Form MSME-1

Section 15 of the MSMED Act states that where the suppliers render services or supply goods to any buyer, the buyers should make payment on or before the agreed date between them and the suppliers. When there is no agreed date for payment between the MSME supplier and buyer, the buyer must make payment before the *Appointed Date.

*Appointed Date means fifteen days from the date of acceptance

Every company that has obtained services or goods from an MSME supplier and has outstanding payment for more than 45 days must disclose it to the ROC by filing the MSME-1 return.

 However, companies have to file this return only when they have payments outstanding for more than 45 days to the MSME supplier.

APPLICABILITY:

*Specified companies should file Form MSME-1 when payments are due to MSME for more than 45 days from the date of acceptance of the services or goods, along with the reason for its delay.

*Specified companies are companies-

1. That have obtained goods or services from the MSME.

2. Whose payments to the MSMEs exceed 45 days from the date of acceptance or deemed acceptance of the goods or services.

Details to be Reported in Form MSME-1

1. Name, address and e-mail of the company
2. Name of the suppliers
3. PAN of the suppliers
4. Financial year
5. Total Outstanding Amount: Companies need to mention the total outstanding amount that is due to the MSME vendor. It includes both payments made after 45 days and the amount still payable after the expiry of 45 days at the end of the half year.
6. Date from which the amount is due
7. Reason for delay in payment of the amount due

Due Date for Filing Form MSME-1

MSME-1 is a half-yearly return to be filed as mentioned below: