In the Other Statutory Deductions Infotype (0588), under PTX (Professional Tax Eligibility)subtype (0003) you specify the professional tax eligibility of an employee.

By default, the system deducts professional tax for all employees. In some states, however, certain employee categories are exempt from paying professional tax. For example, in Karnataka, the following categories of employees are exempt from paying tax:

• Blind, deaf, or dumb employees
• Employees who are above 65 years of age

You can change the professional tax applicability of these employees in the Other Statutory Deductions Infotype (0588), under PTX (Professional Tax Eligibility subtype (0003).

The Other Statutory Deductions Infotype (0588), under PTX (Professional Tax Eligibility) subtype (0003) has a PTax eligibility indicator. When you create this infotype for an employee, the PTax eligibility indicator is selected by default. If the employee is exempt from paying a professional tax, you can clear the selection.

In this infotype, you must also specify the start and end dates within which the information in this infotype is valid.

The payroll driver performs the professional tax calculation only when the Professional Tax eligibility option is selected for the employee. Any change to this infotype triggers a retroactive payroll run.