Applicable to whom:
All companies who get supplies of goods and services from the micro and small enterprises and payment to such vendors exceed 45 days.
What to file:
Need to file a one time return in Form MSME – 1 by 21st Feb 2019 followed by half yearly returns
What to report in Form:
Need to give the details of such identified vendors, amount of payment outstanding exceeding 45 days, reason of delay in payment
Consequences of wrong or delay or non-filing:
Penalty on company Rs 25,000
Every officer in default – Minimum fine Rs. 25,000 which may extend to Rs. 300,000 or Imprisonment which may extended to 6 months or both
Latest update dated 21.02.2019:
MCA General Circular 1/2019, Extension for last date of filing initial return in MSME Form I. The period of 30 days for filing initial return in MSME Form I shall start from the date the said e-form is deployed on MCA 21 portal. Form is still to be released.