In exercise of the powers conferred by subsections 1 and 9 of section 7 read with sub sections

## Report on Amendment to Micro, Small and Medium Enterprises Development Act, 2006 **1. Executive Summary:** This report analyzes an amendment to a notification under the Micro, Small and Medium Enterprises Development (MSMED) Act, 2006. The core purpose of this amendment, based on the provided text, is to extend a deadline. Specifically, it substitutes "31st day of March, 2021" with "31st day of December, 2021." This extension likely impacts the ability of MSMEs to comply with some requirement outlined in the initial notification. The key finding is that the amendment provides an additional nine months for compliance with a specific provision related to paragraph 7, subparagraph 3 of the original notification. **2. Introduction:** This report aims to provide a clear and concise overview of an amendment to a notification under the Micro, Small and Medium Enterprises Development Act, 2006, based solely on the information presented in the provided text. It focuses on the nature of the change, its potential impact, and relevant implementation aspects discernible from the text. **3. Policy Overview:** * **Original Policy Being Amended:** This amendment modifies the notification S.O. 2119 (E), dated June 26th, 2020, published in the Gazette of India, Extraordinary, Part II, Section 3, subsection ii, of the Ministry of Micro, Small and Medium Enterprises. * **Core Objective(s):** The core objective of the *amendment*, as inferred from the text, is to provide an extension for compliance to MSMEs, related to figures and words, 31st day of March, 2021. The original notification's objective is not explicitly stated, but it can be assumed that notification S.O. 2119 (E) set some requirement to be met by a certain date. **4. Background and Rationale:** This amendment extends a deadline. The likely reason for this extension is that MSMEs required additional time to meet a requirement outlined in paragraph 7, subparagraph 3 of the original notification (S.O. 2119 (E)). Possible reasons could include disruptions caused by external factors, unforeseen challenges in implementation, or the need for additional clarification on the initial requirements. **5. Key Provisions / Changes:** This amendment specifically changes the deadline mentioned in paragraph 7, subparagraph 3 of the original notification S.O. 2119 (E), dated June 26th, 2020. * **Specific Part of Original Policy Changed:** Paragraph 7, subparagraph 3. * **New Rule/Provision:** The figures and words "31st day of March, 2021" are replaced with "31st day of December, 2021". * **Difference/Effect of the Change:** The effect of this change is to grant a nine-month extension, moving the deadline from March 31st, 2021, to December 31st, 2021. This provides MSMEs with additional time to fulfill the requirements outlined in the specified paragraph. **6. Target Audience and Stakeholders:** Based on the text, the primary target audience and stakeholders are Micro, Small, and Medium Enterprises (MSMEs) in India. These businesses are directly affected by the deadline extension, as it grants them more time to comply with the requirement outlined in paragraph 7, subparagraph 3 of the original notification S.O. 2119 (E). **7. Implementation Aspects (Inferred):** * **Responsible Agency/Bodies Mentioned:** The Ministry of Micro, Small and Medium Enterprises is the responsible body for issuing this amendment. D. K. Singh, Additional Secretary, is mentioned as the signatory. The "Dte. of Printing at Government of India Press" and "Controller of Publications, Delhi" are mentioned for publication and uploading. * **Timelines or Procedures:** The key timeline specified is the extended deadline: December 31st, 2021. No specific procedures for implementation are outlined in the provided text. **8. Expected Outcomes / Impact of Changes:** The likely intended outcome of this amendment is to facilitate greater compliance among MSMEs by providing them with more time to meet the requirements outlined in paragraph 7, subparagraph 3 of notification S.O. 2119 (E). This could lead to increased participation in related schemes or programs, reduced burden on MSMEs, and potentially improved overall performance of the sector. **9. Conclusion:** This amendment to the notification under the MSMED Act, 2006, represents a targeted adjustment to provide MSMEs with an extended deadline until December 31st, 2021, for a specific requirement outlined in the original notification S.O. 2119 (E). This extension likely aims to support MSMEs in meeting compliance obligations and contributing to the overall growth and development of the sector. The significance of this lies in giving the relevant entities more time to adhere to governmental expectations, possibly improving overall sector compliance.

Key Entities Referenced