HR Glossary

What is Professional Tax?

A state-level tax on employment income in India, deducted from employee wages by employers and capped at Rs. 2,500 per year, with rates and slabs varying by state.

Why it matters in hiring

Professional Tax comes up whenever teams compare candidates, set policy or report on people data. Getting the definition right keeps decisions consistent, which is the same reason springhire scores every applicant against the same criteria rather than on impression.

Related terms starting with P

• Probation Period (Singapore)
• Probation Period (UAE)
• Probation Period
• Professional Development
• Profit Sharing
• Programmatic Job Advertising
• Psychological Safety
• Psychometric Testing

Part of the springhire HR glossary, 1,150+ HR, payroll and recruiting terms defined. Free, no signup.