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April 16, 2020

Latest Process for Paying Tax, Filing Returns, Due dates for PTRC in Maharashtra Download PTRC Periodicity FY 2020-21

by facelesscompliance in Compliance Law, Corporate Law

Latest Process for Paying Tax, Filing Returns, Due dates for PTRC in Maharashtra & Download PTRC Periodicity FY 2020-21 from April 2020 FY 2020-21

Update as on 22 June 2020

PTRC Return Filling Notification Return for any period upto the month of June 2020 extended to 31st July 2020

PTRC 31 JULY EXTENDED MAHARASHTRA
PTRC 31 JULY EXTENDED MAHARASHTRA

Update as on 1 May 2020

As per circular no. 06 T of 2020 dated 30/04/2020 the government has waived off the late fees for the financial year 2019-20 provided the employer:

  1. Pays the PTRC liability as per return and should have been paid the same before filing the return and
  2. The employer should submit the return pertaining to any period up to March 2020 on or before 31 May 2020

What is PTRC under The Maharashtra State Tax on Professions, Trades, Callings and Employments Act, 1975?

PTRC stands for Profession Tax Registration Certificate. Every Employer has to deduct profession tax from the salary of the employee and deposit the same in the government treasury as per Rule and The Maharashtra State Tax on Professions, Trades, Callings and Employments Act, 1975. An entity (Sole Proprietor, Partnership, LLP, Company or any other legal entity) is compulsorily liable to obtain PTRC registration, if it pays salary to any Male employee of more than Rs 7500/- per month or pays salary to Female employee of Rs 10,000/- per month of the employee arises if the total salary of the employee is more than Rs. 7,500.

What is the rate at which the employer must deduct the profession tax of an employee as per Rule and The Maharashtra State Tax on Professions, Trades, Callings and Employments Act, 1975 ?

Amount of Profession tax to be deducted to be deducted by the employer is as follows:

Sr. No.Amount of Salary of employee (per month)Rate of Tax
 1Upto Rs. 7,500No Tax
 2Male Employee Salary more than Rs 7500/- but less than Rs 10,000/-Rs. 175 per month
 3Female Employee Salary upto Rs 10,000/-No Tax
 4Any Employee Male or Female Earning more than Rs 10,000/-Rs. 2,500 Per Annum (Rs. 300 for the month of February and Rs. 200 for other months)

Due date of payment and filing of return under PTRC For Financial Year 2019-20 and Financial Year 2020-21

The following is the summary for due date for making payment and filing return under PTRC:

Amount of PTRC liability for the FY 2019-20Due Date and Type of Return
First Year of RegistrationMonthly returns before last day of month
Less than Rs. 50,000On or before 31st March of the Year for which the return relates (Yearly return)
More than Rs. 50,000 On or before the last date of the month to which the return relates (Monthly return)

As per section In case the employer fails to file the return within the due date then the employer is liable to pay late fee of Rs. 1,000 before filing the return.

As per circular no. 04 T of 2020 dated 19/03/2020 the government has waived off the late fees for the financial year 2019-20 provided the employer:

  1. Pays the PTRC liability as per return and should have been paid the same before filing the return and
  2. The employer should submit the return pertaining to any period up to March 2020 on or before 30th April 2020

Further as the lockdown because of COVID-19 is extended till 3 May 2020, there are expectation of dealers to further extend the deadline

Amount of PTRC liability for the FY 2020-21Due Date and Type of Return
First Year of RegistrationMonthly returns before last day of month
Less than Rs. 1,00,000*On or before 31st March of the Year for which the return relates (Yearly return)
More than Rs. 100,000* On or before the last date of the month to which the return relates (Monthly return)

*From FY 2020-21as per circular dated 6th June 2019 the limit has revised to Rs 1,00,000

The due date of payment and filing of PTRC return depends on the PTRC liability of the entity for the Previous Year. Where the employers PTRC liability for the previous year is less than Rs. 1,00,000 from FY 2020-21 then the entity is liable to pay the PTRC payment and file the return on or before 31st March of the year for which the return relates. For E.g Return for FY 2020-21 shall be furnish on or before 31st March 2021 if total liability in previous year was less than Rs 1,00,000/- . In this case return shall be filed yearly.

Where the employers PTRC liability for the previous year is More than Rs. 1,00,000 then the entity is liable to pay the PTRC payment and file the return at the end of the immediate next month i.e. at the end of next month. For e.g. Return for Month of April 2020 shall be furnish on or before 30th May 2020. In this case return shall be filed monthly.

Download PTRC return filling periodicity list for F.Y. 2020-21. PTRC holders should file the return as per their periodicity for Financial Year 2020-21

Late fees and Interest under the PTRC Maharashtra

ParticularsAmount
Late fees on late filing of PTRC returnRs. 1000
Interest on failure to deduct profession taxInterest at 1.25% of PTRC liability per month till the default continues

Interest on failure to deduct profession tax

As per section 9(2) of the PTRC act 1975, if an employer who is liable to pay PTRC under the act, fails to pay the same to the government then he is liable to pay simple interest at the rate of 1.25% each month for the period for which the tax remains unpaid.

Late fees on late filing of return

As per section 6 of the PTRC act 1975, In case the employer fails to file the return within the due date then the employer is liable to pay late fee of Rs. 1,000 before filing the return.

Under Stand with Example the Liability of PTRC

For instance, Mr. X is employer running business having current employed 5 persons consisting of 3 Male and 2 female employees having monthly salary of Rs. 15000 per month each for 2 Male employees, 1 male having salary of Rs. 9000 per month and Rs. 15000 for 1 female employee and Rs. 9500 for the other female employee. In the same financial year Mr. X has hired 1 male accountant in the month of October 2019 salary paid is Rs. 12,000 per month. Let us calculate the PTRC liability of Mr. X for FY 2019-20

  • Calculation of PTRC for Male employees with salary less than Rs. 7500 but not more than Rs. 10,000:

Only 1 employee is paid salary of less than 10000 the PTRC liability shall be as follows: = (175*12) = 2,100

  • Calculation of PTRC for employees with salary more than Rs. 10,000:

In the above case 4 employees are getting salary of more than Rs. 10,000 but one of the employee is employed from October 2019 which will be calculated as below:

  1. The PTRC for 3 employees shall be as follows: [(200*11) + 300] X 3 = 7,500
  2. The PTRC for 1 employees shall be as follows: (200*5) + 300 = 1,300

Total PTRC liability of 4 employees shall be (a + b) = 7500 + 1300= 8,800

So, total PTRC liability of Mr. X is Rs. 10,900 (1 + 2)

Procedure for PTRC return from FY 2020-21

The Procedure of PTRC return can be summarized in 3 stages:

  1. Calculation of PTRC liability
  2. Payment of PTRC fees via MTR form no 6
  3. Preparation of PTRC return and filing online FORM_IIIA

Further in the article we will learn how to perform the above procedure.

Procedure for payment of PTRC online MTR form no 6

Step 1: Go to www.mahagst.gov.in

Step 2: Click on “Menu” button. Click on Menu button on the upper left side of the page, you will be able to see “E-payment” as below.

Step 3: Click on“E- Payment – Returns” in E-payment tab.

Enter the TIN/PAN of the entity enter captcha and click on next, You will be redirected to payment details:

Step 4: Enter payment details as below:

  1. Select act as “PTRC act” the form ID will be automatically selected as “FORM_IIIB”
  2. Financial year as FY 2019-20
  3. Select Period and Enter Amount

While making PTRC payment, in period dropdown, select succeeding month of the month to which salary pertains. E.g. select June in the period dropdown to deposit PT deducted from the salary of May.

  • Select Location and Enter mobile number

And click on “Proceed for Payment” button

Step 5: Payment of PTRC fees:

  • Click on Agree terms and conditions check box
  • Select payment gateway as “Banks supported by GRAS” and click on Proceed

You will be redirected to MTR form no 6.

Click on “Make payment” button

You will be directed to select bank and make payment gateway

Step 6: Final Payment of PTRC fees

“Select the Bank” and Enter captcha

Select and “Agree the terms and conditions” check box

Click on “Proceed for Payment” button. You will be redirected to Bank website Enter the credentials and make payment After making the payment save the challan for return and record purpose.

PTRC FORM_IIIA and details required for preparing PTRC return:

PTRC return is to be filed in FORM_IIIA. The following is the procedure for downloading the form:

Step 1: Go to www.mahagst.gov.in

Step 2: Click on “Menu” button

Click on “Downloads” tab and select the option “Forms”

It will redirect to forms list.

Now select “The Maharashtra State tax on Professions, Trades, Callings and Employments Act, 1975” under the heading “VAT and other acts”

Select and download “Form III(B)” under e- returns Forms

A zip file will be downloaded. Go to download folder and unzip the file

A “FORM-IIIB -V-1.0.000.csi” file will be generated. Open the file which will be as follows:

Click on “enable editing” after which you will be able to edit the file.

The form will ask the following details:

  1. PTRC registration number
  2. Select whether first return of the entity?
  3. Whether last return of the entity?
  4. Mobile no of the authorized person
  5. Type of return: whether original return or revised return
  6. Financial year for which return is to be filed
  7. Select the period for which the return is to be filed whether monthly or yearly
  8. Enter the no of employees whose salary is paid for each month from March to February. For e.g. if 5 employees are paid salary is paid for the month of April then no of employees for the month of April shall be 5.
  9. PTRC Challan details like Challan no, Amount paid through challan, Payment date, Name of the Bank and Branch details
  10. Name of authorized person, Designation and Email Id of the authorized person

After all details are entered click on “Press to Validate” button, which will throw the errors made in the Form in the “Form_ IIIB_ ERRORS” sheet. If all the fields are proper then xml will get generated which need to be uploaded on the Mahagst portal (the procedure for which is explained below).

Steps to file PTRC return Form_ IIIB online

The following is the steps to file PTRC return online:

Step 1: Go to www.mahagst.gov.in

Step 2: Click on “Menu” button

Click on Menu button on the upper left side of the page, you will be able to see “Login for e-Services” as above.

Step 3: Click on ‘’ Log in for VAT & Allied Acts” in Log in for e-Services

Enter your Login credentials and click on Log on

Step 4: Returns

Now Click on “Returns” from the menu which will redirect you to return filing homepage.

Step 5: Now click on“Return Submission Other Than VAT/CST (From 1st April 2016)” option. It will redirect you to select the return type.

Step 6: Select “PTRC act” from the drop down. Based on your selection “Form IIIB” will appear by default and click on “NEXT” button in the bottom it will redirect to Type of return statement page

Step 7: Select Statement Type from Dropdown as “Original” and click on “Next” button it will redirect to “Period of Return” page

Step 8: On selecting the return period you will be shown all unfiled periods and Click on “Next”, it will redirect to upload new file. You will be asked to upload New File. Click on ‘’Yes’’ button

Click on “Yes” to upload new file. It will redirect to file uploading page.

Step 9: Click on “Browse” and select the .txt file generated on your desktop from the Return template. Uploading “.txt” file name should match with your TIN, Form and Period. Click on “Open” to upload the file. Click on “Upload File”.

After click on “Upload File”, it will redirect to draft return page. Click on “Yes” to upload a new .txt file OR Click No to continue, it will redirect to “Submit” Screen. Note: The System will display the Draft Return before submission

  • Before submitting the Return, you can click on, “Form IIIB” to view the Draft Return.
  • You can review or download Draft Return.
  • Check the input is given by you in Return template and compare with Draft Return then click on “Submit” button

Step 10: Click on “Yes”

Click on “Yes” to confirm the submission. You will redirect to acknowledgement message screen.

  1. Once your Return is submitted successfully, Return Submission Acknowledgement will be displayed on the screen.
  2. Return PDF and Acknowledgement will be sent to you on your e-mail id provided in Return template
  3. SMS will be sent on your mobile number provided in the Return template.

Step 11: Click on “Download Return” button to view the Return pdf.

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