Commerce Registration in Nepal (वाणिज्य दर्ता)

Commerce registration in Nepal is a mandatory process for businesses engaged in import, export, and wholesale activities. It involves obtaining official authorization from the Department of Commerce to legally operate commercial enterprises. This article provides a comprehensive guide on the requirements, process, documents, costs, and compliance aspects of commerce registration in Nepal.

Prime Law Associates has experience of registering companies & businesses in Department of Commerce for 15 Years. The Firm has the best Commerce Registration Service in Nepal. The Firm is also legal advisors to multiple Trading & Import Companies. The Firm can be contacted through:

What is Commerce Registration?

Commerce registration refers to the official registration of businesses involved in commercial activities like import, export and wholesale trade with the Department of Commerce in Nepal. It is a legal requirement for companies engaged in foreign trade and large-scale domestic trade. Commerce registration provides businesses the legal status to conduct commercial operations and engage in international trade. It also enables the government to regulate commercial activities and collect relevant taxes. Commerce registration is required for businesses to legally import/export goods, participate in government tenders, and conduct wholesale trade in Nepal.

Requirements for Commerce Registration in Nepal

To register for commerce in Nepal, businesses must meet certain eligibility criteria:

1. The company must be registered with the Office of Company Registrar
2. Minimum paid-up capital of NPR 100,000 for private limited companies
3. Minimum paid-up capital of NPR 1,000,000 for public limited companies
4. PAN/VAT registration with the Inland Revenue Department
5. Bank account in the company’s name
6. Citizenship certificates of company directors/shareholders
7. Recommendation letter from relevant industry association (if applicable)
8. No objection letter from regulatory bodies (for regulated sectors)

Also Read: Company Registration in Nepal। Company Registration Lawyer

Process for Commerce Registration in Nepal

Step 1: Choose Business Name

Step 2: Submit an Application to Department of Commerce

Step 3: Preparation & Submission of Required Documents

Step 4: Obtain Commerce Registration Certificate

Step 1: Choose Business Name

The first step is selecting an appropriate business name that is unique and not already registered. Check name availability on the Department of Commerce website or through a written application. Reserve the chosen name by paying the required fee. Ensure the name complies with naming guidelines and does not include restricted words. The name reservation is valid for 3 months, within which registration application must be filed.

Step 2: Submit an Application to Department of Commerce

Submit a formal application to the Department of Commerce for commerce registration. The application form can be obtained from the Department office or downloaded from their website. Fill in all required details accurately, including company information, directors’ details, nature of business activities, etc. Attach all supporting documents as specified. Sign and stamp the application form. Pay the application fee at the designated counter. Obtain an acknowledgment receipt for the submitted application.

Step 3: Preparation & Submission of Required Documents

Collect and prepare all required documents as per the Department’s checklist. This includes company registration certificate, memorandum and articles of association, PAN/VAT certificates, audit reports, bank statements, citizenship certificates, etc. Make photocopies and get them notarized as needed. Organize documents systematically as per the checklist order. Submit the complete set of documents along with the application form to the concerned officer at the Department of Commerce.

Step 4: Obtain Commerce Registration Certificate

After document verification, the Department reviews the application. They may conduct physical inspection of the business premises if required. Once satisfied, they approve the application and issue the Commerce Registration Certificate. Collect the certificate from the Department office. The certificate contains the registration number, validity period, and permitted business activities. Display the original certificate at the business premises. Obtain certified true copies for other official uses.

Commerce Registration Service in Nepal (वाणिज्य दर्ता सेवा)

Prime Law Associates has a leading team of 10+ Lawyers providing legal, compliance & licensing services for Commercial Registration in Nepal.

Documents required for Commerce Registration

The following documents are typically required for commerce registration in Nepal:

1. Completed application form
2. Company registration certificate from Office of Company Registrar
3. Memorandum and Articles of Association
4. PAN/VAT registration certificates
5. Bank statement showing minimum required paid-up capital
6. Citizenship certificates of company directors/shareholders
7. Passport size photographs of directors
8. Latest Share Registry (शेयर लगत)
9. Power of attorney authorizing representative (if applicable)

All documents should be properly signed, stamped and notarized as required. Additional documents may be needed based on the nature of business.

Cost of Commerce Registration in Nepal

The cost of commerce registration in Nepal includes various fees and charges for Company Registration, Local Ward Registration & Department of Commerce Registration. Additional costs may include document preparation, notarization, and professional service fees.

The total cost can depend on the company type and requirements. Larger companies or those in regulated sectors may incur higher costs.

Timeline of Commerce Registration in Nepal

The timeline for commerce registration in Nepal typically follows requires 15-30 Days in Nepal. The entire process usually takes 10-15 working days from application submission to certificate issuance. However, delays can occur due to incomplete documentation, high application volumes, or additional verification requirements.

Post-Commerce Registration Compliance in Nepal

After obtaining commerce registration, businesses must comply with ongoing requirements:

1. Annual renewal of registration certificate
2. Timely filing of tax returns and payment of applicable taxes
3. Maintaining proper books of accounts and financial records
4. Submission of annual audit reports to the Department
5. Updating the Department about any changes in company information
6. Obtaining necessary import/export licenses for international trade

Commerce Registration in Nepal: FAQs

Conclusion

Commerce registration is necessary for businesses engaged in commercial activities in Nepal. It provides legal recognition and enables participation in domestic and international trade. The process involves careful preparation of documents, adherence to eligibility criteria, and compliance with regulatory requirements.

Disclaimer: This Article is for informational purposes only and shall not be construed as legal advice, advertisement, personal communication, solicitation, or inducement of any sort from the firm or any of its members. The firm shall not be liable for consequences arising out of any action undertaken by any person relying on the information provided herein.

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