How to correct wrong NIC code, turnover or category (Micro/Small/Medium) in Udyam registration (2026) is one of the most searched and highest-intent MSME problems today. Many businesses complete Udyam registration quickly—but later realise the NIC code is wrong, turnover is outdated, or the MSME category (Micro/Small/Medium) is incorrect, which then creates trouble during loans, tenders, GST scrutiny, or delayed payment claims.
This detailed guide explains what can be corrected, when it can be corrected, how the Udyam update process works in 2026, and when professional help is strongly recommended.
Table of Contents
1. Why wrong NIC code or category is a serious issue
A wrong NIC code or MSME category is not just a clerical error. It can lead to:
Loan applications getting rejected
Government tenders becoming inaccessible
MSME Samadhaan / 45-day delayed payment protection being questioned
GST or bank compliance mismatches
Classification disputes during audits
Many MSMEs realise this only when benefits are denied, which is why correction becomes urgent.
2. What details can be corrected in Udyam registration (2026)?
The Udyam portal allows updates for most operational details, including:
NIC code(s) (add, remove, or change)
Investment in plant & machinery / equipment
Turnover details (auto-linked or updated)
MSME category (Micro / Small / Medium)
Address, bank details, email, mobile
Business activity (Manufacturing / Services / Trading)
However, some fields are restricted or auto-derived, which makes understanding the process important.
3. How to correct wrong NIC code in Udyam registration
Wrong NIC code is the most common correction request.
Step-by-step overview:
Login to the Udyam portal using registered mobile/email
Verify via OTP
Navigate to Update Udyam Registration
Modify NIC code section
Add the correct primary NIC code
Remove irrelevant or incorrect NIC codes
Save and submit updates
Important rules:
Maximum 10 NIC codes allowed
Primary NIC should reflect main revenue activity
Avoid adding unrelated NIC codes “just in case”
Example:
If your main income is trading, but you selected manufacturing NIC, banks may reject working capital loans.
4. How to update turnover & investment details
In 2026, turnover and investment data is increasingly system-driven.
How it works:
Data may be auto-fetched from GST and Income Tax records
If returns are not filed, provisional/self-declared data may apply
Once official data is available, category can change automatically
When you need to update manually:
Recent expansion or downsizing
Change in business scale
GST registration added after Udyam
Risk:
Incorrect turnover can push your enterprise into the wrong MSME category, impacting eligibility.
5. How to change MSME category (Micro / Small / Medium)
MSME category is determined by turnover + investment limits, not by choice.
Category change happens when:
Turnover crosses thresholds
Investment increases or reduces
Auto-linking updates government records
Key point:
You cannot manually “choose” a category. It updates based on verified data.
Why wrong category is dangerous:
Micro units claiming small-enterprise benefits may get rejected
Tenders may disqualify you
Compliance notices may follow
6. Automatic updates vs manual updates
Understanding this avoids frustration.
Automatic updates:
Turnover via GST/IT filings
Category recalculation
Some PAN-linked validations
Manual updates:
NIC codes
Address & bank details
Business activity
Contact details
This is why some users feel “the portal is not allowing changes”—it’s often data-controlled, not editable.
7. Common errors during Udyam correction
OTP not received due to inactive mobile
GST name mismatch with PAN
Selecting incorrect NIC hierarchy
Trying to downgrade category manually
Multiple correction attempts in short time
These mistakes can temporarily lock updates or delay processing.
8. When NOT to experiment on your own
You should avoid DIY corrections if:
Your Udyam is linked to a loan, tender, or Samadhaan case
PAN/GST names do not match perfectly
Multiple NIC codes are involved
Category change affects eligibility
You already tried and failed once
A wrong update can cause bigger compliance problems than the original error.
9. How Eudyamaadhar helps with Udyam corrections
Eudyamaadhar assists MSMEs with:
Correct NIC code identification
Turnover & category impact analysis
Safe update execution
Avoiding benefit disruption
End-to-end correction handling
If your Udyam certificate has a wrong NIC code, incorrect turnover, or MSME category issue—and you don’t want trial-and-error—get expert help from Eudyamaadhar.
🌐 https://eudyamaadhar.org
📞 WhatsApp / Call: +91 9241250551
10. FAQs – Udyam correction (2026)
Q1. Can I change NIC code after Udyam registration?
Yes, NIC codes can be updated through the Udyam update option.
Q2. Can I manually change my MSME category?
No. Category updates are based on turnover and investment data.
Q3. How long does a correction take?
Minor updates reflect quickly; data-linked changes may take time.
Q4. Will corrections affect existing loans or tenders?
Incorrect updates can impact them—hence caution is required.
Q5. How many times can I update Udyam details?
There is no fixed public limit, but repeated incorrect attempts are risky.
Q6. Should I correct Udyam before applying for a loan?
Absolutely. Correct details improve approval chances significantly.