State of Maharashtra introduce new optional professional tax scheme

The Government of Maharashtra vide Notification dated 18th September 2019, has published a scheme called One Time Payment of Tax Scheme, 2019 to provide an optional Scheme for advance payment of professional tax under Maharashtra State Tax on Professions, Trades, Callings and Employments Act, 1975 in advance, for enrolled professionals. The scheme shall be deemed to have come in force from 9th July 2019.


 The schemes shall be applicable to every professional for whom the employer shall pay tax and deduct the same from their salary under section 4 of the Maharashtra State Tax on Professions, Trades, Callings and Employments Act, 1975.

Conditions and Restrictions imposed under the scheme:

The professional opting for the Scheme shall select the period for the Scheme as well as tax rate applicable to him and shall pay the requisite amount. The enrolled person can opt the Scheme on the Department’s website at any time after his enrollment. The enrolled professionals can opt the scheme for the second time, on the completion of the previous period that is availed under the scheme.

At one time, the benefit can be availed for any period between a minimum of three years and a maximum of thirty-five years.

Any professional who has paid the tax for 2018-19, or has paid any lump-sum amount on or after 1st April 2018 for the periods starting from 1st April 2018, can also avail the benefit of Scheme by paying the balance amount of tax under the scheme excluding the amount already paid. All enrolled professionals who have made five years lump sum payment period before 01.04.2018, can opt for the scheme after the completion of five years.

Every professional availing the benefits of the scheme can join employment by furnishing ‘One Time Profession Tax Payment Certificate’ to the employer during the period covered under the Scheme. In such case his liability to pay professional tax shall be restricted to the amount paid under the Scheme and the employer shall not be liable to deduct Professional Tax of the said person until completion of his period.

Withdrawal of benefit:

Withdrawal of benefits under the scheme would be made, if the person has availed the benefit by suppression of any material information or particulars by furnishing any incorrect or false information or when there is concealment of any particulars. Such person shall be liable to pay tax at the rate specified in Schedule I of the Maharashtra State Tax on Professions, Trades, Callings and Employments Act, 1975.

Click here to read the notification