What is a shop? A shop is defined as a building/property established for the sole purpose of selling goods or services. A shop may have only one person working which is the owner himself or he can hire any number of employees as per his requirements, provided he follows a set of rules and regulations.
What is an establishment? A commercial establishment refers to a financial unit or banking sector that produces or sells goods and services from a specific location. Establishment may be restaurants, coffee shops, residential hotels, movie theatres, amusement parks, financial institutions and so on.
SEE ALSO: How To Transfer PF Online
What is ‘shop and establishment act’? Shop and Establishment Act came into force to regulate the payment of wages, working hours, terms of service and other work related conditions of employees in shops and commercial establishments. Any shop/commercial establishment in India must register under the act within 30 days of establishment. Each state has different rules and regulations for registration under the act and requires approval from the department of labor. The department must issue a certificate of registration upon application and this must be displayed at the shop. The registration should be renewed periodically as per the act.
Want to know more on Investment Planning? We at IndianMoney.com will make it easy for you. Just give us a missed call on 022 6181 6111 to explore our unique Free Advisory Service. IndianMoney.com is not a seller of any financial products. We only provide FREE financial advice/education to ensure that you are not misguided while buying any kind of financial products.
SEE ALSO: EPFO Aadhaar Link
This act came into force in 1962. All the shops in Karnataka must mandatorily register under the act. An application must be submitted to the inspector in charge of your region. After submitting the application, the inspector would initiate the verification and would issue a registration certificate. This registration would be valid for a certain period and needs periodic renewal. The application could be rejected for incomplete information or for furnishing wrong information. If the owner of the establishment wishes to close, then he must notify the inspector within 15 days of closing and the inspector would verify and cancel the registration.
There are certain establishments that are exempted from registration under the act and are mentioned below;
Each state in India has its own set of rules and regulations for the registration. Below mentioned are the detailed steps that must be followed to register your shop/establishment under the Karnataka Shops and Establishment Act:
Registration Fee |
|
No. of Employees |
Fees (Rs.) |
No Employees |
250/- |
1 to 9 Employees |
500/- |
10 to 19 Employees |
3000/- |
20 to 49 Employees |
8000/- |
50 to 99 Employees |
15000/- |
100 to 250 Employees |
30000/- |
251 to 500 Employees |
35000/- |
501 to 1000 Employees |
45000/- |
1000 Above Employees |
50000/- |
The regional labor inspector would issue the registration certificate upon verification. This certificate is to be displayed at your premises at all times. This certificate could be renewed using the same user ID and password that was generated at the time of registration.
There are certain benefits of registering under the act which are mentioned below;
SEE ALSO: Why You Need A Term Insurance Plan?
Have a complaint against any company? IndianMoney.com's complaint portal IamCheated.com can help resolve the issue. Just visit IamCheated.com and lodge your complaint. If you want to post a review on any company you can post it on IndianMoney review and complaint portal IamCheated.com.
You May Also Watch:
Iframe Content
Keep your Financial Cognizance up to date with IndianMoney App. Download NOW for simple tips & solutions for your financial wellbeing.
Be Wise, Get Rich.
This is to inform that Suvision Holdings Pvt Ltd ("IndianMoney.com") do not charge any fees/security deposit/advances towards outsourcing any of its activities. All stake holders are cautioned against any such fraud.