Income tax

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silky jain (Querist)
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05 May 2009 hi,

Plz advise me if i want to start my own BPO cum call center i should go for pvt ltd company or partnership firm .wat would be beneficial for me.& if I form partnership firm can I designate one of partner as MD or CEO.

help me its urgent

dipti

dipti (Querist)
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05 May 2009 Can you explain if karta of HUF expired what to do for Multiple HUF?

What is the process for the same?

BISHNU DEO SHARMA

BISHNU DEO SHARMA (Querist)
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05 May 2009 DEAR ALL,

What is the definition of Large, Medium and Small scale industries and on what basis we have declared any industries as a large/medium/small industries, if investment what is the limit of investment for all.

Pls. guide me and if possible provide link of related department.

Regards
Bishnu Deo Sharma.

Ca Anand Dubey

Ca Anand Dubey (Expert)
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05 May 2009 1. The decision depends on various aspects.
2. You cant write MD, but you can use CEO

BISHNU DEO SHARMA

BISHNU DEO SHARMA (Querist)
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Aashok Kumar Sharma online

Aashok Kumar Sharma online

(Expert)
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31 July 2024 The classification of industries into large, medium, and small scale in India is primarily based on the amount of investment in plant and machinery or equipment. These classifications help in determining eligibility for various government schemes, subsidies, and incentives. The definitions and investment limits are prescribed by the Ministry of Micro, Small and Medium Enterprises (MSME) under the MSME Development Act, 2006.

### Classification of Industries

#### 1. **Micro Enterprises**
- **Manufacturing Sector**: Investment in plant and machinery does not exceed Rs. 1 crore and turnover does not exceed Rs. 5 crore.
- **Service Sector**: Investment in equipment does not exceed Rs. 1 crore and turnover does not exceed Rs. 5 crore.

#### 2. **Small Enterprises**
- **Manufacturing Sector**: Investment in plant and machinery more than Rs. 1 crore but does not exceed Rs. 10 crore and turnover does not exceed Rs. 50 crore.
- **Service Sector**: Investment in equipment more than Rs. 1 crore but does not exceed Rs. 10 crore and turnover does not exceed Rs. 50 crore.

#### 3. **Medium Enterprises**
- **Manufacturing Sector**: Investment in plant and machinery more than Rs. 10 crore but does not exceed Rs. 50 crore and turnover does not exceed Rs. 250 crore.
- **Service Sector**: Investment in equipment more than Rs. 10 crore but does not exceed Rs. 50 crore and turnover does not exceed Rs. 250 crore.

#### 4. **Large Enterprises**
- **Definition**: Enterprises that exceed the investment and turnover limits set for medium enterprises are generally considered large enterprises.
- **Investment and Turnover**: Investments in plant and machinery or equipment exceed Rs. 50 crore and turnover exceeds Rs. 250 crore.

### Basis of Classification

The basis for classifying an enterprise into micro, small, medium, or large categories involves:
1. **Investment in Plant and Machinery (for Manufacturing)**: The total value of investment in plant and machinery.
2. **Investment in Equipment (for Services)**: The total value of investment in equipment.
3. **Turnover**: The annual turnover of the enterprise.

These limits are part of the revised definition effective from July 1, 2020, which aimed to harmonize the criteria for investment and turnover across sectors.

### References and Links

For more detailed and updated information, you can refer to the official website of the Ministry of Micro, Small and Medium Enterprises (MSME):

- [MSME Definition and Classification](https://msme.gov.in/know-about-msme)
- [MSME Development Act, 2006](https://msme.gov.in/sites/default/files/MSMED2006.pdf)
- [Udyam Registration Portal](https://udyamregistration.gov.in/)

These resources provide comprehensive information about the criteria for classification, benefits, and the registration process for MSMEs in India.

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