MSME Registration, new and existing, through Udyam Registration Portal, w.e.f. 01.07.2020, as per notification dated 26.06.2020
The Ministry of micro, small and medium enterprises vide its notification dated 26th June, 2020 has notified certain criteria for classifying the enterprise as micro, small and medium enterprises and specified the form and procedure for filing the memorandum, for both new and existing, with effect from 1st July, 2020.
As far as classification is concerned, the enterprise, where the investment in plant and machinery or equipment does not exceed one crore rupees and turnover does not exceed five crore rupees, will be considered as Micro Enterprise. Further, the enterprise, where the investment in plant and machinery or equipment does not exceed ten crore rupees and turnover does not exceed fifty crore rupees, will be considered as Small Enterprise. Moreover, the enterprise, where the investment in plant and machinery or equipment does not exceed fifty crore rupees and turnover does not exceed two hundred and fifty crore rupees, will be considered as Medium Enterprise.
The calculation of investment in plant and machinery or equipment will be based upon the Income Tax Return (ITR) of the previous year filed under the Income Tax Act, 1961. It is also clarified in the aforesaid notification that the plant and machinery will include all tangible assets other than land and building & furniture and fittings.
All units with Goods and Services Tax Identification Number (GSTIN) listed against the same Permanent Account Number (PAN) shall be collectively considered as one enterprise for the computation of turnover and investment for deciding the category as micro, small or medium enterprise.
Registration will be done through Udyam Registration Portal. All existing enterprises registered under EM-Part-II or UAM shall register again on the Udyam Registration Portal on or after 1st July, 2020. However, the existing enterprises registered prior to 30th June, 2020 shall continue to be valid only for a period upto 31st day of March, 2021.
Further, one enterprise shall be allowed to have only one Udyam Registration, wherein it may include any number of activities in the said registration.
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Can trading concern can register under udyam?