What are the Procedure and Required Documents to renew Gumasta License? 

Last Updated at: April 02, 2020
275
What are the Procedure and Required Documents to renew Gumasta License_

A Gumasta License is a very important document for running a business in Maharashtra. It helps in officially registering a trading entity under the state law. It comes under the Maharashtra Shops and Establishment Act, and the Mumbai Municipal Corporation helps in issuing them. However, these licenses have a validity period, following which they need to be renewed. In case if your license is about to expire, here’s a look at how to renew your Gumasta License, the benefits, documents required for the renewal purpose, the new rules and why you need to do so.

  1. What is the Gumasta License

  2. Why Need Gumasta License Renewal

  3. How to do Gumasta License Renewal

  4. Gumasta License Download

  5. Documents Required for the Renewal

  6. New Rules Regarding Gumasta License Renewal

  7. Benefits of Gumasta License Renewal

 

What is the Gumasta License?

As mentioned in the introduction, Gumasta License serves as a registration that permits individuals and groups to do business in Maharashtra. It works as per the instructions of the Mumbai Municipal Corporation and functions as per the laws of the Maharashtra Shops and Establishment Act. This certificate gives individuals and groups the authority to conduct and practice their business at a particular place in Maharashtra. It is a mandatory registration that allows businesses to apply for loans and other benefits.

Why You Need Gumasta License Renewal

In most states in India, if you wish to open a business, you need a Shop License. However, in the state of Maharashtra, the Shop License is replaced with the Gumasta License. Hence, this is a mandatory legal document if you wish to practice trade in the state of Maharashtra. Therefore, procuring this license is mandatory if you wish to start a commercial entity, which both the government and any bank in Maharashtra recognizes. The license serves as proof that the business, whether it is run by a person or a group, is a legal entity. Therefore, the Gumasta License is important if an entity wishes to open a bank account or apply for a loan. 

Furthermore, it is essential if the company wishes to register itself under the new GST regime. Also, since the license is valid only for a particular period, users should renew it after expiry to continue availing the benefits it provides. In case you do not renew the license, you will not be able to continue your business in Maharashtra. Furthermore, failure to do so can also lead to fines, penalties, and other legal issues.

Get free legal advice now

How to Renew your Gumasta License

  1. Typically, the Gumasta License is valid for one year.
  2. At least 15 days before the date of expiry, an application for renewal must be filed.
  3. In case that is not done, after paying a late fee, an application may be filed 30 days after the date of expiry.
  4. Users can submit their renewal application through the Mumbai Municipal Corporation’s official website.
  5. All users have to do is fill the renewal application form and upload your certificate of registration.
  6. All the documents uploaded must have sizes between 75KB and 100 KB
  7. Furthermore, the photograph you upload must be within 20 KB and 30 KB 
  8. Similarly, the digital signature must have a file size between 9KB and 15 KB
  9. Submit both online and then pay the fees for renewal. 
  10. In case you don’t place the application for renewal on time, the late fees will amount to half the fee for renewal of the Gumasta License.
  11. This registration certificate will be valid for 3 years.

Gumasta Licence Download

  • Visit the Municipal Corporation of Greater Mumbai’s website
  • Provide details regarding your establishment or shop
  • Check the status using your Unique Transaction Number, which you receive after filing the application
  • If the status shows Approved, download a copy of the approved registration certificate
  • If rejected, you will have to apply again
  • In case it is undergoing verification, wait for a few more days and then check your status again

Documents Required for the Renewal purpose

  1. Document for shop premises
  2. Self-declaration 
  3. Self-declaration for attestation
  4. Undertaking as per website regulations
  5. Passport-sized photograph
  6. Signature
  7. Proof of identity
  8. Fee receipt paid earlier

New Rules Regarding Renewal of the license

  • Only companies which have more than 9 employees, need to apply for a Gumasta License as per the new rules released by the Mumbai Municipal Corporation
  • In case you have nine or less than nine employees, then you need not apply for or get it renewed.
  • In case the number of employees changes after applying, you will have to let the inspector know. Once the change is verified by the inspector, the new rules may be applied.

Benefits of the Renewal

Let us now look at the benefits of acquiring this permit:

  1. Eligible for all the tax subsidies handed out by the state government
  2. Avail other benefits that the Maharashtra State government provides
  3. Serves as proof that the establishment is a legal entity
  4. Allows owners to conduct business in the state of Maharashtra
  5. Banks require the renewed Gumasta license in order to open a bank account for the business
  6. Helps while applying for loans

 

0

What are the Procedure and Required Documents to renew Gumasta License? 

275

A Gumasta License is a very important document for running a business in Maharashtra. It helps in officially registering a trading entity under the state law. It comes under the Maharashtra Shops and Establishment Act, and the Mumbai Municipal Corporation helps in issuing them. However, these licenses have a validity period, following which they need to be renewed. In case if your license is about to expire, here’s a look at how to renew your Gumasta License, the benefits, documents required for the renewal purpose, the new rules and why you need to do so.

  1. What is the Gumasta License

  2. Why Need Gumasta License Renewal

  3. How to do Gumasta License Renewal

  4. Gumasta License Download

  5. Documents Required for the Renewal

  6. New Rules Regarding Gumasta License Renewal

  7. Benefits of Gumasta License Renewal

 

What is the Gumasta License?

As mentioned in the introduction, Gumasta License serves as a registration that permits individuals and groups to do business in Maharashtra. It works as per the instructions of the Mumbai Municipal Corporation and functions as per the laws of the Maharashtra Shops and Establishment Act. This certificate gives individuals and groups the authority to conduct and practice their business at a particular place in Maharashtra. It is a mandatory registration that allows businesses to apply for loans and other benefits.

Why You Need Gumasta License Renewal

In most states in India, if you wish to open a business, you need a Shop License. However, in the state of Maharashtra, the Shop License is replaced with the Gumasta License. Hence, this is a mandatory legal document if you wish to practice trade in the state of Maharashtra. Therefore, procuring this license is mandatory if you wish to start a commercial entity, which both the government and any bank in Maharashtra recognizes. The license serves as proof that the business, whether it is run by a person or a group, is a legal entity. Therefore, the Gumasta License is important if an entity wishes to open a bank account or apply for a loan. 

Furthermore, it is essential if the company wishes to register itself under the new GST regime. Also, since the license is valid only for a particular period, users should renew it after expiry to continue availing the benefits it provides. In case you do not renew the license, you will not be able to continue your business in Maharashtra. Furthermore, failure to do so can also lead to fines, penalties, and other legal issues.

Get free legal advice now

How to Renew your Gumasta License

  1. Typically, the Gumasta License is valid for one year.
  2. At least 15 days before the date of expiry, an application for renewal must be filed.
  3. In case that is not done, after paying a late fee, an application may be filed 30 days after the date of expiry.
  4. Users can submit their renewal application through the Mumbai Municipal Corporation’s official website.
  5. All users have to do is fill the renewal application form and upload your certificate of registration.
  6. All the documents uploaded must have sizes between 75KB and 100 KB
  7. Furthermore, the photograph you upload must be within 20 KB and 30 KB 
  8. Similarly, the digital signature must have a file size between 9KB and 15 KB
  9. Submit both online and then pay the fees for renewal. 
  10. In case you don’t place the application for renewal on time, the late fees will amount to half the fee for renewal of the Gumasta License.
  11. This registration certificate will be valid for 3 years.

Gumasta Licence Download

  • Visit the Municipal Corporation of Greater Mumbai’s website
  • Provide details regarding your establishment or shop
  • Check the status using your Unique Transaction Number, which you receive after filing the application
  • If the status shows Approved, download a copy of the approved registration certificate
  • If rejected, you will have to apply again
  • In case it is undergoing verification, wait for a few more days and then check your status again

Documents Required for the Renewal purpose

  1. Document for shop premises
  2. Self-declaration 
  3. Self-declaration for attestation
  4. Undertaking as per website regulations
  5. Passport-sized photograph
  6. Signature
  7. Proof of identity
  8. Fee receipt paid earlier

New Rules Regarding Renewal of the license

  • Only companies which have more than 9 employees, need to apply for a Gumasta License as per the new rules released by the Mumbai Municipal Corporation
  • In case you have nine or less than nine employees, then you need not apply for or get it renewed.
  • In case the number of employees changes after applying, you will have to let the inspector know. Once the change is verified by the inspector, the new rules may be applied.

Benefits of the Renewal

Let us now look at the benefits of acquiring this permit:

  1. Eligible for all the tax subsidies handed out by the state government
  2. Avail other benefits that the Maharashtra State government provides
  3. Serves as proof that the establishment is a legal entity
  4. Allows owners to conduct business in the state of Maharashtra
  5. Banks require the renewed Gumasta license in order to open a bank account for the business
  6. Helps while applying for loans

 

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