The Central Board of Direct Taxes (CBDT) and the Ministry of Micro, Small and Medium Enterprises have signed a memorandum of understanding on 20th July,2020 regarding sharing of data by the CBDT with the MSME Ministry.
Regarding the MoU, it is aimed at facilitating seamless sharing of certain income tax-related information by the Income Tax Department to the Ministry of MSME. This information will then enable the MSME Ministry to check and classify the enterprises in Micro, Small and Medium(MSME) categories as per the criteria notified by the government.
This agreement comes into force from the date of its signing. Under the terms and conditions of this agreement, both the organizations will appoint Nodal Officer and Alternate Nodal Officers to facilitate the process of exchange of data between the two agencies. It is the beginning of a new era in the relationship of the CBDT and the MSME Ministry, Government of India.