{"id":5580,"date":"2019-02-08T12:40:13","date_gmt":"2019-02-08T07:10:13","guid":{"rendered":"http:\/\/carajput.com\/blog\/?p=5580"},"modified":"2025-12-03T23:18:41","modified_gmt":"2025-12-03T17:48:41","slug":"micro-small-and-medium-enterprises","status":"publish","type":"post","link":"https:\/\/carajput.com\/blog\/micro-small-and-medium-enterprises\/","title":{"rendered":"Micro Small and Medium Enterprises Compliance"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_58 counter-hierarchy ez-toc-counter ez-toc-light-blue ez-toc-container-direction\">\n<p class=\"ez-toc-title\">Page Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a0c50e8345d5\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #000000;color:#000000\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #000000;color:#000000\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a0c50e8345d5\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/carajput.com\/blog\/micro-small-and-medium-enterprises\/#Overview_on_MSMEs_Companies\" title=\"Overview on MSME\u2019s Companies:\">Overview on MSME\u2019s Companies:<\/a><ul class='ez-toc-list-level-3'><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/carajput.com\/blog\/micro-small-and-medium-enterprises\/#What_is_the_definition_of_MSME\" title=\"What is the definition of MSME?\u00a0\">What is the definition of MSME?\u00a0<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/carajput.com\/blog\/micro-small-and-medium-enterprises\/#What_kind_of_Entities_Covered_under_MSME\" title=\"What kind of Entities Covered under MSME?\">What kind of Entities Covered under MSME?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/carajput.com\/blog\/micro-small-and-medium-enterprises\/#Mandatory_filing_of_MSME_Companies\" title=\"Mandatory filing of MSME Companies:\">Mandatory filing of MSME Companies:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/carajput.com\/blog\/micro-small-and-medium-enterprises\/#Two_types_of_returns_are_required_to_be_filed_by_%E2%80%9CSpecified_Companies%E2%80%9D_like\" title=\"Two types of returns are required to be filed by \u201cSpecified Companies,\u201d like:\">Two types of returns are required to be filed by \u201cSpecified Companies,\u201d like:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/carajput.com\/blog\/micro-small-and-medium-enterprises\/#HALF-YEARLY_RETURN_BY_MICRO_OR_SMALL_ENTERPRISES_WITH_REGISTRAR_OF_OUTSTANDING_PAYMENTS\" title=\"HALF-YEARLY RETURN BY MICRO OR SMALL ENTERPRISES WITH REGISTRAR OF OUTSTANDING PAYMENTS:\">HALF-YEARLY RETURN BY MICRO OR SMALL ENTERPRISES WITH REGISTRAR OF OUTSTANDING PAYMENTS:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/carajput.com\/blog\/micro-small-and-medium-enterprises\/#New_MCA_update_in_Dec_2025_on_small_company\" title=\"New MCA update in Dec 2025 on small company:\u00a0\">New MCA update in Dec 2025 on small company:\u00a0<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/carajput.com\/blog\/micro-small-and-medium-enterprises\/#DUE_DATES_FOR_FILLING_%E2%80%9CMSME_FORM_1%E2%80%9D\" title=\"DUE DATES FOR FILLING \u201cMSME FORM 1\u201d\">DUE DATES FOR FILLING \u201cMSME FORM 1\u201d<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/carajput.com\/blog\/micro-small-and-medium-enterprises\/#DETAILS_AND_DOCUMENTS_TO_BE_ENCLOSED_WITH_THE_FORM\" title=\"DETAILS AND DOCUMENTS TO BE ENCLOSED WITH THE FORM\">DETAILS AND DOCUMENTS TO BE ENCLOSED WITH THE FORM<\/a><\/li><\/ul><\/nav><\/div>\n<p><a href=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2019\/02\/micro-small-and-medium-enterprises.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\" wp-image-12313\" src=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2019\/02\/micro-small-and-medium-enterprises.jpg\" alt=\"micro small and medium enterprises\" width=\"821\" height=\"510\" \/><\/a><\/p>\n<p><span style=\"color: #ffffff;\">micro small and medium enterprises<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Overview_on_MSMEs_Companies\"><\/span><span style=\"color: #ff9900;\"><strong><em><span style=\"text-decoration: underline;\">Overview on MSME\u2019s Companies:<\/span><\/em><\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h3 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"What_is_the_definition_of_MSME\"><\/span><span style=\"text-decoration: underline; color: #000080;\">What is the definition of MSME?\u00a0<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p style=\"text-align: justify;\">The <strong><a href=\"https:\/\/carajput.com\/services\/msme-registration.php\">Micro Small &amp; Medium Enterprises (MSMEs)<\/a> <\/strong>are defined in India in the MSME Act 2006 according to the capital investment made in plant and machinery, excluding investments in land and building.<\/p>\n<p style=\"text-align: justify;\">For multiple kind of industries which come under classification criteria, an MSME license is preferred since it has the below incentives scheme &amp; benefits:<\/p>\n<ol>\n<li>Very Lower interest rate<\/li>\n<li>Priority in case of compliance &amp; registration approvals by State &amp; Central Govt.<\/li>\n<li>Availability of collateral free loans.<\/li>\n<li>Govt support in the form of incentives &amp; subsidies.<\/li>\n<li>Many tax exemptions reduced rates for registrations and reduction in electricity charges (For Example: patent registrations, etc).<\/li>\n<\/ol>\n<h3><span class=\"ez-toc-section\" id=\"What_kind_of_Entities_Covered_under_MSME\"><\/span><span style=\"color: #000080;\">What kind of Entities Covered under MSME?<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Below types of business entities covered under the MSME are:<\/p>\n<ul>\n<li>Hindu Undivided Family<\/li>\n<li>Co-operative Society<\/li>\n<li><a href=\"https:\/\/www.caindelhiindia.com\/blog\/basic-about-non-resident-indians-under-fema-and-income-tax\/\">Company<\/a><\/li>\n<li>Proprietorship<\/li>\n<li>Partnership Firm<\/li>\n<li>Association of Persons<\/li>\n<\/ul>\n<p><a href=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2019\/02\/MSMEs-Companies.png\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-12315\" src=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2019\/02\/MSMEs-Companies.png\" alt=\"\" width=\"822\" height=\"478\" srcset=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2019\/02\/MSMEs-Companies.png 640w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2019\/02\/MSMEs-Companies-300x174.png 300w\" sizes=\"(max-width: 822px) 100vw, 822px\" \/><\/a><\/p>\n<h3><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-20237\" src=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2019\/02\/MSME-Definition-Revised-Comparison-with-Earlier-Scheme-1280x720-1.jpg\" alt=\"\" width=\"1280\" height=\"720\" srcset=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2019\/02\/MSME-Definition-Revised-Comparison-with-Earlier-Scheme-1280x720-1.jpg 1280w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2019\/02\/MSME-Definition-Revised-Comparison-with-Earlier-Scheme-1280x720-1-300x169.jpg 300w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2019\/02\/MSME-Definition-Revised-Comparison-with-Earlier-Scheme-1280x720-1-1024x576.jpg 1024w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2019\/02\/MSME-Definition-Revised-Comparison-with-Earlier-Scheme-1280x720-1-768x432.jpg 768w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2019\/02\/MSME-Definition-Revised-Comparison-with-Earlier-Scheme-1280x720-1-800x450.jpg 800w\" sizes=\"(max-width: 1280px) 100vw, 1280px\" \/><\/h3>\n<h3 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Mandatory_filing_of_MSME_Companies\"><\/span><strong><em><span style=\"text-decoration: underline;\">Mandatory filing of MSME Companies:<\/span><\/em><\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><a href=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2019\/02\/MSME-return-filling-2.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-12318\" src=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2019\/02\/MSME-return-filling-2.jpg\" alt=\"\" width=\"892\" height=\"470\" \/><\/a><\/p>\n<p style=\"text-align: justify;\">According to the rules, every specified companys are required to file MSME Form I with Roc in the situation mentioned below:<\/p>\n<h3 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Two_types_of_returns_are_required_to_be_filed_by_%E2%80%9CSpecified_Companies%E2%80%9D_like\"><\/span><span style=\"color: #000080;\"><strong>Two types of returns are required to be filed by \u201cSpecified Companies,\u201d like:<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul style=\"text-align: justify;\">\n<li>One-Time Return.<\/li>\n<li>Half-Yearly Return.<\/li>\n<\/ul>\n<p><a href=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2019\/02\/MSME-return-23.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-12320\" src=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2019\/02\/MSME-return-23.jpg\" alt=\"m\" width=\"834\" height=\"552\" \/><\/a><\/p>\n<p style=\"text-align: justify;\">Every specified company shall file in <a href=\"https:\/\/carajput.com\/services\/msme-registration.php\">MSME<\/a> Form I details of all outstanding dues to Micro or small enterprises suppliers existing on the date of notification of this order within thirty days from the date of publication of this notification which is 22nd January.<\/p>\n<p style=\"text-align: justify;\">All the specified MSME Company shall file a return as per MSME Form I annexed to this Order, by 31st October for the period from April to September and by 30th April for the period from October to March.<\/p>\n<p style=\"text-align: justify;\">Specified Company means Every Company \u201cPublic or Private\u201d who Received Goods or Services &#8216;from&#8217; Micro or Small Enterprises &#8216;of which&#8217; Payment Due or Not Paid till 45 days.<\/p>\n<p><strong><em>For more reading: <\/em><\/strong><em><a href=\"https:\/\/carajput.com\/learn\/msme-consultancy-and-registration.html\"><strong>MSME CONSULTANCY &amp; REGISTRATION SERVICE<\/strong><\/a><\/em><\/p>\n<h3 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"HALF-YEARLY_RETURN_BY_MICRO_OR_SMALL_ENTERPRISES_WITH_REGISTRAR_OF_OUTSTANDING_PAYMENTS\"><\/span><span style=\"color: #000080;\"><strong><em><span style=\"text-decoration: underline;\">HALF-YEARLY RETURN BY MICRO OR SMALL ENTERPRISES WITH REGISTRAR OF OUTSTANDING PAYMENTS:<\/span><\/em><\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"text-align: justify;\">All companies having outstanding payments to MSME for more than 45 days from the date of acceptance or deemed acceptance of goods or\/and services, who are not required to file the MSME Form I.<\/li>\n<li style=\"text-align: justify;\">The Companies who have no outstanding payments to MSME or such outstanding payments are for not more than 45 days are not required to file this form.<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"New_MCA_update_in_Dec_2025_on_small_company\"><\/span><span style=\"color: #000080;\"><strong>New MCA update in Dec 2025 on small company:\u00a0<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>The Ministry of Corporate Affairs has updated the definition of a small company, effective from 01.12.2025. The new criteria are as follows:<\/p>\n<ul>\n<li>Paid-up Capital: Up to INR 10 Crores<\/li>\n<li>Turnover: Up to INR 100 Crores<\/li>\n<\/ul>\n<h3 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"DUE_DATES_FOR_FILLING_%E2%80%9CMSME_FORM_1%E2%80%9D\"><\/span><strong><span style=\"color: #000080;\"><em><span style=\"text-decoration: underline;\">DUE DATES FOR FILLING <a style=\"color: #000080; text-decoration: underline;\" href=\"https:\/\/carajput.com\/services\/msme-registration.php\">\u201cMSME<\/a> FORM 1\u201d<\/span><\/em><\/span><\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p style=\"text-align: justify;\">Every Company within 30 days from the date of the notification i.e. 22nd February 2019 (22nd January 2019 + 30 days) is required to file this form as Initial Return.<\/p>\n<p style=\"text-align: justify;\">All MSME Company within 30 days from the last day of half-year shall file the regular half-yearly return.<\/p>\n<ul style=\"text-align: justify;\">\n<li>October 31st for the period1st April to 30th September.<\/li>\n<li>April 30th for the period01st October to 31st March.<\/li>\n<\/ul>\n<h2 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"DETAILS_AND_DOCUMENTS_TO_BE_ENCLOSED_WITH_THE_FORM\"><\/span><span style=\"color: #000080;\"><strong><em><span style=\"text-decoration: underline;\">DETAILS AND DOCUMENTS TO BE ENCLOSED WITH THE FORM<\/span><\/em><\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p style=\"text-align: justify;\"><span style=\"color: #993366;\"><em><span style=\"text-decoration: underline;\">INITIAL RETURN:<\/span><\/em><\/span><\/p>\n<p style=\"text-align: justify;\">Total outstanding amount, Details of suppliers, and payments due (PAN of Suppliers)<\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #993366;\"><em><span style=\"text-decoration: underline;\">REGULAR HALF YEARLY RETURN<\/span><\/em><\/span><\/p>\n<p style=\"text-align: justify;\">Total outstanding due for the period and particulars of suppliers therein for the period, Reasons for delay in payment.<\/p>\n<p style=\"text-align: justify;\">Penalty Provision as per Section 405 (4) of the Companies Act, 2013, if the said details are not submitted to MCA on or before 20\/02\/2019 or the information submitted is incorrect or incomplete.<\/p>\n<p><a href=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2019\/02\/penality-MSME.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-12321\" src=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2019\/02\/penality-MSME.jpg\" alt=\"\" width=\"822\" height=\"411\" srcset=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2019\/02\/penality-MSME.jpg 318w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2019\/02\/penality-MSME-300x150.jpg 300w\" sizes=\"(max-width: 822px) 100vw, 822px\" \/><\/a><\/p>\n<p style=\"text-align: justify;\"><strong>Fine<\/strong><\/p>\n<ul>\n<li style=\"text-align: justify;\">Company \u2013 up to Rs. 25,000<\/li>\n<li style=\"text-align: justify;\">Directors, CFO and CS<\/li>\n<li style=\"text-align: justify;\">Imprisonment \u2013 up to 6 months, or<\/li>\n<li style=\"text-align: justify;\">Fine \u2013 not less than Rs. 25,000 up to Rs. 3, 00,000 per person<\/li>\n<\/ul>\n<p><em><strong>NOTE:<\/strong> Non-compliance with such provisions will lead to punishment and penalty under the provision of the Act<\/em><\/p>\n<p><em>https:\/\/youtu.be\/PG48SK_4YQ8.<\/em><\/p>\n<p><strong><span style=\"color: #000080;\">Popular Articles :<\/span><\/strong><\/p>\n<ul>\n<li><span style=\"color: #000080;\"><a style=\"color: #000080;\" href=\"https:\/\/carajput.com\/blog\/payment-security-to-msme-according-to-law\/\">Payment of Security to MSME according to LAW<\/a><\/span><\/li>\n<li><span style=\"color: #000080;\"><a style=\"color: #000080;\" href=\"https:\/\/carajput.com\/blog\/micro-small-and-medium-enterprises\/\">Micro Small and Medium Enterprises<\/a><\/span><\/li>\n<li><span style=\"color: #000080;\"><a style=\"color: #000080;\" href=\"https:\/\/carajput.com\/blog\/relevant-parts-of-the-honorable-fm-press-conference\/\">Top Taxation Relaxation to MSMS<\/a><\/span><\/li>\n<li><span style=\"color: #000080;\"><a style=\"color: #000080;\" href=\"https:\/\/carajput.com\/blog\/cheer-for-smes-and-manufacturers\/\">Cheer for SMEs and manufactures<\/a><\/span><\/li>\n<li><span style=\"color: #000080;\"><em><a style=\"color: #000080;\" href=\"https:\/\/carajput.com\/learn\/msme-consultancy-and-registration.html\">MSME CONSULTANCY &amp; REGISTRATION SERVICE<\/a><\/em><\/span><\/li>\n<li><span style=\"color: #000080;\"><a style=\"color: #000080;\" href=\"https:\/\/carajput.com\/blog\/an-emerging-threat-to-small-enterprises-msmes\/\">An emerging threat to small Enterprises (MSMEs)<\/a><\/span><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>micro small and medium enterprises Overview on MSME\u2019s Companies: What is the definition of MSME?\u00a0 The Micro Small &amp; Medium Enterprises (MSMEs) are defined in India in the MSME Act 2006 according to the capital investment made in plant and machinery, excluding investments in land and building. For multiple kind of industries which come under &hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8495],"tags":[6648,6646],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts\/5580"}],"collection":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/comments?post=5580"}],"version-history":[{"count":5,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts\/5580\/revisions"}],"predecessor-version":[{"id":30606,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts\/5580\/revisions\/30606"}],"wp:attachment":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/media?parent=5580"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/categories?post=5580"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/tags?post=5580"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}