The Central Government on Friday notified new norms to allow online registration of new enterprises based on self-declaration, doing away the requirement to upload documents and certificates, from July 1, 2020.
From 1 July 2020, there is no requirement to upload documents and certificates for Udyam Registration. People can now Register New Enterprise Online with Aadhar Number and Self Declaration.
As per officials, the norm could be allowed as the Udyam registration process is well-integrated with the income tax and GST. Additionally, the details fed in can be checked upon using PAN and GSTIN details.
“An enterprise can be registered just on the basis of Aadhaar number. Other details can be given on self-declaration basis without any requirement of uploading or submitting any paper – thus it is a paperless exercise in true sense,” an official statement said.
The notification also says that hereafter, an MSME will be known as Udyam, as this is more closer to the word enterprise. Accordingly, the registration process will be known Udyam Registration.
“The process of registration can be done online through the portal which will be made known to the public before 1 July 2020, the date from which this new arrangement is going to be effective,” the statement said.
As declared earlier, investment in ‘Plant and Machinery or Equipment’ and ‘Turnover’ are the basic criteria for classification of MSMEs now. The notification also clarifies that exports of goods or services or both shall be excluded while calculating the turnover of any enterprise whether micro, small or medium.