The Ministry of Micro, Small, and Medium Enterprises has issued a notification directing all companies procuring goods or services from micro and small enterprises (“MSEs”) to submit a half-yearly return to the Ministry of Corporate Affairs (“MCA”) if their payments to MSE suppliers exceed 45 days from the date of acceptance or deemed acceptance of goods or services, as per the Micro, Small, and Medium Enterprises Development Act, 2006.
The half-yearly return must include:
- The amount of payments due to MSE suppliers.
- The reasons for the delay in payment.
Source: Ministry of Micro, Small, and Medium Enterprises
