Professional tax
When to pay, how much.
The Andaman and Nicobar Islands do levy a tax on professions, trades, callings and employment — but each Gram Panchayat levies its own, and none publishes its rate.
Not yet verified against an official source- Who levies it
- Each Gram Panchayat, under rules made on the Gram Panchayats Regulation, 1961. A Zilla Parishad levy displaces the Gram Panchayat's for persons domiciled in its jurisdictionRule 21 of the A&N Islands Gram Panchayats (Levy of Taxes and Fees) Rules, 2002, and the second proviso to rule 21(2)
- Who is liable
- Any company transacting business in the gram for not less than 120 days in a year, and any person who for not less than 120 days in aggregate exercises a profession, art or calling there, transacts business, holds any appointment public or private, or resides there and receives a pension or income from investmentsRule 21(1)
- The income classes
- Class I: ₹10,000 a month or upwards; Class II: ₹5,000 or upwards but below ₹10,000; Class III: ₹3,000 or upwards but below ₹5,000; Class IV: ₹2,000 or upwards but below ₹3,000; Class V: ₹1,000 or upwards but below ₹2,000; Class VI: ₹500 or upwards but below ₹1,000Monthly pay, salary, pension or estimated income from all sources other than agricultureRule 21(2)
- The rate
- Whatever each Gram Panchayat decides from time to time, subject to a floor: not less than 0.5% of annual incomeRule 21(2)
- Exemption
- A Gram Panchayat may exempt one or more classes, but may not exempt a class while a lower class is still taxedRule 22
- Paying twice
- A person who lives in one gram and works in another is not liable for more than one panchayat's tax; the Deputy Commissioner apportions it between themRule 21(4)
- The amount actually payable
- Not yet addedEach panchayat fixes its own and none publishes a schedule, so no figure is shown. This is the same position as Kerala and Tamil Nadu, where the tax is a local-body tax — and it is not the same as a territory that does not levy the tax at all.