Recently MCA has passed ‘Specified Companies (Furnishing of information about payment to micro and small enterprise suppliers) Order, 2019′.
As per the order Every specified company shall file in MSME 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.
Now the question is who are those specified companies who have to file MSME Form I? As per the Notification order dated 22.01.2019 specified companies are all companies, who get supplies of goods or services from micro and small enterprises and whose payments to micro and small enterprise suppliers exceed forty five days from the date of acceptance or the date of deemed acceptance of the goods or services as per the provisions of section 9 of the Micro, Small and Medium Enterprises Development Act, 2006.
What is MSME
The Government of India has enacted the Micro, Small and Medium Enterprises Development (MSMED) Act, 2006 in terms of which the definition of micro, small and medium enterprises is as under:
Meaning of Specified Companies
Type of entities cover under Micro and Small entities;
- Company,
- Partnership Firm,
- Association of Persons,
- Hindu Undivided Family,
- Co-Operative Society,
- Proprietorship etc.
Identification of Creditors
(Whether creditors fall under MSME (Micro & Small)-
For the above purpose company can ask from creditors(entity) for a declaration cum confirmation that they fall under MSME (Micro & Small) category through which company shall decide whether they need to file or not E-form MSME-1 with MCA.
Disclaimer: The article is based on the relevant provisions and as per the information existing at the time of the preparation.. IN NO EVENT I SHALL BE LIABLE FOR ANY DIRECT AND INDIRECT RESULT FROM THIS ARTICLE. This is only a knowledge sharing initiative.
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Suppose a company paid to all their suppliers or services providers within 45 days. Whether the company still has to file the return or not?
I think the specified company is mentioned under notification number S.O. 5622(E),dated the 2nd November, 2018. Please check this notification.
Whether the Form MSME-I was notified in MCA?