Professional tax, FY 2026-27

Professional tax in Karnataka

Karnataka takes ₹200 a month and ₹300 in February, ₹2,500 a year, once your salary is ₹25,000 a month or more. Below that you pay nothing.

Your salary before any deductions. Use your average if it changes month to month.

Professional tax on ₹40,000 a month

₹2,500a year

₹200 a month and ₹300 in February

Rules checked 21 October 2026 against the state's own schedule. How we calculate

Who charges it and how

Professional tax in Karnataka is charged under the Karnataka Tax on Professions, Trades, Callings and Employments Act, 1976. For salaried employees it is deducted from your salary by your employer, who pays it to the state; your payslip shows it as a deduction.

The Constitution limits professional tax to ₹2,500 a year for each person (article 276(2)).

Source: Karnataka Act 33 of 2025 (₹300 in February from 1 April 2025). Rules checked 21 October 2026.

Karnataka takes at most ₹2,500 a year

The ₹25,000 threshold applies from 1 April 2023 and the ₹300 February amount from 1 April 2025.

Monthly salaryProfessional tax
Up to ₹24,999Nil
₹25,000 and above₹200 a month (₹300 in February)

At 10 LPA, professional tax averages ₹208 a month in Karnataka

In-hand salary in Karnataka on common CTCs, new regime, basic at 50% of CTC and PF on full basic. The LPA pages use Maharashtra; choose Karnataka there to match this table. They do not take off ESI, which applies at lower wages in covered workplaces.

CTCGross a monthProfessional tax a yearIn-hand a month
4 LPA₹30,532₹2,500₹28,323
5 LPA₹38,165₹2,500₹35,456
6 LPA₹45,798₹2,500₹42,589
8 LPA₹61,063₹2,500₹56,855
10 LPA₹76,329₹2,500₹71,121
12 LPA₹91,595₹2,500₹85,387
15 LPA₹1,14,494₹2,500₹1,00,300
20 LPA₹1,52,658₹2,500₹1,29,330
25 LPA₹1,90,823₹2,500₹1,56,125
30 LPA₹2,28,988₹2,500₹1,80,685
A woman at a laptop by a rainy office window at dusk
Illustration

Your payslip in Karnataka can differ

Payroll teams take professional tax on the state schedule for each month, so one payslip can differ from the yearly figure divided by 12. If yours shows an amount you do not expect, ask which schedule and salary they used.

It lowers your income tax only in the old regime

In the old regime, the professional tax you pay is deducted from your salary income (section 19 of the Income-tax Act 2025). The new regime, which applies unless you choose the old one, does not allow the deduction (section 202(2)(a)). Compare the two regimes.

Karnataka professional tax, in short

How much is professional tax in Karnataka?

Karnataka takes ₹200 a month and ₹300 in February, ₹2,500 a year, once your salary is ₹25,000 a month or more. Below that you pay nothing.

Is professional tax deductible from income tax in Karnataka?

Only in the old regime, where the professional tax you pay is deducted from your salary income under section 19 of the Income-tax Act 2025. The new regime, which is the default, does not allow it.

Professional tax in other states

Professional tax in every state we cover

Work out your whole salary

These figures are estimates based on the information you entered and the rules for tax year 2026-27 under the Income-tax Act 2025 as it stands after Budget 2026, EPFO notifications and state professional tax schedules. They are general information, not tax, financial or legal advice. Your actual in-hand salary can differ, for example because of your company's salary structure, variable pay, PF rules, your regime choice, TDS timing or your state. Check your payslip, or ask your payroll team or a chartered accountant, before relying on these figures.