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Karmayogi
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'Shop and Establishment Act' basics -
By Gaurang Damani (September 2009)
Running a shop or an office and are not sure about the rules? Save yourself from some
possible harassment. These are answers to some of your possible questions as
per ‘The Bombay Shop and Establishment Act, 1948’.
Papers needed for a "Shop and Establishment" license:
-
Filled up "Form A",
describing nature of operations, to be submitted at the local BMC office.
-
Fees of Rs 1,400 per
annum (depends on number of employees).
-
If
rental property, then rent receipt, landlord NOC and rental agreement
-
If
owned property, then society maintenance receipts
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Electricity bill copy
-
Partnership deed (proving company is a legal entity)
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Visiting/ Business cards, showing address of the enterprise
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Any
entity which has customers coming in, which may cause annoyance or nuisance
to neighbours, may need a license
-
But if
you are a Chartered Accountant, Advocate or a Doctor, you do NOT need a
license. Exception is if the Doctor is running over 2-bed clinic.
-
To
"change user" from a residential room into commercial, BMC's permission is
required (Maharashtra Rent Control Act, section 30 and also MRTP Act)
Other
basic questions:
-
Does the “Shop and
Establishment” certificate have to be displayed prominently in the shop?
YES.
-
Does a Visitor’s
book have to be made available for officers/ staff from the BMC who come
to inspect the shop owner’s premises? YES.
-
Does the signboard
of the shop have to have Marathi script? YES.
-
Is it compulsory for
a shop owner in Mumbai to keep the shop closed for one day in a week?
YES.
-
Can wages of
permanent employees be deducted for the weekly off day? No.
-
Can the shop-owner
choose the day of the week, for which he wants to keep the shop closed?
YES. But that day will be either Sunday (Public holiday under
the Negotiable Instrument Act, 1881) OR Monday (Zonal weekly off as
fixed by BMC, but implemented by S&E Senior Inspector).
-
If the shop owner
wants to change the day of the weekly off (from Sunday to Monday or vice
versa), does he have to give it in writing to the BMC, during the annual
renewal? YES.
-
Is the license fee
schedule based on number of workers in the shop? YES. For eg.
annual registration fee for shops having 1-5 employees is Rs 300 and for
6-10 employees is Rs 600 and so on.
This information is as
obtained from the BMC. For further clarifications, please check with local
BMC or with:
Office of the Chief
Inspector - Shops and Establishment
4th Floor, Bhimabai Rane BMC school bldg
Raja Rammohan Roy Marg,
Opp Central Plaza Cinema,
Girgaon, Mumbai 400004
ISSUED IN PUBLIC INTEREST BY:
Gaurang Damani
93226 58196 |
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