Professional Tax slabs in Tamil Nadu
Tamil Nadu levies Professional Tax on six months' salary, collected twice a year in September and March. The employer deducts it from salary and pays it to the state. The current slabs, in force from 1 October 2024:
- ₹0–₹21,000: nil
- ₹21,001–₹30,000: ₹180
- ₹30,001–₹45,000: ₹425
- ₹45,001–₹60,000: ₹930
- ₹60,001–₹75,000: ₹1,025
- ₹75,001 and above: ₹1,250
- On six months' pay, collected in September, March
Law: Tamil Nadu Urban Local Bodies Act, 2024 revision.
Examples
| Monthly gross salary | Professional Tax in a usual month | In a year |
|---|---|---|
| ₹15,000 | Nil | ₹2,500 |
| ₹25,000 | Nil | ₹2,500 |
| ₹50,000 | Nil | ₹2,500 |
Figures for a man with the same salary all year. Use the Professional Tax calculator for any salary.
Labour Welfare Fund in Tamil Nadu
Employers in Tamil Nadu deduct the employee's Labour Welfare Fund contribution from salary and add their own share. It is deducted in December. Current figures, from 1 January 2021:
- Employee ₹20 · employer ₹40
- Deducted in December
Law: Tamil Nadu LWF Act.
Which establishments and employees are covered depends on the state Act; check coverage for your establishment.
Minimum wages in Tamil Nadu
Monthly minimum wages (basic and dearness allowance together) from 1 April 2026, for Zone A (Chennai and corporations), shops and commercial establishments:
| Category | Minimum a month |
|---|---|
| Unskilled | ₹14,044 |
| Semi-skilled | ₹14,182 |
| Skilled | ₹14,233 |
| Highly skilled | ₹14,743 |
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.
Working hours and leave in Tamil Nadu
Under Tamil Nadu Shops and Establishments Act, 1947:
- Up to 8 hours a day, 48 a week
- Overtime at 2x ordinary wages
- 12 days' earned leave a year (after a year of service)
- 12 days' casual leave a year
- 12 days' sick leave a year
- 9 national and festival holidays a year
- One day off a week
In HR Bingo, Add the usual leave for your state on the Leave types page creates these leave types for you to review.
Employer checklist for Tamil Nadu
- Set each employee's state by where they actually work. Staff based in Tamil Nadu follow Tamil Nadu'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 Tamil Nadu
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 Tamil Nadu's rules.
How HR Bingo handles Tamil Nadu
- Choose Tamil Nadu 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
What is the minimum wage in Tamil Nadu?
For an unskilled worker, ₹14,044 a month in Zone A (Chennai and corporations), from 1 April 2026. Semi-skilled, skilled and highly skilled workers have higher minimums.
Is there Professional Tax in Tamil Nadu?
Yes. Tamil Nadu levies Professional Tax on six months' salary, collected twice a year in September and March.
How much Professional Tax is deducted on a salary of ₹25,000 in Tamil Nadu?
Nil in a usual month; ₹2,500 in a year.
Is Labour Welfare Fund deducted in Tamil Nadu?
Yes, in December, with an employee share and an employer share.