PG licence checklist: the permits and registrations a PG owner needs

By Giridhar Reddy, founder of Domvio, Bengaluru
Published

To run a PG legally you usually need a trade licence from your municipal corporation, fire safety clearance for the building, and FSSAI registration if you serve meals. GST is exempt for most beds up to ₹20,000 per person per month. Rules differ by city; Bengaluru and Hyderabad have the clearest official rules.

This is a sample for general information, not legal advice. Laws differ by state. It has not yet been reviewed by a lawyer. Have a lawyer examine it for your situation before you use or rely on it.

The PG licence checklist

What a PG may need, and where to read more (checked 21 October 2026)
Licence or registrationWho needs itRead more
Trade licenceAlmost every PG, from the municipal corporation. Bengaluru sets ten conditions for PGsPG trade licence
Fire safety clearance or fire NOCBengaluru PGs before the trade licence; in Telangana, taller buildings before plan approvalFire NOC for a PG
FSSAI registration or licencePGs that cook and serve meals. Registration covers food turnover up to ₹1.5 crore from 1 April 2026FSSAI licence for a PG mess
GST registrationOnly if some stays are taxable and turnover crosses ₹20 lakh. Beds up to ₹20,000 per person per month for 90+ days are exemptGST on PG rent
Agreement with each residentEvery PG, to set rent, deposit, notice and house rulesPG rental agreement
Tenant police verificationCheck your city's rule for residents and staffTenant police verification

Starting from scratch? Read how to start a PG business for the full plan, from choosing a building to your first residents, and use the PG profit calculator to check the numbers before you spend.

What does Bengaluru require of a PG?

A BBMP order of 7 August 2024 sets ten conditions for a PG's trade licence. In short:

  • CCTV on all entries, exits and corridors, with 90 days of footage
  • At least 70 sq ft per occupant; the licence is for a set number of occupants
  • Clean washrooms, potable drinking water and 135 litres of water per person per day
  • An FSSAI licence within 3 months if the PG has its own mass kitchen
  • A security guard 24 hours a day
  • Fire safety clearance before the trade licence is granted
  • BBMP and police helpline numbers on display, a first aid kit, and waste segregation

Licensing in Bengaluru has moved from BBMP to the Greater Bengaluru Authority, and the Karnataka High Court is hearing cases on PG safety. Check the current position with your GBA zonal office. Details on the PG trade licence page.

What does Hyderabad require of a PG?

  • Trade licence from GHMC, applied for online or at Mee Seva and renewed every calendar year. See PG trade licence.
  • Fire NOC before plan approval if the building is 18 m or taller for residential use, or above 15 m for commercial use, under the Telangana Fire Service Act, 1999. See fire NOC for a PG.
  • FSSAI registration if you serve meals, as anywhere in India.

In what order should you get them?

  1. Check the building

    Make sure the building and its use match its approved plan, and that the space allows the number of beds you want. In Bengaluru, count 70 sq ft per resident.

  2. Fire safety

    Get fire safety clearance or an NOC where your city or building needs one. In Bengaluru, it comes before the trade licence.

  3. Trade licence

    Apply to your municipal corporation with ownership or rental papers.

  4. FSSAI, if you run a mess

    Register on FoSCoS. In Bengaluru, within 3 months of the trade licence.

  5. GST check

    If any bed costs more than ₹20,000 a month per person, or you take short stays, ask a CA about GST.

  6. Resident paperwork

    An agreement, ID and police verification for each resident, and receipts for every payment.

General information, not legal advice

This checklist lists only rules we could confirm from official sources on 21 October 2026. Your city may have others, such as building use, pollution or labour rules. Check with your municipal office and a local lawyer before you open.

Run the rent side without the paperwork

Rent for every bed, on WhatsApp

Domvio invites residents on WhatsApp, reminds them three days before rent is due, takes payment straight to your own UPI ID and sends a PDF receipt for every payment, UPI or cash. Agreements and KYC documents live in one place. It is free during early access. See PG management software.

Frequently asked questions

What licences are required to start a PG in India?

Usually a trade licence from the municipal corporation, fire safety clearance where your city or building needs it, and FSSAI registration if you serve meals. GST registration is needed only if some stays are taxable and turnover crosses the limit.

Is a licence required for a PG in Bengaluru?

Yes. A trade licence, issued under a BBMP order of 7 August 2024 that sets ten conditions, including CCTV, 70 sq ft per occupant and fire safety clearance. Licensing is now run by the Greater Bengaluru Authority.

Do I need GST registration to run a PG?

Not if every bed costs up to ₹20,000 per person per month and stays last at least 90 days, because those stays are exempt. Otherwise registration is needed once aggregate turnover passes ₹20 lakh a year.

Do I need FSSAI if residents cook for themselves?

FSSAI registration is for food businesses, such as a PG that cooks and serves meals. If residents only use a shared kitchen, ask your district food safety officer.

Stop chasing rent every month

Domvio reminds your tenants on WhatsApp, takes rent straight to your UPI ID and sends PDF receipts automatically. Free during early access.