Unlock the Potential of Your Business with Udyam Registration Portal

Udyam registration portal streamlines the  business registration process in India by providing an easy and user-friendly platform. In this blog, we will discuss how the Udyam Registration Portal simplifies the  business registration process.  

After receiving the recommendation of the MSME Registration Advisory Committee Udyam, the central government proposed: 

The Government has set out specific criteria for classifying  enterprises into micro, small and medium enterprises.

Also be informed of the form and process for the submission of  the memorandum (Udyam Registration), w.e.f Jul 1, 2020 

GST ID number not required for Udyam registration Portal

 Modi government has taken another step towards simplified  and paperless process as well as time saving mechanism. Now, for Micro, Small and Medium Enterprises (MSMEs), there is no longer a requirement for a Unique Goods and Services Tax Identification Number (GSTIN) during the “Udyam registration” process. 

The Ministry of MSMEs issued a notice on May 3, 2021 to remove the mandatory requirement of filing a Udyam application along with the requirement to file a GST return.”The exemption from the GSTIN requirement would be in line with the provisions of the Central Goods and Services Tax Act, 2017 (December 2017).” Now owners can only use their PAN for business registration.  “In case a sole proprietorship is not registered under any central or state government laws or regulations, the owner can use his or her PAN to register the business on the portal. registration information for  Udyam  and for all other types of  PAN companies will be mandatory”, 

 According to the announcement issued by the Modi government on June 26. Register for Udyam, since 01.01.April 2021. However,  the central government received a large number of representatives from various MSME associations. 

 The aforementioned association has told the central government that “mandatory GSTIN” affects the registration process. The reason is that many businesses have been exempted from declaring GST according to the above notice.This phenomenon may be due to the existence of a large number of MSMEs whose annual turnover is below the  limit exempted from registration under the GST Act. After that, the matter was considered by the central government, and  the central government issued the aforementioned notice to ease it. 

 Furthermore, this relaxation will continue to support various micro-enterprises (including artisans and skilled craftsmen and other informal/unorganized sector businesses) to register quick and easy. Business owners can only use their PAN to register their business on the Udyam registration portal. 

Show key components before applying for UDYAM and MSME  

There will be no minimum fee to apply for  Udyam  and  Aadhar number is required when applying for Udyam

• The Aadhar number would be of the owner in the case of ownership organization, of the managing partner in the term of a partnership industry. And of a Karta in the case of a Hindu entire family ( HUF) 
•  In the case of the firm or a Limited Partnership or a Cooperative Society or a Society or a trust, the entities or its legal signatory would offer ist GSTIN and PAN and Aadhar number 
•  If an organization is correctly registered as a Udyam with PAN, any lack of information for back years when PAN was not would be filled up on an auto- disclosure basis 
•  There would be no company that can file more than one Udyam Registration: issued that any number of activities that involve manufacturing or service or both may be defined or included in one Udyam Registration 
•  Whoever holding EM -II or UAM registration or any other registration provided by any authority within the Ministry of MSME. They have to re-register 
•  Those who purposely misrepresent or try to suppress the auto-disclosed facts and figures showing in the Udyam Registration or enhanced the procedure would be responsible for such punishment as mentioned under clause 27 of the Act 
•  In terms of PAN and GST attached are details on investment and turnover of industries that will be bought automatically from the database of the Government 

 Significant Documents About MSME Udyam Registration Portal

•  PAN card number 
•  Aadhar card number 
•  Bank account number 
•  Business address 
•  The basic business activity 
•  Investment information ( plant / equipment information) 
•  NIC 2 digit code 
•  Turnover information ( as per new MSME definition) 
•  Sales and buy bill duplicates 
•  Partnership deed 
•  Copies of license and bills of purchases machinery 

 ( Documents and Information checklist related to MSME / UDYAN registration is linked herewith for your references.) 

Simple Steps for MSME and UDYAM Registration Portal

 Here are the following steps to follow for the Registration process for MSME : 

 Step -1: Fill in the MSME Udyam registration Portal form online with detailed information via visiting the official website 

 Step – 2: Later complying with the application form along with documents, the applicant would be a registration number 

 Step – 3: Later on, the administration would register the applicant’s business as MSME under 1- 2 working days 

 Step – 4: MSME registration certificate would be reached instantly and hassle-free for businesses to get a registered email – addresses 

The procedure of MSME registration is instant and undisturbed for businesses to get registered as MSME within the Ministry of MSME. 

Prime Advantages of MSME Udyam Registration for Business in India 

•  Tax refund availability 
•  Businesses can aid cheaper bank loans with fewer interest rates ( approx 1 to 1.5%) compared to ordinary loans. 
•  Main public tenders aimed in particular at MSMEs. 
•  Far from the usual alternative minimum tax period (MAT) of 10 years per credit, MSMEs have the option to extend this limit to 15 years per credit against the MAT.
• Increased government preference for licenses and certifications. 
•  Easy availability of  credit – low  cost to industry – support, patents and therefore not due to certain tax credits and other benefits. 
•  For unpaid taxes there would only be one offset option. 

 Udyam MSME registration process 

•  Provision of Update Udyam Registration Certificate online 
•  Based on a self-declaration. 
•  It is not necessary to send in certificates, certificates, papers and evidence.
•  Upon successful registration, you will be assigned a Udyam Registration Number (URN). 
•  Udyam Registration Certificate (Electronic Certificate) will be provided upon completion. 
•  Complex criteria for classifying investments and revenues 

 Move from one category to another: 

•  Is reclassified to the higher category if the company exceeds the upper limit of its current category in the investment criteria or DAS. 
•  Will be downgraded if the entity has not met the limits set in its existing category in both the Investment and CA categories. 

 Factory & Machinery: 

 Includes all tangible assets 

•  Excludes 
•  Land & Buildings 
•  Furniture & Appliance 
•  purchase value  P & M: 
•  First  or second hand 
•  Without GST 

 Disclosure basis – if the business is NEW 

 Turnover calculation 

 Excluded: 

•  Export of goods/services 
•   T/o & Export T/o according to IRPEF / CGST and GSTIN regulations) 
•  Turnover due to self-declaration at “NO PAN” 
•  Until 03/31/2021 
•  Thereafter PAN & GST Mandatory 

 Udyam Registration Process: 

•  For successful registration, fill out the free 
•  application on the Udyam registration portal.
•   Aadhar Mandatory: 
•  Owner 
•  Partnership – Managing Partner 
•  HUF Card 
•  Company/LLP/Cooperative/Corporate/Trust – General Manager & GST & Organizational PAN  

 A single application where all manufacturing activities and even services are covered  

Summary 

Udyam Registration Portal has revolutionized the process of company registration in India by providing a simple and streamlined platform. This eliminates the need for physical documentation and allows companies to easily register  online. Udyam’s registration portal also offers a number of benefits, including access to government programs and grants, loans to priority industries, and various tax credits. The user-friendly interface and efficient processes make it easy for businesses to navigate through the registration process, thereby contributing to the growth of the Indian economy. Overall, Udyam’s registration portal is an essential tool for small and medium sized businesses in India, streamlining the registration process and opening  opportunities for growth and development.

Also Read: 10 Benefits of MSME Udyam Registration for Small Business Owners