Breather for MSMEs

Ten days short of a year since the notification of June 26, 2020 (“Notification”) which inter alia re-classified MSMEs, the Ministry of Micro, Small and Medium enterprises issued a Gazette Notification S.O. 2347(E) dated June 16, 2021 on June 16, 2021 (“Amending Notification”) extended the validity of existing registrations for existing MSME’s which had registered prior to June 30, 2021 (whether under EM-Part II or UAM).

The Notification had required existing MSME’s to re-register on the Udyam Registration portal on or after July 1, 2020, as the validity of previous registration was valid only till March 31, 2021. Hence, if your enterprise is not re-registered as per the Amending Notification yet, then your available time has been pushed by 9 months.

The Notification among others had also superseded the notification issued earlier that month defining MSMEs. Presently, the definition is as follows:

The author is Karann Damani, a law graduate from School of Law, CHRIST, Bengaluru, and an associate with HS Law & Associates.