Companies (furnishing of information about payment to micro and small enterprise suppliers ) Order 2019
March 1, 2019
Members of the Council,
Sub : Companies (furnishing of information about payment to micro and small enterprise suppliers ) Order 2019
The Ministry of Corporate Affairs has issued a Notification dated 22.1.2019 (copy enclosed) on the above subject, stating the following.
– 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 pr the provisions of section 9 of the Micro, Small and Medium Enterprises Development Act, 2006 (27 of 2006) shall submit a half yearly return to the Ministry of Corporate Affairs stating the following.
- the amount of payment due; and
- the reasons of the delay
– The returns shall be filed in MSME form-1 enclosed herewith. (The returns are to be filed electronically in website of Ministry of Corporate Affairs)
– Every specified company shall file in MSME Form1, details of all outstanding dues to Micro or Small enterprises suppliers existing on the date of notification of the order ( i.e. 22.1.2019) within 30 days from the date of issue of the Notification.
– Every specified company shall file a return as per MSME Form 1 annexed to this order, by 31st October for the period from April to September and by 30th April for the period from October to March
The Ministry of Corporate Affairs has subsequently issued a General Circular No. 1/2019 dated 21.2.2019 (copy enclosed) stating the following.
Pending the deployment of MSME Form I on MCA 21 portal and in order to avoid inconvenience to stakeholders on account of various factors, it is stated the period of thirty days for filing initial return in MSME Form 1 as specified in Specified Companies (Furnishing of information about payment to micro and small enterprise suppliers) Order, 2019 dated 22.01.2019 shall be reckoned from the date the said e-form is deployed on MCA 21 portaL
Members may please note the above.
Thanks and regards