The Ministry of Corporate Affairs has deployed E-form MSME-1 on May 01, 2019 and as per its Order vide Notification dated January 22, 2019, Every Specified Company shall file details of all outstanding dues to Micro or small enterprises suppliers existing on the date of notification of this order within 30 Days from the date of publication of this notification.
Due date of filing of one-time return in E-form MSME-1 is May 31, 2019.
To start with, specified companies are required to identify whether their suppliers are registered under the MSME Act. If they have been, and if payments to them are due for more than 45 days from the date of acceptance of the goods or services, the company would either be required to close the pending dues or file returns of the particulars of the liability, along with the reason for its delay in MSME Form 1.
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 (27 of 2006) (hereafter referred to as “Specified Companies”), shall submit a return to the Ministry of Corporate Affairs in the interval mentioned below
- Name of the Company
- Pan of the Company
- Active Email ID of the Company
- The total outstanding amount due on March 31, 2019 for Half Yearly Return or January 22, 2019 for Initial Return
- Reasons for Delay in the amount of payments due
- Name of Supplier
- Pan of Supplier
- The date on which the liability starts
FAILURE to file the aforesaid return by May 31, 2019 can bring a Penalty on the Company which may extend to Rs. 25,000/- and every officer of the company who is in default shall be punishable with up to 6 months imprisonment or with a minimum fine of Rs. 25000/- extendable to Rs. 3 Lakhs, or with both.