Quick answer: Professional tax in Andhra Pradesh is nil up to ₹15,000 a month, ₹150 a month for ₹15,001–₹20,000 and ₹200 a month above ₹20,000, so at most ₹2,400 a year. Employers deposit it with the Form V return by the 10th of the next month on the AP Commercial Taxes portal, and enrolled persons pay their own tax by 30 June.
Andhra Pradesh levies professional tax under the Andhra Pradesh Tax on Professions, Trades, Callings and Employments Act, 1987, collected by the Commercial Taxes Department. The rules are simpler than in most states: a three-band salary slab, a monthly payment for employers, and an annual payment for businesses and professionals. This guide covers the slab, who pays, the due dates, how to pay online and the penalties. For how professional tax works across states, see our professional tax guide.
Professional tax slab in Andhra Pradesh
| Monthly salary or wages | PT a month | PT a year |
|---|---|---|
| Up to ₹15,000 | Nil | Nil |
| ₹15,001 to ₹20,000 | ₹150 | ₹1,800 |
| Above ₹20,000 | ₹200 | ₹2,400 |
These are the rates for salary and wage earners in the First Schedule to the Act. The slab is the same for men and women, and unlike Maharashtra or Karnataka there is no extra deduction in February, so the yearly maximum for an employee is ₹2,400. Check any salary with our professional tax calculator.
Example
A company in Visakhapatnam has three employees: one on ₹14,000 a month (no PT), one on ₹18,000 (₹150 a month, ₹1,800 a year) and one on ₹35,000 (₹200 a month, ₹2,400 a year). Its monthly payment is ₹350, due with Form V by the 10th of the following month. The slab is applied to each month's salary, so a month with heavy loss of pay can drop an employee into a lower band.
Who pays professional tax in Andhra Pradesh
- Employers (registration): every employer with an employee whose salary is above ₹15,000 a month registers, deducts PT from salaries, deposits it monthly and files Form V.
- Enrolled persons (enrolment): companies, firms, directors, professionals, traders, contractors and others listed in the First Schedule pay their own tax once a year, at a fixed annual rate set in the Schedule, up to ₹2,500 (₹2,500 for most companies and directors).
- Place of work decides: PT follows the State where the employee works. Staff in Andhra Pradesh are under the AP Act even if payroll is run from Hyderabad or Bengaluru.
Apply on the AP Commercial Taxes portal within 30 days of becoming liable. Employers apply in Form I and enrolled persons in Form II; a PTIN (professional tax identification number) is issued and used for every payment and return.
Change in Visakhapatnam and Vijayawada
In the Visakhapatnam and Vijayawada municipal corporation areas, professional tax used to be collected by the municipal corporations as collecting agents. By G.O.Ms.No.63 dated 5 March 2025, the Commercial Taxes Department took over collection there from 1 April 2025 (AscentHR on G.O.Ms.No.63). Employers in those cities who used to pay the corporation should now pay through the Commercial Taxes portal like everyone else.
PT due dates in Andhra Pradesh
| Compliance | Who | Due date |
|---|---|---|
| Pay PT deducted + Form V return | Employer | 10th of the following month |
| Annual tax | Enrolled person, enrolled before the year | 30 June |
| Annual tax | Enrolled after 31 May | Within one month of enrolment |
| Registration or enrolment | New employer or person | Within 30 days of becoming liable |
So PT deducted from November 2026 salary is paid, with Form V, by 10 December 2026. Form V shows the salaries and wages paid and the tax deducted for the month, and because the Act requires every registered employer to file returns, a nil Form V is normally filed for a month with no deduction. Add these dates to your payroll compliance calendar.
How to pay professional tax online in Andhra Pradesh
- Calculate: from the month's payroll, count employees in each band and total the PT deducted.
- Open the portal: go to the professional tax payment section of the AP Commercial Taxes portal.
- Verify: enter the PTIN and captcha, and confirm with the OTP sent to the registered mobile number.
- Select and pay: choose the period (month for employers, financial year for enrolled persons), enter the amounts and pay online.
- File and save: file Form V for the month and keep the challan and return with the payroll records.
Interest and penalty
- Interest: an employer who fails to deduct tax, or deducts it and fails to pay, is liable to interest at 2% a month on the tax due; the same applies to enrolled persons who pay late.
- Penalty: if tax is still unpaid after the time allowed in a notice of demand, without reasonable cause, the assessing authority may impose a penalty of not less than 25% and not more than 50% of the tax due, in addition to interest, after giving an opportunity to be heard.
- Returns: failing to file Form V on time can also attract a penalty.
How these compare with PF, ESI and TDS penalties is covered in our payroll penalties guide.
Andhra Pradesh vs Telangana professional tax
The two states use the same salary slab (nil, ₹150, ₹200) and the same 10th-of-the-month due date, because Telangana adapted the 1987 Andhra Pradesh Act after bifurcation in 2014. They are separate laws administered by separate departments, so an employer with staff in both states needs a registration and pays separately in each. Compare the other states in our guides to Karnataka, Maharashtra and West Bengal.
PT in payroll
- PT appears as a statutory deduction on the payslip each month; see payroll deductions.
- Under the old income-tax regime, PT paid is deductible from salary income; the new regime does not allow it, and this continues under the Income-tax Act, 2025.
- Keep the PTIN, challans and Form V returns with each month's payroll for assessment.
Get PT, PF, ESI and TDS right every month. The Indian Salary & Payroll Management e-Book explains every statutory deduction with worked examples, due dates and checklists.
Frequently asked questions
What is the professional tax slab in Andhra Pradesh?
For salaried employees, monthly salary up to 15,000 rupees attracts no professional tax, 15,001 to 20,000 rupees attracts 150 rupees a month, and above 20,000 rupees attracts 200 rupees a month. The same slab applies to men and women, and there is no February top-up, so the most an employee pays is 2,400 rupees a year.
What is the PT due date in Andhra Pradesh?
Employers must pay the professional tax deducted from salaries, with the monthly return in Form V, by the 10th of the following month. Enrolled persons pay their own annual tax by 30 June; a person enrolled after 31 May pays within one month of enrolment.
How do I pay professional tax online in Andhra Pradesh?
Professional tax is paid online on the Andhra Pradesh Commercial Taxes Department portal using the PTIN issued on registration or enrolment. Choose the professional tax payment option, enter the PTIN and verify with the OTP, select the month (employers) or year (enrolled persons), and pay online.
Is professional tax in Andhra Pradesh the same as in Telangana?
The salary slab is the same in both states, because Telangana adapted the 1987 Andhra Pradesh Act after the 2014 bifurcation. They are now administered separately, by the Andhra Pradesh and Telangana Commercial Taxes Departments, so an employer with staff in both states needs a registration in each.
What is the penalty for late payment of professional tax in Andhra Pradesh?
Late payment attracts interest of 2% a month on the tax due. If tax is still unpaid after the time allowed in a notice of demand, without reasonable cause, the assessing authority may impose a penalty of not less than 25% and not more than 50% of the tax due, in addition to interest, after giving an opportunity to be heard.
Position as of 15 November 2026. Based on the Andhra Pradesh Tax on Professions, Trades, Callings and Employments Act, 1987 (text of the Act) and Rules, 1987, and G.O.Ms.No.63 dated 5 March 2025. General information, not legal or tax advice.