MSME

No change in MSMEs classification in case of change in investment in plant or turnover etc.

No change in MSMEs classification for three years  in case of change in investment in plant & machinery or turnover etc.

Ministry of Micro Small and medium Enterprises have issued a notification relaxing the provisions for classification of MSMEs in case of change in terms of investment in plant and machinery or equipment or turnover etc.

It has been provided that in case of an upward change in terms of investment in plant and machinery or equipment or turnover or both, and consequent re-classification, an enterprise shall continue to avail of all non-tax benefits of the category (micro or small or medium) it was in before the re-classification, for a period of three years from the date of such upward change.

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