Micro, Small or Medium Enterprises compliances required to be followed by all types of company through filing of Form MSME-1 twice a year.
In order to safeguard money of micro, small and medium enterprise, MCA has come up with all new regulation in the form of MSME-1 form in which a company is required to report outstanding amount towards any goods or services availed from those enterprises which are registered as micro, small or medium enterprise under Micro, Small and Medium Enterprises Development Act,2006. This form is to be filed by every company twice in financial year.
Form MSME is required to be filed by every company giving the complete details of amount which is outstanding for more than 45 days from the date acceptance or deemed acceptance of goods or services, towards any enterprise which is micro, small or medium in nature. The company is also required to provide reason for the same.
It mandatory to file disclosures through e-Form MSME-I for every type of the Company – Public or Private Company, Micro or Small Companies; the Company who have received Goods and/or Services from Micro or Small Enterprise and Payment is due/not paid, to such Micro and Small Enterprise for 45 days from the date of acceptance.
Every company shall require to file MSME -1 as a half yearly return, in respect of outstanding payments to MSMEs. This is half yearly return.
From April to September- Due Date is 31st October
From October to March- Due Date is 30th April
Timely compliance by MSMEs enables companies to adhere to the legislations, escape penalties, and earn the confidence of MSME vendors. Timely submission of Form MSME-1 maintains financial transactions transparent and enables small companies to expand.
