MSME Udyog Aadhar registration has been replaced by Udyam Registration with effect from 1st of July 2020 as per the notification dated 26th of May 2020.
The Ministry of Micro Small and medium enterprises notified certain criteria for classifying the enterprises as micro, small and medium enterprises and also specified the form and procedure for filing the memorandum, for both new and existing with effect from 1st of July 2020.
| Classification of MSME |
| Micro meansFor Manufacturing and service sector both Micro means an enterprise where investment in plant and machinery does not exceed 1 crore and Turnover does not exceed 5 crores. |
| Small MeansFor Manufacturing and service sector both Micro means an enterprise where investment in plant and machinery more than Rs.1 crore but does not exceed Rs. 10 Crore and Turnover does not exceed 50 crore |
| Medium meansFor Manufacturing and service sector both Micro means an enterprise where investment in plant and machinery more than Rs.10 crore but does not exceed Rs. 20 Crore and Turnover does not exceed 100 croreThe calculation of investment in plant and machinery or facilities would be based on the previous year’s Income Tax Return (ITR), filed under the Income Tax Act, 1961. The above notice further clarifies that all tangible properties other than land and building & furniture and fittings must be included in the plant and machinery. All units listed against the same Permanent Account Number (PAN) with Goods and Services Tax Identification Number (GSTIN) shall be collectively considered as one entity for turnover calculation and investment for category determination as micro, small or medium enterprise. Any person wishing to create a micro, small or Medium-sized enterprises can file Udyam online in the Portal of Udyam Registration, based on self-declaration with No requirement to upload documents, documents, certificates or Proof. An enterprise (referred to as “Udyam”) on registration in the permanent Udyam registration portal is assigned Identity number to be called “Udyam Registration’ number. E-certificate, namely “Udyam Certificate of Registration” Is issued once the registration process is complete |
