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How to Apply for or Renew a Trade Certificate Using Form 16

Form 16 is the official document used for applying for the grant or renewal of a trade certificate. A trade certificate is essential for those engaged in the business of vehicle manufacturing, dealing, repairing, or related activities. If you’re not familiar with the process or the importance of this form, this guide will help you understand how to complete Form 16 correctly, ensuring that your business operations remain compliant.

Target Audience

This guide is aimed at:

• Vehicle Manufacturers and Dealers: Businesses involved in the production, sale, or distribution of motor vehicles.
• Repair Shops and Service Centers: Entities that repair or service vehicles and need a trade certificate for their operations.
• Test Agencies and Vehicle Body Builders: Organizations involved in testing or constructing vehicle bodies.
• Financial Institutions: Companies engaged in hire purchase, leasing, or hypothecation of vehicles.

These individuals and entities may not be fully aware of the procedure and requirements for obtaining or renewing a trade certificate. This guide is intended to provide them with clear, step-by-step instructions.

Understanding Form 16

Form 16 is used to apply for the issuance or renewal of a trade certificate, which is required for conducting vehicle-related business activities legally. The trade certificate allows the holder to operate vehicles temporarily for purposes such as testing, transportation, or demonstration without registering each vehicle individually.

Step-by-Step Instructions for Completing Form 16

Step 1: Gather Required Information

• Applicant Details: Have the full name, relationship (son, wife, daughter), and full address of the applicant ready.
• Business Details: Collect information about the nature of your business, whether you are a manufacturer, dealer, test agency, repairer, or involved in vehicle finance.
• Certificate Details: Know how many trade certificates you require and for which class of motor vehicles.
• Renewal Information: If you are renewing a certificate, gather the previous certificate number, issue date, and expiry date.

Step 2: Complete the Form

1. Applicant's Name: Enter the full name of the applicant.
2. Relation: Specify whether you are the son, wife, or daughter of the individual related to the business.
3. Full Address: Provide your full residential address and attach proof of the address.
4. Business Type: Indicate whether you are a manufacturer, dealer, test agency, repairer, or involved in the hire purchase, lease, or hypothecation of vehicles. Select the appropriate option that applies to your business.
5. Number of Certificates: Specify the number of trade certificates you need.
6. Class of Vehicles: Mention the class of motor vehicles for which you need the trade certificate(s).
7. Fee Payment: Indicate the amount of fee paid for the application.
8. Renewal Information: If applying for renewal, enter the previous certificate number, its issue date, and expiry date.

Step 3: Sign the Declaration

• Declaration: The applicant must declare that the trade certificate(s) is required for bona fide trade purposes.
• Signature: Sign and date the form in the designated spaces.

Step 4: Submit the Form

• Submission: Submit the completed Form 16 along with the required fee and supporting documents to the appropriate Registering Authority.
• Supporting Documents: Ensure that all necessary documents, such as proof of address and previous trade certificate details (if renewing), are included.

Step 5: Follow Up