Ministry of Corporate Affairs (MCA) has made amendments under Schedule III of
the Companies Act, 2013 and read with notification S.O. 368(E) dated 22nd
January, 2019 and introduced Companies (Furnishing of information about payment
to micro and small enterprise suppliers) Order 2019 thereby notified filing
of Form MSME-1.
Under Form MSME -1 The companies are required to make certain disclosures
pertaining to the vendors registered under the Micro, Small and Medium
Enterprises Development Act, 2006 (MSMED Act, 2006)
Imp. Q. Can we file MSME forms pursuant to CFSS Scheme?
Ans. No, There is no fees that is to be paid while filing the MSME form and The
CFSS grants immunity from any additional fees, penalty and prosecution.
Form MSME-1 is also not included in the list of forms available under CFSS
FAQ’s ON MCA E-Form MSME-1
||What are the Provisions applicable to MSME-1
||Order 2 and 3 dated 22 January, 2019 issued
under Section 405 of the Companies Act, 2013
||What is the Objective of MSME-1 Form ?
||furnishing half yearly return with the
registrar in respect of outstanding payments to Micro or Small
||Nil Return (no outstanding amounts) is
required to be filed?
||What is Return Type?
||Half Yearly Return (the form was introduced
with two types of returns – Initial and Half Yearly Return.)
||What is the Due Date to file MSME-1 Form?
||a) For Half year period April to September -
b) For half year period October to March – 30th April
||Who is required to file MSME- 1 Form?
||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
||Whose details are required to be reported ?
||Whose payments exceed 45 days from the date
of acceptance or the date of deemed acceptance of the goods or services
as per provisions of Section 9 of the Micro Small and Medium enterprises
Development Act, 2006 (MSMED Act)
||If agreement terms for payment is 28 days,
and payment is made after 28 days?
||it is termed as delayed payment and should be
reported under MSME-1 Form.
||If agreement is made to make payment within
60 days between the parties but as on date of filing return the amount
is outstanding for more than 45 days but less than 50 days. Whether
reporting is required or not?
||In this case, Reporting has to be made as per
the rules made thereby and shall be given if the amount is outstanding
for more than 45 days.
||In case, if there is no agreement?
||45 days criteria will be applicable when
there is no agreement or agreement for 45 days.
||If any Supplier is not registered under MSMED
Act, 2006 and at the time of Filing return he got status of Micro or
||Reporting should be required to be made for
||How many Entries we can made for vendors in a
||If as on 31.03.2020
No outstanding payment to MSME vendor, But there was delay in payment of
some MSME vendor more than 45 days which has been paid on or before
Whether Company needs to give details of such invoices in the form?
|Companies have to give details of outstanding
payment to MSME vendor only on due date i.e. 31.03.2020
Payment has already been made to vendors before 31.03.2020, then company
is not required to give details of such transaction in MSME-1.
||If entries are more than 99 then what?
||Multiple forms can be filed, if entries are
more than 99.
||If Company is under IBC Process – Who is
required to file?
||Duty of Resolution Professional is to file it
||Exemption to file MSME-1 Form?
||Medium Enterprises are not require to file.
||Is their any additional fee (late fee) for
delay filing of MSME Form?
||Is their any statutory filing fee for the
filing of MSME Form
||No Additional Fee
||Processing Type of this E-form
||The form will be processed in STP mode.
||What is the Penalty for Non-Filing of Form MSME-1?
||Non-compliance will lead to punishment and penalty under
the provision of the Companies Act. As per Penalty Provision of Section
405 (4) of the Companies Act, 2013
In No Event The Author Shall Be Liable For Any Direct, Indirect, Special Or
Incidental Damage Resulting From Or Arising Out Of Or In Connection With The Use
Of This Information. This Has Been Shared For Knowledge Purposes Only.
Written By: CS Lalit Rajput - Partner, Xcede Consultech LLP
Email id: [email protected] / +91-8802581290