The Ministry of Corporate Affairs (MCA) has announced the introduction of a revised MSME-1 Form on the MCA V3 platform, necessitating all companies to disclose detailed information regarding outstanding payments to Micro, Small, and Medium Enterprises (MSMEs).
The new form, as per the amendment order published in the Gazette of India, requires companies to provide comprehensive details of their financial transactions with MSME suppliers. This includes payments made within and beyond a 45-day period and outstanding amounts, along with reasons for any delays.
Key Requirements of the New MSME-1 Form:
Particulars of MSE Supplier(s): Companies must list the names of their MSME suppliers.
Amount Paid within 45 Days: Details of payments made to MSME suppliers within the stipulated 45-day period.
Amount Paid after 45 Days: Information on payments made to MSME suppliers after the 45-day deadline.
Outstanding Amounts: Companies must report amounts outstanding for 45 days or less and those outstanding for more than 45 days.
Reasons for Delay: Companies are required to provide reasons for any delays in payment or outstanding amounts.
This amendment comes into force immediately following its publication in the Official Gazette. It is an effort by the Ministry of Corporate Affairs to ensure greater transparency and accountability in financial dealings with MSMEs, thereby supporting the timely payment to these enterprises.
Companies are reminded of the legal obligation to submit accurate and complete information as per section 405 of the Companies Act, 2013. Non-compliance may result in penalties under the Act.