Micro, Small, and Medium Enterprises (MSME) play a crucial role in driving the industrial growth of India. These enterprises are responsible for a significant portion of the country’s production and export activities. The MSME sector fosters economic development and creates substantial employment opportunities, particularly in rural areas.
On July 1, 2020, the Ministry of Micro, Small, and Medium Enterprises launched the Udyam Registration process, replacing the previous EM-Part-II or UAM registration. Existing enterprises registered under EM-Part-II or UAM must now re-register through the Udyam Registration portal from July 1, 2020, onwards. Any enterprise registered before June 30, 2020, will remain valid only until March 31, 2021, after which they must comply with the new registration process.
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MSME/Udyam registration makes enterprises eligible for various government schemes, financial assistance, subsidies, and incentives aimed at promoting growth and development.
Registered MSMEs can access financial support with easier loan approvals and lower interest rates from financial institutions and banks, facilitating business expansion.
MSME registration allows businesses to enjoy certain tax benefits, such as tax exemptions, reduced compliance costs, and rebates under government schemes.
Udyam-registered businesses can avail of protection under the MSMED Act, which helps in claiming interest on delayed payments from buyers, promoting timely transactions.
Aadhar / Voter ID / Driving licence / PAN of the applicant and Document in relation to the proof of identity.
The Address proof of the applicant , Proof of the registered place of business (Ownership documents/ rent or lease agreement), any bill in relation to electricity /landlord bill / bank statement and incorporation certificate and Document in relation to proof of address.
The certificate of incorporation of registration certificate of the company / LLP must be enclosed for the date of incorporation.
The documents in relation with the nature of the business must be enclosed in the form.
The name of the concerned enterprise or business must be enclosed.
The details of the bank account, bank name, IFSC code, branch code has to be enclosed.
The financial statement of the business, initial investments, turnover details and the assets of the business details.
Our esteemed professional team would guide you with other requirements based on the nature of business.
At present Aadhaar Number is mandatory for issuance of MSME Certificate.
MSME/Udyog aadhaar now known as Udyam Registration.
Any person who intends to establish a micro, small, medium enterprise may file online udyam registration.
Yes, the tax exemption on direct tax can be availed for the MSME / UDAYAM certificate.
If you have any further queries, get our experts’ opinion. For free consultation Contact our Taxteam to resolve all your queries.