Professional Tax and Labour Welfare Fund in Odisha

Professional Tax in Odisha

Odisha abolished Professional Tax from 1 April 2026. Dues for earlier periods are still payable. Nothing is deducted from employees' pay for it, and payroll for Odisha shows Professional Tax as nil.

Labour Welfare Fund in Odisha

Employers in Odisha deduct the employee's Labour Welfare Fund contribution from salary and add their own share. It is deducted in June and December. Current figures, from 1 January 2015:

• Employee ₹10 · employer ₹20
• Deducted in June, December

Law: Odisha Labour Welfare Fund Act, 1996 and Rules, 2015.

Which establishments and employees are covered depends on the state Act; check coverage for your establishment.

Minimum wages in Odisha

Monthly minimum wages (basic and dearness allowance together) from 1 October 2026, for the whole state, shops and commercial establishments:

Other zones and industries can have different rates, and the dearness allowance is usually revised twice a year. HR Bingo warns when a salary's basic and DA fall below the minimum for the employee's category.

Employer checklist for Odisha

• Set each employee's state by where they actually work. Staff based in Odisha follow Odisha's rules even if the company is registered elsewhere.
• Check the month's payroll register for Professional Tax and LWF lines before salaries are paid.
• Pay the amounts deducted to the state by its due date and keep the payment receipts with that month's payroll.
• Recheck the figures when the state notifies a change. Rates on this page are updated from the date a change takes effect.

Other state rules in Odisha

Minimum wages, working hours, weekly offs and leave under the Shops and Establishments Act also differ from state to state. In HR Bingo you set shifts, weekly offs, holidays and leave policies for each company, so they can follow Odisha's rules.

How HR Bingo handles Odisha

• Choose Odisha as the company's state (or set it per employee, for staff working in another state) and payroll applies the figures on this page every month.
• Rates are kept with the date they take effect. When a state revises its slabs, payroll uses the new figures from that date, and earlier months keep the old ones.
• Payslips show Professional Tax and LWF as separate lines, and the monthly registers list them for filing.
• PF, ESIC and TDS are the same in every state and are worked out on the same payslip.
• Huminivex's payroll team checks these figures. With managed HR, Huminivex also runs payroll and the filings for you.

Frequently asked questions