Finance Act 2023 Compliance
Section 43B(h) MSME Payment & Tax Calculator
Check 15-day and 45-day vendor payment statutory due dates, tax expense disallowances, and Section 16 compound interest liability under the MSMED Act.
Statutory limit: Up to 45 days as agreed in writing.
Payment not cleared within the statutory 45-day window before March 31. This ₹2,50,000 will be added back to taxable income!
*Note: Interest paid under Section 16 MSMED Act is completely non-deductible under Section 23 MSMED Act.
VoyceBook automatically monitors vendor Udyam numbers and tracks 15/45-day payment countdowns in your accounts payable.
Automate MSME 43B(h) in VoyceBookKey Rules Under Section 43B(h) of the Income Tax Act
15 Days: If there is no written agreement with the vendor.
Max 45 Days: If there is a written agreement specifying credit terms (any term exceeding 45 days is void under Section 15 MSMED Act).
Unlike bonus, commission, or interest under Section 43B, payment before filing the ITR (due date under Section 139(1)) does not rescue the deduction if unpaid before March 31.
MSME Classification Thresholds (Udyam Registration)
| Category | Investment in Plant & Machinery | Annual Turnover | 43B(h) Status |
|---|---|---|---|
| Micro Enterprise | Does not exceed ₹1 Crore | Does not exceed ₹5 Crore | Applicable |
| Small Enterprise | Does not exceed ₹10 Crore | Does not exceed ₹50 Crore | Applicable |
| Medium Enterprise | Does not exceed ₹50 Crore | Does not exceed ₹250 Crore | Exempt |
Automate MSME vendor aging & compliance in VoyceBook
Auto-sync vendor Udyam numbers, track Day 15 and Day 45 deadlines on your dashboard, and generate audit-ready aging reports for your CAs.