As Udyam registration has been made compulsory for all MSME’s w. e. f. April 1, 2021 and the deadline for the same is March 31, 2021, the stakeholders should take care and complete their Udyam registration process before this date, said CA Julfesh Shah, MSME expert while delivering a lecture on MSME’s & its benefits organised by MSME Entrepreneurs Forum of Western India Zone.

 

He also said that all existing enterprises registered under EM–Part-II or Udyog Aadhar Memorandum shall register again on the Udyam registration portal and the existing enterprises registered under EM-Part II or Udyog Aadhar prior to June 30, 2020, shall continue to be valid only for a period up to the March 31, 2021. CA Julfesh Shah further said that all enterprises registered till June 30, 2020 shall be re-classified in accordance with the new notification specifying revised limits of recognition of an enterprise as a micro, small or medium scale units / enterprises as per the new definition of MSME. In the case of businesses linked to a single PAN with different GST numbers, collective investment in plant & machinery as well as collective turnover of an enterprise in various businesses linked to a single PAN shall be considered in order to decide category of unit as micro, small or medium enterprise.

 

For the purpose of Udyam registration investment in plant and machinery shall be linked to Income Tax Return (ITR) of latest previous year filed under Income Tax Act which means that investment in plant and machinery shall be on written down method and not on gross investment basis. In the case of new enterprises, self-declaration of category of enterprises (till the time its first Income Tax Return gets filed) shall be base for its Udyam registration. Cost of plant and machinery for Udyam registration shall be invoice value less GST applied thereon. CA Shah said, turnover of export of goods &/or services shall be excluded while determining category of the unit& the amount of export turnover shall be cross checked & verified with I-T return & GST returns filed by an applicant unit. S N Rishi made welcome remarks. V K Singh coordinated session.