A Trade License is the fundamental operational permit issued by local government authorities (Dhaka North City Corporation, Dhaka South City Corporation, Municipalities, or Union Parishads). No commercial, manufacturing, or professional enterprise can legally operate in Bangladesh without a valid Trade License.
Jurisdiction Rule: Your Trade License must be obtained from the exact City Corporation Zone or Union Parishad where your commercial office or factory premises is physically located.
Required Documents by Business Entity
- Sole Proprietorships: Proprietor NID, personal e-TIN, passport-size photographs, and commercial rental agreement.
- Partnership Firms: Registered Partnership Deed, partners' NIDs and e-TINs, premises rental deed, and photographs.
- Private Limited Companies: Certificate of Incorporation, Memorandum and Articles of Association (MoA & AoA), directors' NIDs and e-TINs, and commercial tenancy contract.
- Specialized Sectors (Restaurants, Factories): May additionally require Environmental Clearance, Fire License, and BSTI certifications.
Application and Issuance Steps
- Identify your respective City Corporation Zone office (e.g. Zone 1 to Zone 10 in DNCC/DSCC).
- Complete the prescribed application Form K (for general commercial businesses).
- Attach commercial rent deed, latest holding tax receipt of the landlord, and utility proof.
- Pay the designated government licensing fee, signboard tax, and 15% VAT through authorized bank booths.
- Receive your official hard-copy Trade License booklet or e-Trade License certificate.
Annual Renewal Rules
Trade Licenses are valid for one fiscal year (July to June). Renewals must be completed between 1 July and 30 September each year to avoid surcharges and administrative penalties.
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Regulatory Notice: This compliance guide is for general educational information only under Bangladeshi statutory frameworks (including the Income Tax Act 2023, Value Added Tax and Supplementary Duty Act 2012, and Companies Act 1994) and does not constitute formal legal or tax counsel. Government gazette rules, statutory regulatory orders (SROs), and procedural circulars are subject to periodic administrative updates. Please consult an EasyTax advocate or tax practitioner for customized advisory on your specific situation.
