City Corporation Taxation Rules, 1983 is applicable for the Trade License Rules:

CHAPTER V
MANNER OF LEVYING TAXES ON PROFESSIONS, TRADES AND CALLINGS

42. Tax on professions, trades and callings

In levying tax on the profession, trade and calling, a City Corporation shall be guided by the City Corporation Model Tax Schedules, 1985, hereinafter referred to as the Model Tax Schedules.

43. Liability on account of obtaining licence to carry on profession, trade and calling

(1) No person shall carry on or maintain within the local limits of the City Corporation, either by himself or by agent, any such profession, trade or calling as specified in the Model Tax Schedules, without taking out a licence from the City Corporation which shall be renewable annually :

Provide that the grant of such a licence by the City Corporation shall not be deemed to affect the liability of the licence to take out a separate licence under any other provisions of these rules or by-laws under the Ordinance for the time being in force.

(2) Notwithstanding anything contained in sub-rule (1), the City Corporation may -

(a)when any person is, in the opinion of the City Corporation, unable to pay the tax due for a licence, exempt him from the liability to take out such licence, or declare that he shall be entitled to take out a licence under a lower class than that under which he is chargeable according to the Model Tax Schedules ; or
(b)in any other case, exempt any person from liability to take out a licence or declare that any person shall be entitled to take out a licence under a lower class than before.

44. Manner of filling application for licence

(1) Any person required to take out a licence under rule 43 shall file an application to the City Corporation in Form 'I', 'J' or 'K' in accordance with the nature of profession trade or calling, that he carrys on or intends to carry on and such Form may be had from the office of the City Corporation on payment of such price as may be fixed by the City Corporation with the prior approval of the government.

(2) For the purpose of considering the application submitted under sub-rule (1), an officer authorized by the Mayor may make such inquiry as may be deemed necessary and may also, by notice, call upon the applicant to furnish such information, records or accounts as may be necessary for the purpose of considering the application and determining tax.

(3) On the recommendation of the authorized officer, the City Corporation shall issue a licence in Form 'L', 'M' or 'N' in accordance with the nature of profession, trade or calling on payment of such amount of tax as may be determined by the City Corporation, but not exceeding the rate of tax specified in the Model Tax Schedules :

Provided that no licence shall be granted unless the City Corporation, on the recommendation of the authorized officer, is satisfied that the proposed trade to be carried on in the locality shall not be dangerous or offensive or to be or likely to be, nuisance to public, or dangerous to life, health or property of the area.

(4) A licence shall be issued exclusively in the name of the licence and such licence is not transferable.

(5) The licence issued shall contain the amount paid, the nature of profession, trade or calling for which it is granted alongwith location and duration and it shall be deemed to be properly signed if it bears facsimile of the signature of the Mayor stamped thereupon and the signature of the person delivering the licence at the time of receiving payment.

(6) The licence issued by the City Corporation shall remain valid for the financial year and it is renewable annually on payment of the tax.

Provided that, on the expiry of the validity of the licence, the licence shall make an application in Form 'O' within three months of its expiry, deposit in the account of the City Corporation the annual tax payable for the current financial year, and, on production of the existing licence, the City Corporation shall renew the licence for another year ;

Provided further that, if any licensee fails to get his licence renewed within the specified time, the City Corporation may impose a surcharge at the rate of 15 percent of the tax defaulted, but in exceptional cases the City Corporation may exempt any licensee partly or wholly from the payment of surcharge.

(7) The licensee shall not use the licence for any other purposes, except for the purpose and nature of profession, trade or calling it was issued.

(8) The condition, if any, under which a licence is issued, shall be clearly written on the licence.

(9) After issuance of licence, if it is detected that any wrong declaration was furnished in the application form, or the terms and conditions under which it was issued are violated, the licence shall be liable to cancellation and the licensee shall be liable to penal action under the Ordinance :

Provided that No licence shall be cancelled or penal action shall be taken unless the licensee has been given a reasonable opportunity of showing cause.

45. Postponement of realization of the tax on account of suspension Notwithstanding anything contained in this chapter, the City Corporation may postpone realisation of any tax due to it, on account of any profession, trade or calling remains * suspended for more than six months ; in such case, the licensee shall be entitled to a remission to the extent of one-half of the amount due on account of such period :

Provided that -
(a)the licensee liable to pay the tax of his agent has given notice in writing about the suspension of the profession, trade or calling to the City Corporation, and
(b)the amount of tax to be remitted in respect of such suspension period shall not be calculated from any date prior to the date of delivery of such notice.

a) the serial number, the date of issue and the name of person or persons to whom it is issued ;
b) the nature of the profession, trade or calling in respect of which it is issued ;
c) the place or places (=location) where the profession, trade or calling is permitted to be carried on ;
d) the amount of tax realized from the profession, trade or calling;
e) if the licence is issued in the name of a registered company, the registered name of the company, the address of its registered office, the name and address of the Managing Director and the amount of its authorized capital ;
f) if the licence is issued in the name of a firm, the name of the firm, the address of its registered office, the name and address of the Managing Partner and the capital of the business ; and
g) validity period.

(2) The Corporation shall maintain separate registers for the licences issued in respect of profession, trade or calling and the said registers shall contain detail* particulars of the licence, licensee and the amount of tax realized.

47. Requisition on the owner of house to furnish statement of persons liable to tax. - The City Corporation may, by notice, require all or any owner of any premises or building to furnish the City Corporation with a list of persons carrying on, or reasonably believed to have been carrying on, any profession, trade or calling specifying the nature of the profession, trade or calling and the period during which such profession, trade or calling is being carried on.

48. Power to change the name of the licence-holder on account of transfer. - The Mayor or any other authorized by him in this behalf may, on the application made to him, pass necessary order for alteration or amendment of the name of any licence-holder of trade by substituting the name of the person succeeded* by transfer or otherwise.

The Mayor or any other authorized by him in this behalf may, on the application made to him, pass necessary order for alteration or amendment of the name of any licence-holder of trade by substituting the name of the person succeeded* by transfer or or otherwise.

Condition for obtaining a trade lisence

Following are the conditions for obtaining a new Trade Licence

1. Incase of general Trade Licence - Attested Copy of Rent Receipt or Rental Agreement and also the copy of the Holding Tax payment receipt

2. Incase of Trade licence for industries - Everything mentioned in sl. no. 1 plus:

3. In case of Clinic/Private Hospital: permission from the Director General of Health.
4. In case of Limited Company :

5. In case of Printing Press & Residential Hotel - Permission from Deputy Commissioner (DC).
6. Incase of Reqruitment Agency - License from Manpower Man-power export Bureau
7. Incase of Arms and Ammunition - Copy of Arms License
8. Incase of Drug and Narcotics - Copy of Drug/Narcotics License
9. Incase of Travailing Agency - Approval from civil aviation authority

Renewal of trade license

· Contact concerned zonal Taxation office along-with the previous Trade License
· Concerned staff of the zonal taxation office will provide a new Trade License
· Fees: Fees for trade licence renewal is same as applicable for a new Trade Licence, which has to be deposited at any Bank indicated on the Trade License.