How to obtain Trade License in Bangladesh

 

 

Every business entity in Bangladesh requires a formal permission from Dhaka City Corporation or Municipality’s relevant office (Union Parishad, Pouroshava, upozilla or zillaparishad) to operate. This permission is given in the form of Trade License. In order to obtain a Trade License in Bangladesh the legal basis of this requirement is found in Dhaka City Corporation Ordinance, 1983 and Municipal Taxation Rules, 1986. Operating business without a trade license is illegal in Bangladesh. For successfully obtaining a trade license, the entrepreneur is required to use the appropriate form and apply through the relevant authority’s office. For instance, Dhaka City Corporation is divided into two parts, North and South. The applicant shall require choosing the correct form depending on the area where the business is located.

 

The List of documents required for obtaining a trade license are

  1. Application Form from Dhaka City Corporation (North Form) or (South Form)

  2. National ID card of the entrepreneur

  3. Recent receipt or ownership proof

  4. Holding Tax payment receipt

  5. Recent passport size photo of the entrepreneur

  6. Declaration on non-judicial stamp to abide by the rules and regulations of City Corporation/Municipality/Union Parishad

  7. Memorandum of Association and Articles of Association

  8. Certificate of Incorporation

  9. Agreement of partnership

  10. Work Permit from Board of Investment

  11. Statement of Bank Solvency

  12. TIN Certificate

Procedure

Applicant is required to obtain the designated Application Form from the City Corporation or relevant Municipality’s Office. Then, the applicant is required to submit filled-in Application Form from the taxation officer together with prescribed supporting documents which will be inspected by the Licensing Supervisor. Upon payment of scheduled fees at the City Corporation or Municipality’s relevant office, the applicant shall receive the trade license provided that all the requirements are met.

Time Limit

Estimated Processing Time for issuing the license is 3-4 working days, however, may vary depending on the nature of the and type of the business.

Scheduled Government Fee

  1. The application fee is BDT 10.00.

  2. License fee varies between BDT 100.00- 40,000.00 depending on the nature and type of business.

  3. For Limited Company, License fee is determined based on paid-up capital.

Renewal of Trade License (Commercial Firms)

Trade Licenses are required to be renewed annually. The documents required are License Book which is provided at the time of issuance of Trade License, challan Book, rent and receipt of ownership proof and TIN Certificate.

Procedure for Renewal

The applicant is required to deposit the scheduled fees at the designated bank. Upon receiving the fee receipt, the City Corporation or Municipality’s relevant zonal office shall complete the renewal process if all the other requirements are met.

Time limit

Estimated processing time for renewing the License is 1-2 working days, however, may vary depending on the nature and type of business. 

Scheduled Government Fee

  1. The application fee is BDT 10.00.

  2. License fee varies between BDT 100.00- 40,000.00 depending on the nature and type of business.

  3. For Limited Company, License fee is determined based on paid-up capital.

Contact Us

info@fmcibd.com