Dear Sir/Madam, Do I have I to pay professional tax for nil filing of gst for past 2 years? I have got a email from gst people. Also I want to resolve this issue today itself by your complete step by step assistance, as today is the last day as per the email from gst people. Also please note I have not signed up anywhere regarding professional tax. Please give reply in detail. Regards Email Text from [deleted] NOTICE UNDER SECTION 5(5) OF THE KARNATAKA TAX ON PROFESSIONS, TRADES, CALLINGS AND EMPLOYMENT ACT, 1976 Please take notice that though you are registered under GST ACT 2017 liable to pay profession tax as self employed persons with effect from 2017-18 onwards as well as you are also liable to pay Profession tax for the persons employed by you, you have not enrolled under Section 5 of the Karnataka Tax on Professions, Trades, Callings and Employments Act, 1976 within time. Failure to do so, though liable, is an offence under the said Act. Therefore , You are hereby given an opportunity to furnish documentary proof of having already enrolled/registered or not being liable to get yourself enrolled/ registered within 7 days (R) 7 days from the date of receipt of this notice. Failing which action as deemed fit as per law will be initiated without any further notice. Asst. Commissioner Of Commercial Taxes (My info and my gst info details are hidden in the above by me for privacy purposes.)
Hi,
- Professional tax is a state tax. You need to register under Karnataka act and should pay tax from the commencement of business.
- Both the taxes are with the same department therefore they are asking that you are registered under GST which means you are self employed and doing business resulting into employment of persons.
Thanks
Hi,
In order to appropriately answer this question, please let us know if you have employed any people for your profession?
How many people are employed under you?
There are no persons employed under me. Also I have no business from past 2.5 years and I file nil gst returns. But I am expecting business in future. Also, I have a additional question. Since I am having nil business what will be my turnover and income for past 2.5 years? Will it be nil too? Please solve my issue completely as mentioned in my previous question and answer my above question too. Regards
Every business entity in Karnataka shall obtain the Employer Registration - Certificate of Enrollment (EC)from the Profession Tax Officer within Thirty days from the date of commencement business. This registration is mandatory for business whether they employ any people in employment or not.
Since, you don't employ any people, you just need to pay professional tax applicable to emplpyer. Please get in touch with any CA in karanatak for compliance as it is state based tax
For GST, yes you are liable to file nil return even if there is no business. Else, surrender the GST registration.
- In respect to professional tax and filing of NIL GST returns, I may assist you in obtaining registration and payment of tax.
- If you are expecting business in near future then don't apply for cancellation of GST registration. It is better to file the NIL returns if turnover is zero. The government has waived off payment of late fees till March 19.
Thanks
This is a state based act and if it mentions you to pay professional tax even if you haven't employed anyone then you need to register and pay professional tax for the employer.
Also if you feel that you will receive business in future but if you feel the turnover would be below 40 lakhs it would be better if you surrender GST registration as it would reduce your compliance requirements.
Hope you find the information helpful if you do please rate it 5 and provide your valuable feedback for my improvement.
Thank you
Dear Sir,
Hope you are doing well !!
Since there are no persons employed under you, you are only required to pay professional tax.
Every person registered under GST will have to file returns in some form or other.
A registered person will have to file returns either monthly (normal supplier) or quarterly basis.