MSME Classification Calculator (India)
Micro, small or medium — from investment and turnover, the way Udyam counts them.
Against the limits
“Up to” means does not exceed. The higher of the two categories counts (composite criterion, para 3 of S.O. 2119(E)).
Units added up
| Unit | Investment | Turnover | Exports | Counted turnover |
|---|
Unit 1
For general information only, not legal advice. Templates are generic starting points — have a qualified lawyer review anything you rely on.
About the MSME Classification Calculator (India)
Under section 7 of the MSMED Act, 2006 and the Udyam notification S.O. 2119(E) as amended by S.O. 1364(E), an enterprise is micro when its investment in plant and machinery or equipment does not exceed ₹2.5 crore and its turnover does not exceed ₹10 crore, small up to ₹25 crore and ₹100 crore, and medium up to ₹125 crore and ₹500 crore. Above those it is not an MSME.
Enter the investment, the turnover and the export turnover — for one unit, or for every GSTIN under the same PAN — and the calculator adds them up, leaves exports out of turnover, applies the composite criterion (crossing either ceiling moves an enterprise up) and shows the category, which figure decided it and how much room is left before the next one. Add the category you are registered in to see what a move up or down means. Nothing you enter leaves your browser.
How to use it
- Choose whether you type amounts in ₹ crore, ₹ lakh or rupees.
- Enter the investment in plant and machinery or equipment: the written-down value from the income-tax return of the previous year (for a new enterprise, the purchase value without GST).
- Enter the turnover with exports included, and the export turnover: the calculator takes the exports out.
- If the PAN has more than one GSTIN or unit, press Add a unit for each; the totals decide the category.
- Optional: choose the category you are registered in now, then read the result and Copy summary.
Examples
Investment ₹2 crore · turnover ₹14 crore, of which exports ₹5 crore
Turnover counted: ₹9 crore (within ₹10 crore) · investment within ₹2.5 crore → micro enterprise
Investment ₹3 crore · turnover ₹6 crore, no exports
Turnover says micro, investment says small → small enterprise (the higher category counts)
Pune: investment ₹1.5 crore, turnover ₹6 crore · Nashik: investment ₹1.2 crore, turnover ₹5 crore, exports ₹1 crore
Together: investment ₹2.7 crore (over ₹2.5 crore), turnover ₹10 crore → small enterprise, although each unit alone would be micro
Investment ₹2 crore · turnover ₹4 crore
Earlier limits (micro up to ₹1 crore / ₹5 crore): small · current limits: micro
Common uses
- Check which category a business falls in before filing or updating its Udyam registration.
- See how close a growing business is to the next ceiling, and which figure will push it over.
- Check whether exports or a second GSTIN change the category.
- Confirm a supplier is micro or small before relying on the delayed-payment rules — work out that interest with the MSME Delayed Payment Interest Calculator.
The limits
- Micro: investment up to ₹2.5 crore and turnover up to ₹10 crore.
- Small: investment up to ₹25 crore and turnover up to ₹100 crore.
- Medium: investment up to ₹125 crore and turnover up to ₹500 crore.
S.O. 1364(E) set these figures in paragraph 1 of S.O. 2119(E), in place of ₹1 crore / ₹5 crore, ₹10 crore / ₹50 crore and ₹50 crore / ₹250 crore; the Udyam Registration portal shows both. “Up to” means “does not exceed”: an enterprise exactly at a ceiling stays in that category. The calculator offers the earlier limits too, for checking a past year.
The composite criterion and PAN-wide totals (para 3)
- An enterprise that crosses the ceiling of its category in either investment or turnover moves to the next higher category; it moves down only when it is below the ceilings in both. In practice the higher of the two categories counts.
- All units with a GSTIN listed against the same PAN are one enterprise: their investment and turnover are added up and only the totals count.
What counts as investment and turnover (paras 4 and 5)
- Investment in plant and machinery or equipment is linked to the income-tax returns of the previous years. It means plant and machinery as in the Income-tax Rules and includes all tangible assets other than land and building, furniture and fittings. A new enterprise without a return uses the purchase (invoice) value without GST, on its own declaration. The cost of the items listed in Explanation I to section 7(1) of the Act is left out.
- Turnover excludes exports of goods or services, and is linked to the income-tax return or the GST returns and GSTIN.
Moving up or down (para 8)
- Up: an enterprise re-classified upwards — micro to small, small to medium — keeps all the non-tax benefits of its earlier category for three years from the date of the upward change (para 8(5), as substituted by S.O. 4926(E)). The notification is written for a move between the three categories; what it means for an enterprise that grows past the medium ceilings is a question for the Udyam portal.
- Down: it stays in its present category until the end of the financial year and gets the lower category from 1 April of the next financial year (para 8(6)).
- The Udyam portal updates the category from the ITR and GST data of the previous financial year, and the enterprise is told of any change.
Limitations
- The category on your Udyam certificate is the one that counts: the portal takes the figures from the income-tax and GST records, which this calculator cannot see.
- It does not work out written-down values or the items that section 7 excludes from investment: enter the investment as it will be reported.
- Schemes, loans and tenders can set conditions of their own beyond the category: check the conditions of the benefit you want.
Privacy
Everything is worked out in your browser. The amounts and unit names you enter are never uploaded.
Frequently asked questions
What is the turnover limit for a micro enterprise?
₹10 crore, with an investment in plant and machinery or equipment of up to ₹2.5 crore. Both have to be within the limits; exports are not counted in the turnover.
Are exports counted in MSME turnover?
No. Paragraph 5(1) of S.O. 2119(E) leaves exports of goods or services out of the turnover used for classification, so an exporter can have a much larger total turnover and still be micro or small.
If my turnover is micro but my investment is small, what am I?
Small. The composite criterion moves an enterprise up when it crosses the ceiling in either figure, so the higher of the two categories counts.
I have several GSTINs. Is each one classified separately?
No. Every GSTIN listed against the same PAN is treated as one enterprise, and the investment and turnover of all of them are added up (para 3(3)). Add each one as a unit here.
Do I lose my MSME benefits as soon as I grow past a limit?
No. After an upward change, an enterprise keeps the non-tax benefits of its earlier category for three years from the date of the change (S.O. 4926(E)). A move down takes effect from 1 April of the next financial year.
Is land or a building counted as investment?
No. Investment in plant and machinery or equipment covers tangible assets other than land and building and furniture and fittings (para 4(3)).