepwise detail process is given in the Trade Circular 48T of 2017 

Q: How to make the payment if I don’t have a net banking account or I don’t have an account in any of the listed banks for e-payment 

Ans: The taxpayer can make the payment by using “Payment Across the Bank Counter” provided by GRAS. The detailed procedure for generating challan for “Payment Across the Bank Counter” is given in the What’s New section under “Process for challan generation for Payment Across Bank Counter through GRAS." 

Q: Which period do I have to select in Challan while making a PTRC payment if my periodicity is monthly?

Ans: While making PTRC monthly payments, in the period dropdown, the employer shall select the succeeding month of the month to which salary pertains. e.g. select June in the period dropdown to deposit PT deducted from the salary of May. Refer to Rule 11 of PT Rule 1975, illustration given under Rule 11 and point no 7 of Trade Circular 48T of 2017 clarifying the Rule. 

Q: Which period do I have to select in Challan while making a PTRC payment, if my periodicity is yearly? 

Ans: While making PTRC yearly payment in the period dropdown, the employer shall select 01/04/YYYY to 31/3/YYYYY i.e. full financial year. The user can discharge his liability multiple times by selecting a yearly period. 

Q: The error is coming as “Balance payable should not be more than zero” though I have made the payment by selecting the proper period. 

Ans: Sometimes the status of the challan and bank CIN is not updated on a real-time basis by the bank. So if the Challan Identification Number (CIN) is not available in the payment details then the system does not auto-populate Challan details in the Draft Return and hence it has resulted in this error. Users can obtain the real-time status by clicking “Get Status”. If the status of the payment is updated as successful from the bank then “Get Status” will be converted into “View Challan”. Then this challan will be auto-populated in the return and it will resolve the error. 

Q: What is the process to generate the Challan if I am unable to take a printout at the time of payment? 

Ans: 

a) After login into the department's website www.mahagst.gov.in user can reprint the challan by path Payments >> Pending Transaction History >> View Challan. A PDF of Challan will get generated when the user clicks on “View Challan”. 

b) If the status of the payment is not updated by the bank on a real-time basis, the status of the challan is shown as “Get Status”. Users can obtain the real-time status by clicking “Get Status”. If the status of the payment is updated as successful from the bank then “Get Status” will be converted into “View Challan”. A PDF of Challan will get generated when the user clicks on “View Challan”. 

Q: What is the process to correct the period, if I have selected the wrong period in challan? 

Ans: The taxpayer shall apply to the Nodal Profession Tax Officer of his jurisdiction for any type of corrections in the challan.

Q: Though I have created a profile on the new system, I am unable to access services (file return / Make Amendment application). 

Ans: The dealers/employers who are registered under any of the Acts governed by the Maharashtra Goods and Services Tax Department (MGSTD), shall create their profile through option ‘Profile for Registered Dealer’ which is available under the ‘Login for e-Services’ Tile. However, it is observed that employers have created profiles by choosing the option ‘New Dealer Registration’ available under the ‘Other Act Registration’ Tile. This option is to be chosen by the dealers/employers who do not have registration under any of the Acts governed by the MGSTD. If the employers have created profiles by using ‘New Dealer Registration’, they should raise a service request Ticket by using “May I Help You >> Service Request” The issue should be described in detail. MGSTD will remove such a profile from the system and inform the dealer of the registered mail ID. After this employer can create a profile by using the proper option.

Q: How can I file the PTRC Return?

Ans: 

a) The employer shall use his login credentials for using e-services of www.mahagst.gov.in 

b) Click on Returns 

c) Select “Return Submission Other Than VAT/CST”

 d) Select Act then press Next 

e) Select “Return Type” and press Next 

f) Select Month and press Next' 

g) Select File by clicking the Browse button and then Click OK 

h) Click on “Upload file“ 

i) Draft Return will be shown 

j) Click on “Submit” and the return will get uploaded and a final receipt with the return will be generated. 

Q: What period I should select in the return at “Period Covered by the Return” and in which month do I have to show the number of employees?

Ans: 

a) If the periodicity is monthly, then the user should select the succeeding month of the month to which the salary pertains. And he should enter the number of employees in the column of Salary month. e.g. User shall select June in the column “Period Covered by the Return” if he is filing a return for the salary month of May. He should enter the number of employees in the column May. 

b) If the periodicity is yearly, then the user should select the financial year in the column “Period Covered by the return”. He should consider Salaries paid for the month of March of the previous financial year to February of the current financial year. 

Q: when I am trying to upload return error is coming as “Balance Payable should not be more than zero”? 

Ans:

a) As per Rule 11 of the PT Rules 1975, if the employer is monthly, then while making payment, the taxpayer should select the succeeding month of the month to which the salary pertains. It is noticed that employers are mentioning salary months while making payments. The SAP system matches the return month and payment month. So if the return period and payment period do not matches, then this error occurs. If such an error occurs and it is noticed that the payment period and return period differ, then the taxpayer should apply to the concerned nodal Profession Tax Officer for period correction. After period correction this error will be resolved. Detailed instructions are given in Trade Circular 48T of 2017 at point no 7. Further, the instructions are given by way of a pop-up window in the payment utility. 

b) Sometimes the status of the payment is not updated by the bank on a real-time basis. If the status of the challan is shown as “Get Status” then this challan will not get auto-populated in return. Users can obtain the real-time status by clicking “Get Status”. If the status of the payment is updated as successful from the bank then “Get Status” will be converted into “View Challan”. Then this challan will get auto-populated in return. 

Q: What is the difference between a registration certificate and an enrolment certificate?

Ans: When a payment with one or more workers exceeds ₹ 5,000 (this limitation is for Maharashtra), every employer in certain states is obligated to withhold taxes from the payment and deposit them with the state government. A registration certificate is necessary for the entity. When a person works in a profession for two or more employers and earns more than ₹ 5,000 in salary or wages, the employer does not deduct professional tax. The individual must obtain an enrolment certificate from the government.

Q: When is the professional tax imposed, and what is it?

Ans: A professional tax is a government tax on earnings generated by a professional, trade, vocation, or job. Individuals who are self-employed or hired by a firm are taxed using a slab based on their income. Currently, the maximum amount levied is ₹ 2,500.

Q: When I am trying to upload the return error is occurring as “Period Key does not match”? 

Ans: The period mentioned in the template selected at the time of uploading in SAP should be the same. If both period differs then such an error occurs. Users should select the same period in return as well as uploading utility. 

Q: At the time of return uploading error is coming as “Credit carried forward cannot be more than excess credit available” ?

Ans: Excess amount paid over the liability is shown as Refund in the return. Tax Payer has to enter it as excess credit carried forward. Then only the system will allow taxpayers to use the amount for subsequent periods. Or some time the dealer does not enter the late fee and shows the entire amount as carried forward. The system deducts the late fees if applicable and then the remaining amount is posted as carried forward in the system. But the taxpayer mentions the amount in full as brought forward, then this error occurs. The taxpayer should refer to his earlier period return to ascertain how much amount is carried forward and then the same should be entered as carried forward.