Oman: Household Business Activities Decision Issued

Oman News developments

Oman: Household Business Activities Decision Issued

Times of Oman, 24 July 2022: Oman’s Commerce, Industry and Investment Promotion Ministry has issued a Ministerial Decision promulgating a regulation on making homemade business products.

Oman Ministerial Decision No. 473/2022 streamlines and legalises the activities of owners of household business activities undertaken by citizens to generate income, protect the rights of sellers and buyers and secure customer confidence in commercial transactions in the Sultanate and abroad.

The Decision bans any home-based business from being practised before the individual, or the family obtains a licence from the Ministry and the relevant authorities.

Everyone who engages in a home business activity must correct their status within six months from the date of their work.

To obtain a licence, the applicant must be an Omani national; the applicant should be at least 18, not have another licence to practice any commercial, professional, craft or industrial activity and pay the relevant fee.

Along with the licence application, the applicant should submit the title deed of the house where the activity is carried out, the lease contract, or the homeowner’s approval where the house is rented and their ID card or passport. They should also submit details of the home production work to be licenced.

The licence will be issued for three years and cost three Rials. The licence may be renewed for similar periods. The same procedures and conditions will apply.

The renewal application must be submitted 30 days before the expiry of the licence period.

The licensee must comply with the legislation regulating the licensed domestic production activity and the regulations governing the licensed activity from the relevant authority. They will also have to be familiar with practising licensed home business and not employ foreigners.

In addition, they should not assign the licence to others, even temporarily, and not place any advertising or promotional billboards on the house or external walls. A small board can be placed at the house entrance showing the licensee’s name, the licence number, the type of activity, and the phrase home business provided its area does not exceed 30cm x 60cm and the board must be flat.

They should not store any goods, equipment or machines outside the house or any toxic, dangerous or flammable materials or any other materials which may cause harm to public health in the place of activity.

The licensee cannot practice the activity after the licence has expired or in a place other than where it is licenced to work.

An administrative fine of 100 Rials will be imposed on licensees who violate the Decision. The penalty will only be set after the relevant authorities have issued a written warning of the reasons for the violation and given three days to remove it. The fine will be doubled for repeat violations.

Where the violation is not corrected, the Ministry can suspend the licence for up to three months. The Ministry may cancel the licence after this period has expired without the violation being removed.

The licensee may appeal the penalties under the Decision to the Minister within 60 days from the date of their notification of it.

The grievance will on within 30 days from the date of its submission, and the lapse of this date without a response will be considered a rejection.

In all instances, the refusal decision must be justified.

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Benjamin Filaferro