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OD PT Guide 2025-26 Verified

Professional Tax in Odisha 2025-26

Odisha professional tax slabs, the Rs.300 February deduction, monthly remittance, and employer compliance steps for HR and payroll teams.

Source: Orissa State Tax on Professions, Trades, Callings and Employments Act, 2000. Verify the current slab on the Odisha Commercial Tax portal before payroll lock.

Odisha PT at a Glance

Rs.200

Top rate

per month

Rs.300

Feb month

one-time

Rs.2,500

Annual max

per year

Rs.13,304

Exempt up to

per month

Quick Read

Odisha levies professional tax under the 2000 Act. Salaries up to Rs.13,304 are exempt, Rs.13,305 to Rs.25,000 pay Rs.125 per month, and above Rs.25,000 pay Rs.200 per month with Rs.300 in February to total Rs.2,500 a year. Employers deduct PT each pay run and deposit monthly.

Maximum professional tax in Odisha is Rs.2,500 a year

Employees in Bhubaneswar, Cuttack, Rourkela, and across Odisha pay Rs.125 or Rs.200 per month by salary band, with Rs.300 in February for the top slab. Salaries up to Rs.13,304 are exempt, and the annual figure never exceeds Rs.2,500.

Slab Rates

Odisha Professional Tax Slabs 2025-26

PT is based on gross monthly salary. Slabs apply equally to men and women in Odisha.

Monthly Salary Professional Tax
Up to Rs.13,304 Nil
Rs.13,305 to Rs.25,000 Rs.125 / month
Above Rs.25,000 Rs.200 / month (Rs.300 in February)

PT is based on gross monthly salary. Confirm the current slab on the Odisha Commercial Tax portal before payroll lock.

Compliance Checklist

Odisha PT Compliance, Step by Step

1

Obtain registration and enrolment

Register with the Odisha commercial tax authorities. Obtain the registration to deduct PT from employees and the enrolment for the employer's own liability.

2

Deduct PT each pay run

Apply nil up to Rs.13,304, Rs.125 for Rs.13,305 to Rs.25,000, and Rs.200 above Rs.25,000. Add Rs.300 in February for the top slab.

3

Deposit monthly

Deposit the PT deducted with the state treasury each month. Enrolled professionals pay annually, with payment due by 30 June.

4

File PT returns

File the periodic PT return reconciling PT deducted with remittances. Keep month-wise records of salary, PT deducted, and challans.

5

Maintain records

Keep registers of employees, gross salary, PT deducted, and payment challans for inspection by the Odisha commercial tax authorities.

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Professional Tax in Other States

WB West Bengal JH Jharkhand BR Bihar CG Chhattisgarh AP Andhra Pradesh TG Telangana

See all state professional tax rates

FAQ

Odisha Professional Tax FAQ

What is the professional tax rate in Odisha for 2025-26?
Odisha charges nil up to Rs.13,304 a month, Rs.125 for Rs.13,305 to Rs.25,000, and Rs.200 per month above Rs.25,000 with Rs.300 in February. The annual maximum is Rs.2,500.
Why is Rs.300 deducted in February in Odisha?
To reach the Rs.2,500 annual cap, the top slab deducts Rs.200 for eleven months and Rs.300 in February. This totals Rs.2,500 across the financial year.
When is professional tax due in Odisha?
Employers deduct PT monthly and deposit it with the state treasury. Enrolled professionals pay annually, with enrolment by 31 May and payment due by 30 June.
Which Act governs professional tax in Odisha?
Professional tax in Odisha is governed by the Orissa State Tax on Professions, Trades, Callings and Employments Act 2000, administered by the state commercial tax authorities.
Is Odisha professional tax deductible from income tax?
Yes. Professional tax paid is allowed as a deduction under Section 16(iii) of the Income Tax Act 1961. The amount is deducted from gross salary before computing taxable income and appears in Form 16 Part B.
How does factoHR India handle Odisha professional tax?
factoHR India applies the Odisha slab automatically, including the Rs.300 February deduction, deducts PT each pay run, and generates remittance and return reports for each work location.

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If you employ staff in Odisha, the same workforce is also covered by minimum wage rates in Odisha, working-hour and overtime rules in Odisha, Labour Welfare Fund rates in Odisha, and the public holiday calendar for Odisha. Keep every Odisha statutory obligation aligned across your payroll.