(1) Subject to the provisions of article 276 of the Constitution and of this Act, there shall be levied and collected a tax on professions, trades, callings and employments 5[by the Designated Authorities for the benefit of the Panchayats, Municipalities, Municipal Corporations or, as the case may be, the State].
6[(2) Every person engaged in any Profession, Trade, Calling or Employment and falling under one or the other of the classes mentioned in column 2 of Schedule I shall be liable to pay the tax to the Designated Authority at such rate fixed by it but not exceeding the amount mentioned against the class of such person in the said Schedule:
Provided that the rates of tax for the class of persons mentioned in entry 1 of the said Schedule shall be fixed by the State Government by notification in the Official Gazette:
Provided further that the tax so payable in respect of any one person shall not exceed two thousand and five hundred rupees in any year:
Provided also that the State Government may, by notification in the Official Gazette, specify the minimum rate of tax for each of such class mentioned in column 2 of Schedule I, below which tax shall not be levied by the Designated Authority and different limits may be fixed for different Designated Authorities and the minimum rate so notified shall be levied till the Designated Authority fixes some other rate under the provisions of this Act:
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1. This explanation was added by Guj. 10 of 2008, s. 3(2).
2. Clause (ee) was inserted by Guj. 23 of 2006, s. 2(1).
3. These words were inserted by Guj. 17 of 1977, s. 2.
4. These words and figures were substituted for the words and figures “Gujarat Sales Tax Tribunal Constituted under section 28 of the Gujarat Sales Tax Act, 1969” by Guj. 23 of 2006, s. 2(2).
5. These words were substituted for the words "for the benefit of the State" by Guj.10 of 2008, s. 4(1).
6. Sub-section (2) was substituted, ibid., s.4(2).
1976: Presi. 11] The Gujarat State Tax on Professions, Trades, Callings and Employments Act, 1976. 3
Provided also that the State Government may, by notification in the Official Gazette, specify the class of persons other than those mentioned in entries 1 to 9 in Schedule I, to whom entry 10 in that Schedule shall apply:
Provided also that the tax shall not be levied from the persons mentioned below Schedule I;]
1[(3) Where a person falls under more than one entry in Schedule I, he shall be liable to pay to the 2[Designated Authority] the tax under such one of these entries where the rate of tax specified is the highest.
(4) A person falling under any of the entries 2 to 10 in schedule I shall be liable to pay the tax for the year irrespective of whether he is engaged in the profession, trade, calling or employment during the whole of such year or any part thereof.]
3[(5) Where a person falling under any of the entries in Schedule I is liable to pay the tax to more than one Designated Authority, he shall pay the tax to the Designated Authority where the tax liability is highest:
Provided that where a person produces a certificate to the effect that the tax has been paid by him to the Designated Authority where the liability of tax is highest, the tax shall not be levied by any other Designated Authority.]
4. The tax payable under this Act by any person earning a salary or wage, shall be deducted by his employer from the salary or wage payable to such person, before such salary or wage is paid to him, and such employer shall, irrespective of whether such deduction has been made or not, when the salary or wage is paid to such person, be liable to pay tax on behalf of all such persons:
Employer's liability to deduct and pay tax on behalf of employees.
Provided that, if the employer is an officer of Government, the State Government may, notwithstanding anything contained in this Act, prescribe by rules the manner in which such employer shall discharge the said liability:
4[Provided further that where any person earning a salary or wage, who is covered by entry 1 of Schedule I,-
(a) is also covered by one or more other entries in Schedule I and the rate of tax specified under such other entry, or if he is covered by more than one other entry, the highest of the rates of tax specified under those entries, is more than the rate of tax specified under entry 1 in that Schedule by which he is covered; or
(b) is simultaneously engaged in employments of more than one employer, and such person furnishes to his employer or employers a declaration in the prescribed form to the effect that he has obtained a certificate of enrolment under subsection (2) of section 5 and that he shall pay the tax himself, no deduction or payment of tax shall be made by the employer or employers under this section and such employer or employers, as the case may be, shall not be liable to pay the tax on behalf of such person.]