FinanceMSME Udyam Certificate Cancelled by District Industries Centre or MSME-DFO

MSME Udyam Certificate Cancelled by District Industries Centre or MSME-DFO

MSME (Micro, Small and Medium Enterprises) Udyam Certification, also known as Udyam Aadhaar or simply MSME Certificate, is issued by the Ministry of Micro, Small and Medium Enterprises. MSME Certification and registration are available for all types of entities, including but not limited to an individual, proprietorship, one-person company (OPC), Limited Liability Partnership (LLP), and limited, which does not exceed the specified annual turnover. MSME comes with lots of benefits, but in this post, we have something important to inform and alert MSME Certificate holders.

At the time of applying for MSME Certificate you need only two documents which include-

  1. PAN Card details.
  2. Aadhaar (linked with active mobile number).

Whereas GST Certificate is optional and is not required at the time of registration. Most people who wish to start a proprietorship business or want to apply for GST certificate and need brand name evidence can use MSME Certificate as proof of brand name while applying for GST registration. Once your GST number gets allotted within 15 days of the date of requesting for GST certificate, you have to update your MSME Udyam Profile.

As per the MSME guidelines from 1st April 2021[1], you have to submit GST number, although at the time of applying for MSME certification you can opt out, but it becomes mandatory to provide and update your MSME profile/certificate with the allotted GST number; otherwise, your MSME Udyam Certificate will be cancelled and you will get an error similar to – “The mentioned Udyam Registration Number has been cancelled by Districts Industries Centre or MSME-DFO.”

So, what you should do?

Once your GST number is allotted you should instantly login into MSME website and update your GST details to avoid cancellation of your MSME Udyam Certificate.

Can I reapply for MSME Udyam Certificate?

Yes, in the case of cancellation of your MSME Udyam Certificate due to non-compliance or failure to submit GST details on time as per the guidelines issued by MSME in March 2021, that from 1st April 2021 onwards it is mandatory to update your MSME Udyam profile with the assigned GST number.

Can I use the assigned GST or MSME for selling on e-commerce websites like Amazon or Flipkart?

Yes, it is common that the majority of individuals does not hold proof of trade name or business name whereas MSME Certificate plays an important role in getting a trade name which can be used in GST certificate registration.

Can I update or change trade name on GST certificate and MSME Certificate?

Yes, there is no as such guidelines which prohibit from updating or changing the trade name on your GST Certificate or MSME Certificate until and unless you are adhering the Trade Mark Act 1999[2] and not violating the rights of brands classified as the “well-known trade name” or “well-known trade mark”. It is your responsibility to check that at the time of applying for trade name you should check that no other trade mark or trade name is used by any other entities whether they are registered in India or not.

What is well-known trade marks?

As per the Trade Mark Act 1999, the entities which does not have any presence in India (foreign companies) but are globally recognized are termed as the “well-known trade marks”.[3]

References

  • Ministry of Micro, Small and Medium Enterprises, ‘Circulars’ https://msme.gov.in/circulars accessed 12 March 2025.
  • Trade Mark Act 1999.
  • Trade Marks Act 1999, s 2(aa).

IR Digital Media Team
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