SSI/MSME/ Udyam registration

Mandatory leeway of Contamination Control Board important for the accompanying substances goes under register as MSME/SSI:

Animal and plant farms and processing utilized in various industries such as tanneries, sago, starch, fertilizers, refineries, paper and pulp, textile processing, synthetic fiber units, chemical industries, dyeing and bleaching, aromatic chemicals, asbestos industries, pesticides, solvents, petrol refineries, petrochemical industries, refractories, heat treatment, nuclear energy plants, pharmaceuticals, cement, foundries, electroplating, photographic film manufacturing, paints, and dyes.

Endowment FOR SSI/MSME:

Manufacturing sectors registered under MSME can benefit from capital support based on the enterprise's location and investment size in a specific business area. However, there are certain restrictions and cancellations of subsidies that apply to specific entities without considering their investment and location.

Substitute in EM Part - II of MSME/SSI:

If there are any alterations in the capital investment, it should be communicated to the District Industries Center by submitting an EM Part-II form within three months of the capital change, irrespective of previous EM Part-II registrations.

Similarly, any modifications in services, products, or workforce expansion should be notified in writing to the District Industries Center within three months of the changes, even if an Entrepreneur Memorandum was previously filed.

The Area Movement Which Not Qualified for MSME/SSI:

Industries engaged in hazardous and sensitive processing include aluminium refining, sound tape recording, azo/reactive dyes, tobacco-related products like beedies/cigarettes/cigars/gutka, cadmium cyanide, calcium carbide, corrosive soda, cement, clock and watch repair shops, coffee roasting and grinding, dye processing units, rural bricks, cyanide refineries, breweries, fertilizer production, fireworks, fluro carbon gas, hotels, ice candy manufacturing, ozone-depleting substance usage, iron and steel purification, kandasari units, tailoring, mining, nylon fiber, photocopying, photo studios, polyester fiber, popcorn, potassium cyanide/chloride/gold cyanide, poultry, power laundries, rayon fiber, repacking of drugs/chemicals without processing, sawmills, slaughterhouses, sodium cyanide, spinning, sugar, textiles, units utilizing molasses/denatured spirit for edible alcohol production, video tape recording, weaving, zinc cyanide.

Benefits

• Bank loans without collateral
• Qualification for Modernization Support
• Protection from delayed payments
• Discounts on electricity bills
• Exemption from Direct Tax Laws
• Excise Duty Exemption
• Scheme 50% subsidy for Patent registration
• 1% interest rate reduction on overdrafts

Documents required:

• Businessperson's Aadhar number
• Industry name Plant
• address Bank account details: account number and IFSC code PAN number Mobile number Email address

Udyam registration:

• An MSME/SSI unit's classification as a micro, small, or medium enterprise is based on the following criteria:
• A venture with investments in plant/machinery not exceeding one crore rupees and turnover not exceeding five crore rupees falls under the Micro category.
• An enterprise with investments not exceeding Ten crore rupees and turnover not surpassing Fifty crore rupees falls under the Small category.
• An enterprise with investments not exceeding fifty crore rupees and turnover not surpassing Two Fifty crore rupees falls under the Medium category.
• Individuals aspiring to establish a micro, small, or medium enterprise can register online on the Udyam portal through self-declaration.
• No document uploads are necessary during the registration process.
• Post-registration, the entity will receive a permanent Udyam Registration Number.
• An online certificate, "Udyam Registration Declaration," will be issued upon completion.
• Registration is facilitated through www.udyamregistration.in and is free of charge for MSME/SSI.
• Aadhar serves as the primary document for Udyam registration.
• For proprietorships, the owner's Aadhar is required; for partnerships, the Managing Partner's Aadhar is mandatory.
• Private limited companies, One Person Companies, Public limited companies, Section 8 companies, Societies, or Trusts require the Aadhar of the Authorized Signatory, along with copies of GST certification and PAN.
• Concerns or ventures registered under MSME based on PAN can self-disclose any prior year's information if there's a lack of data.
• Registering multiple Udyam IDs for a single enterprise is prohibited; all activities, whether manufacturing or services, should be listed in a single registration.
• Misrepresentation in the Udyam registration, if identified later, is subject to penalties under Section 27 of the act.

How to compute interest in plant and hardware under Udyam registration?

• The valuation of investments in machinery and equipment for a business is directly linked to the Income Tax return filed in previous years.
• For a new venture without prior tax filings, the entity's promoter can self-declare until the new entity submits its Income Tax Return, ending after the 31st March of the fiscal year.
• The term "plant and machinery or equipment" aligns with the definition in the Income Tax Rules under the Income Tax Act, 1961, covering all assets excluding land, buildings, furniture, and fittings.
• The purchase value of machinery or equipment, whether new or second-hand, will be considered excluding GST on a self-disclosure basis.

How to ascertain Turnover of a Ventures under Udyam registration?

• The calculation of turnover for a micro, small, or medium enterprise will exclude the exports of goods or services.
• Details regarding turnover and export turnover will align with the Income Tax, CGST Act, and GST regulations.
• Enterprises without a PAN will have their turnover figures considered on a self-declaration basis until March 31, 2021, after which PAN and GSTIN become mandatory.

Documents needed for Companies:

• List of Directors including their complete addresses and contact information.
• Address verification documents for Directors.
• Certificates validating Incorporation, Memorandum, and Articles of Association.
• Letter of Authorization specifying the individual's name and address submitting the application on behalf of the company.

Re-registration Of Existing MSME

The existing MSME/SSI entities registered under Udyog Aadhar before June 30th, 2020, will remain valid only until March 31st, 2021. These entities registered before June 30th can transition to the Udyam registration portal from July 1st, 2020.

Under the new directive, businesses registered before June 30th, 2020, must comply. All MSMEs registered under Udyog Aadhar or EM Part I or Part II must compulsorily register under Udyam registration by March 31st, 2021.