Budget 2024 skips review of the 45-day payment rule for MSMEs - MMJC

Union Budget 2024: Even as the Union Budget 2024-25 announced a slew of measures aimed at boosting micro, small and medium enterprises, it gave a miss to an expected review of the new rule that mandates payments to these businesses within 45 days of receiving the good or service.

“It is a welcome move for protecting micro, small and medium enterprises. But those companies who have MSME suppliers also need to be incentivised so that this framework of micro, small and medium enterprises takes care of everyone. This is in addition to incentive provided by income tax disallowing deduction if payment to micro and small enterprise is outstanding beyond 45 days,” Makarand M Joshi, Founder Partner, MMJC and Associates had said at the time.

The Views shared by our Partner Mr. Makarand Joshi are captured in business today and can be accessed at the following link:

https://www.businesstoday.in/union-budget/story/budget-2024-skips-review-of-the-45-day-payment-rule-for-msmes-438388-2024-07-23