Karnataka Shops and Establishment Registration

With regard to “The Karnataka Shops and Commercial Establishments Act, 1961” we provide the following Services:

  1. Applying for Shops and Establishment Registration and obtaining Registration Certificate
  2. Renewal of Shops and Establishment Registration License
  3. Amendment in Shops and Establishment Registration
  4. Filing of Shops and Establishment in Form U -Annual Returns
  5. Applying for Exemption on weekly holiday for Shops and Establishments
  6. Applying for Exemption for women working in night shift

Objective of The Karnataka Shops and Commercial Establishments Act, 1961

Every Shop or Establishment (whether Proprietorship, Firm, Private Limited Company, OPC, etc.) carrying trade, business or services within the notified areas of State of Karnataka, shall compulsorily, within 30 days from Commencement of the business shall register his establishment under this Act.

Mode of Applying for Registration

The State government has made it mandatory to use “e-karmika” to obtain a new registration certificate and seek renewal of the existing ones. “Applications and the stipulated fee for new registration and renewal shall be made through the e-karmika portal. Once the necessary fee payment is made, the verification process will commence, and the certificate will be issued in 15 days.

How do I decide on Shop and Commercial Establishment? And Who are Employee’s?

A Shop shall mean any premises where any trade or business is carried on or where services are rendered to customers, and includes offices, storerooms, godowns, or warehouses, whether in the same premises or otherwise, used in connection with such trade or business, but does not include a commercial establishment or a shop attached to a factory where the persons employed in the shop fall within the scope of the Factories Act, 1948.

A Commercial Establishment shall mean a commercial or trading or banking or insurance establishment, an establishment or administrative service in which person employed are mainly engaged in office work, a hotel, restaurant, boarding or eating house, a café or any other refreshment house, a theatre or any other place of public amusement or entertainment and includes such establishments as the State government may by notification declare to be a commercial establishment for the purpose of this Act.

Employee:

Employee means a person wholly or principally employed in or in connection with, any establishment whether working on permanent, periodical, contract or piece-rate wages or on commission basis, even though he receives no reward for his labour and includes an apprentice.

What are the Documents required for Shops & Establishment Registration?

  1. Business Constitution Document (For Example Partnership Deed / Incorporation Certificate, MoA/AoA)
  2. Identity Proof of the (Proprietor/Partner/Director/Authorised Signatory) -Passport/Voters ID/ Aadhar Card/DL
  3. PAN Card Copy
  4. Authorization Letter
  5. Declaration under non-appointment of Child labour.
  6. Address Proof of the entity- Rental agreement along with Electricity Bill (Property Tax Paid Receipt if property is owned)
  7. Duly filled Registration Form signed by owner / Authorised signatory

Part from above documents following information’s are required:

  1. Mobile number:
  2. E-mail ID:
  3. Total number of employees, male and female separate:
  4. Nature of business
  5. Date of Commencement of Business

Exemptions from Registration:The following organizations are exempted from registration.

  1. Offices of, or under the central or state government, or local authorities, except commercial undertaking.
  2. Any railway service, water transport service, postal, telegraph or telephone service, any system of public conservation or sanitation or any industry, or services like water, power, light to the public.
  3. Railway dining cars.
  4. Establishments for the treatment or care of the handicap or mentally unfit.
  5. Establishments of the food corporation of India.
  6. Offices of legal practitioners and medical practitioners in which not more than 3 persons are employed.
  7. Offices of bank.

Registration Fees to be Paid

 
No. of Employees Fees(Rs.)
No Employees 300/-
1 to 9 Employees 600/-
10 to 19 Employees 4,000/-
20 to 49 Employees 10,000/-
50 to 99 Employees 20,000/-
100 to 250 Employees 40,000/-
251 to 500 Employees 70,000/-
501 to 1000 Employees 70,000/-
Above 1000 Employees 75,000/-
 

Other Relevant and Important Provisions of The Karnataka Shops and Commercial Establishments Act, 1961(Duties of the Shop/Establishment after Registration)

  1. Registration certificate must be displayed on visible place inside the office premises.
  2. Display of Name Board in Kannada along with English
  3. Registration certificate is valid for ‘5’ years period. Before the expiry of the period, renewal application to be submitted for the next period.
  4. It shall be the duty of an employer to notify the registration authority, in the prescribed form, any change with respect to any information contained in his statement during registration/renewal within 15 days after the change. Ex. Change in address, change in ownership, change in number of employees etc.
  5. After closing the business of his establishment, he should surrender the registration certificate to the registration authority.
  6. Every establishment shall remain closed for one day of the week. The employer shall fix such a day in the beginning of the year and notify it to the registration authority and specify it in a notice prominently displayed in a conspicuous place inside the establishment. Instruction: Any employer is taking exemption from weekly holiday, shall fix different days as a holiday for his establishment and shall obtain the weekly holiday break by submitting the report to the deputy labour commissioner. The Following establishments are exempted from weekly holiday.
    1. Medicine and Medical equipment sale.
    2. Club, Lodging and Hotel, Hostel, Hostel attached to school or college, Residential schools.
    3. Shops, Stalls and refreshment rooms at the bus stand and railway station.
    4. Haircutting salon.
    5. Shops dealing mainly in Meat, Fish, Egg, Milk and Dairy product (except ghee) Bread, Chocolate, Fresh ingredients, Confectionery, Ice cream and cooked food for sale, Fruits, Vegetables, Flowers, raw fodder sales.
    6. Pan Masala, Beedi, Cigarette, Soft drink sales shop.
    7. Daily newspaper, Weekly magazine sails shop and related office.
    8. Cinema, Theatre, and other public recreation centers.
    9. Petrol, Diesel for sale.
    10. Tan bodies.
    11. Exhibition Shops and Museum.
    12. Oil, Flour mill, Brick and Lime manufacturing industries.
    13. Copper, Brass, Container, Manufacturing firms.
    14. Information / Biotechnology information / Biological engineering related service.
    15. Organizations conducting research on infectious diseases.
  7. Annual report ending with 31st December shall be submitted before 31st January of next year in the format 'U'.
  8. Maintenance of Relevant Registers, records and documents as required by the Act and rules made there under
  9. Adherence to Working Hours: Any establishment shall not run its business before and after the following hours.
    1. In Bangalore city; Morning before 6 am and Night after 9 pm.
    2. Other places; Morning before 8 am and Night after 8 pm.
  10. Prohibitions and Exemptions of work: No child, under 14 years shall be required or allowed to work in any establishment and No women shall be required or allowed to work whether as an employee or otherwise in any establishment after 8 pm. However, IT/BT organizations can get permission to allow women to work after 8 pm by submitting Form ‘R’ with the necessary information.
  11. Shops and Establishment shall adhere to Employees rights granted under this statue or other labour laws
 

We also offer other sorts of registration services as below:

  1. MSME or Udyog Aadhar Registration
  2. Professional Tax Registration
  3. Registration under Employee Provident Fund
  4. Registration under Employee State Insurance
  5. Import Export Code
  6. STPI or Non STPI Registration
  7. Trade License from BBMP
  8. APEDA Registration
  9. FSSAI