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Jitesh Kumar
in Trade Law Civil Law
Asked July 04, 2017

Not able to obtain trade license for shop

  • 1 Answer

As I have not taken a trade licence yet because I got to know about this last year only but last week more than 15 bbmp officers came in my absence, my dad and my wife were harassed for the license or they said will lockout the shop but my wife convinced them that shortly we will arrange for the license but next day morning I went to the office with the concerned document of my shop in which my agreement starts from 2012 but that officer said that from 2012 to 2018 / 6 years amount of approx 5000 per year has to be paid. Please let me know that is this legal and if yes what can I do to avoid this.

Answer 1





Dear Sir/madam,

There are certain Businesses for which Trade License is Necessary:-

  • Food ( Eating) joints like hotels, restaurants, canteen, etc.
  • Trades which use motives like manufacturing industries, factories, cyber café, etc.
  •  trades like barber shop, dhobi shop, timber wood, cracker manufacturer, etc.
  • The renewal period of issuing a license is 1st January to 31st March every year.

    Section 30 of the Shops and Commercial Establishments Act talks about Penalties.—(1) (1) Whoever contravenes any of the provisions of section 4, 5, 6, [6A], 7, 9, 10, 11, 12, 13, 15, 16, 25 and 39, shall, on conviction, be punished with fine, which, for a first offence, may extend to [one thousand rupees]and, for a second or any subsequent offence, may extend to [two thousand rupees]The practice of carrying on business without a trace license/registration is actually of illegal nature. You may refer to the link of the statute covering such penalties[1].

    To rectify the pending amount agianst you, you can approach the concerned authority again and submit an application stating your concern, but do take a receiving on its duplicate copy to avoid any future discrepancies. Or else send that application through registered post, addressing your concern. You can also adopt the method of filing an RTI application, to know about the escalating fine in the absence of Trade License etc.



    Agree Comment 0 Agrees over 3 years ago

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