Deductions and Taxes applicable to the salary of BPSC Exam employees

Introduction:
Employees of the Bihar Public Service Commission (BPSC) are subject to various deductions and taxes on their salary. These deductions are mandated by the government and are applicable to all government employees, including those working in the BPSC. It is important for employees to be aware of these deductions and taxes to effectively manage their finances.

Deductions:
1. Provident Fund (PF): Employees are required to contribute a percentage of their salary to the Provident Fund. The current contribution rate is 12% of the basic salary and dearness allowance. This deduction helps in building a corpus for the employee's retirement.

2. Professional Tax: The Bihar government levies a professional tax on salaried individuals. The amount of professional tax deducted varies based on the salary slab. The maximum amount of professional tax deducted is Rs. 200 per month.

3. Income Tax: Income tax is deducted at source from the salary of BPSC employees as per the prevailing income tax rates and slabs. The employer deducts the tax and deposits it with the Income Tax Department on behalf of the employee. The exact amount of income tax deducted depends on the employee's salary and other factors such as exemptions and deductions available.

Taxes:
1. Income Tax: In addition to the deduction of income tax from the salary, employees are required to file their income tax returns annually. The income tax return filing is mandatory for salaried individuals whose income exceeds the basic exemption limit. It is important for employees to accurately calculate their income tax liability and file their returns within the specified due dates.

2. Goods and Services Tax (GST): GST is a consumption-based tax levied on the supply of goods and services. While it is not directly deducted from the salary, employees are liable to pay GST on their purchases and services availed.

3. Other Taxes: Employees may also be subject to other taxes such as property tax, vehicle tax, and professional tax (outside of the salary deduction).

Conclusion:
BPSC exam employees are subject to various deductions and taxes on their salary. These deductions include Provident Fund, Professional Tax, and Income Tax. It is important for employees to understand these deductions and taxes to effectively manage their finances and ensure compliance with the government regulations.