Tamil Nadu professional tax slab rates (Greater Chennai Corporation)
Tamil Nadu levies professional tax under the Tamil Nadu Urban Local Bodies Act,
1998 (Chapter VI-A, Section 117), as amended in 2022. Unlike most states, tax is assessed
half-yearly on half-yearly income, not monthly salary.
| Half-yearly income (₹) | Professional tax |
|---|---|
| Up to 21,000 | Nil |
| 21,001 – 30,000 | ₹180 / half-year |
| 30,001 – 45,000 | ₹425 / half-year |
| 45,001 – 60,000 | ₹930 / half-year |
| 60,001 – 75,000 | ₹1,025 / half-year |
| 75,001 and above | ₹1,250 / half-year |
Annual maximum: ₹2,500/year (₹1,250 × 2 half-years). These are Greater Chennai
Corporation rates (R.D.(HQ).C.No.PT/SPL/2024, 6 Mar 2025); other
corporations/municipalities set their own schedules
Who needs to pay professional tax in Tamil Nadu?
Professional tax applies to anyone earning income in Tamil Nadu through employment, trade, calling or profession, once half-yearly income crosses the local body's exemption threshold. Under Section 117-C, employers are liable to deduct and pay the tax on the employee's behalf; Section 117-F carries penalty and interest on any shortfall, borne by the employer.
Employer responsibility
Employers register locally, deduct against half-yearly income, and file through the
relevant corporation.
- Register with the relevant local municipal corporation
- Deduct professional tax based on half-yearly income, not monthly salary
- File returns on Form 14 and Form 15 through the corporation's portal
- Remit payment before the half-yearly due date
- Maintain records for audit
Due date and filing
Tamil Nadu collects PT half-yearly: before 30 September for the April–September half, and 31 March for the October–March half. The Greater Chennai Corporation requires employers to have deducted the second half-year's tax from salary by January, ahead of the March remittance.
Registration process in Tamil Nadu
Registration is with the local municipal corporation administering the employer's location (e.g. Greater Chennai Corporation for Chennai), not a single state tax department. Employers with offices in multiple Tamil Nadu cities may need to register separately with each local body.
Current vs. outdated (pre-2022) rates
A Tamil Nadu table topping out below ₹2,500 a year is a reliable sign it's out of date.
| Half-yearly income (₹) | Pre-2022 tax | Current (2025) tax |
|---|---|---|
| Top slab (75,001+) | ₹1,095 / half-year | ₹1,250 / half-year |
| Old annual maximum | ₹2,190 | ₹2,500 |
Common payroll mistakes to avoid
- Matching the slab against monthly salary instead of half-yearly income
- Using outdated pre-2022 rates instead of the current Greater Chennai Corporation schedule
- Applying Chennai's rates to employees working out of Coimbatore, Madurai or another corporation with its own schedule
- Missing the January cutoff Chennai sets for deducting the second half-year's tax from salary
- Registering with a state tax department instead of the correct local municipal corporation
Let HONO apply Tamil Nadu professional tax in every payroll run
HONO applies state and local-body specific payroll rules, including Tamil Nadu's half-yearly PT cycle, based on employee location and payroll configuration.