Section 8(2) to (5) of the MSMED Act, 2006: Authority, form and procedure for the memorandum

Section 8 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.

Section 8(1) says who files a memorandum; sub-sections (2) to (5) say how. They do not set out a form or name an office. They hand those tasks to the Central Government and the State Governments and then bind the filing authorities to one central procedure. Read with the notification S.O. 2119(E), they explain why Udyam Registration looks the way it does.

Sub-section (2): the form of the memorandum, the filing procedure and incidental matters are whatever the Central Government notifies after obtaining the recommendations of the Advisory Committee. Sub-section (3): the Centre specifies, by notification, the authority for medium enterprises. Sub-section (4): each State Government specifies, by notification, the authority for micro and small enterprises. Sub-section (5): both sets of authorities must follow the procedure notified by the Centre under sub-section (2).

The four sub-sections at a glance

Sub-section (2): form and procedure come from the Centre

The Act itself prescribes no form. It leaves "the form of the memorandum, the procedure of its filing and other matters incidental thereto" to be "such as may be notified by the Central Government after obtaining the recommendations of the Advisory Committee in this behalf".

The Advisory Committee is the body constituted under section 7(2) and described in our note on the Advisory Committee. Two points follow. First, the Centre cannot notify the form and procedure without the Committee's recommendation; the Act makes that a step. Second, because the form and procedure sit in a notification, they can change without amending the Act.

If you want to see how this looks in practice, our MSME Udyam registration page walks through the current filing.

Sub-section (3): the medium enterprise authority

Sub-section (3) says the authority with which a medium enterprise files "shall be such as may be specified, by notification, by the Central Government". The Act does not say which office that is, and this article does not name one. Check the notification in force.

Sub-section (4): the State authority for micro and small enterprises

Under sub-section (4) "the State Government shall, by notification, specify the authority with which a micro or small enterprise may file the memorandum". The word "shall" matters: the State has a duty to specify an authority. It was designed as a State function so that a micro or small enterprise would file near its place of business. Whether any given State has notified an office, and which one, is a fact you must check in that State's notification; the Act's text is silent.

Sub-section (5): one procedure for all authorities

Sub-section (5) says the authorities under (3) and (4) "shall follow, for the purposes of this section, the procedure notified by the Central Government under sub-section (2)". This prevents each authority from setting its own rules for the memorandum. An authority that invented an extra filing step outside the notified procedure would be going beyond this sub-section.

How S.O. 2119(E) uses these powers

The preamble to S.O. 2119(E), dated 26 June 2020 and effective 1 July 2020, says it is issued in exercise of powers under section 7(1) read with 7(9) and section 8(2) read with 8(3). It states that the Central Government, after obtaining the recommendations of the Advisory Committee, "notifies certain criteria for classifying the enterprises as micro, small and medium enterprises and specifies the form and procedure for filing the memorandum (hereafter in this notification to be known as 'Udyam Registration')".

From the body of that notification, paragraph 2 provides that:

• a person who intends to establish a micro, small or medium enterprise may file Udyam Registration online on the Udyam Registration portal, based on self-declaration, with no requirement to upload documents, papers, certificates or proof;
• on registration the enterprise is assigned a permanent identity number, the "Udyam Registration Number"; and
• an e-certificate, the "Udyam Registration Certificate", is issued on completion of the process.

Paragraph 6 covers the registration process, and our later articles take it up. For now the point is structural: the memorandum contemplated by section 8 is, in practice, the Udyam Registration. The same notification's classification limits in paragraph 1 were replaced by S.O. 1364(E) with effect from 1 April 2025, and those are the current classification limits; the form and procedure are a separate matter.

What the Act does not say

• It does not name the filing office for any class of enterprise.
• It does not say how long a memorandum stays valid or whether it must be renewed. Those are matters for the notified procedure.
• It does not prescribe a fee. On the notification, see paragraph 6 and our article on the registration process; if you need to state the position, the notification says there is no fee for filing Udyam Registration under paragraph 6(2).

Practical examples

Example 1: an authority adds its own step. A State office asks micro enterprises to submit a notarised affidavit before their memorandum is accepted. Section 8(5) requires the authority to follow the procedure notified by the Centre under sub-section (2). If the notified procedure does not call for that document, the demand is hard to reconcile with sub-section (5).

Example 2: a medium enterprise asks where to file. The enterprise looks to the notification of the Central Government under sub-section (3), not to a State notification, because sub-section (4) applies only to micro and small enterprises.

Example 3: amending the form. The Centre changes the online form. No amendment to the Act is needed, since sub-section (2) leaves the form to notification, but the Central Government must still obtain the Advisory Committee's recommendations for that notification.

Common mistakes

• Looking in the Act for the form or the office. The Act delegates both.
• Treating the Udyam portal as a State office. The State function in sub-section (4) is to specify an authority, while the procedure is uniform under sub-section (5).
• Forgetting the link back to section 8(1) on who files.

Need help with the memorandum or Udyam filing?

If your registration needs to be filed, corrected or checked against the notified procedure, we can prepare it with you and keep the supporting records in order. Start with our MSME Udyam registration service.

Key takeaways

• Form and procedure of the memorandum are notified by the Centre after Advisory Committee recommendations (s.8(2)).
• The Centre specifies the authority for medium enterprises (s.8(3)); each State specifies it for micro and small enterprises (s.8(4)).
• All authorities follow the one central procedure (s.8(5)).
• S.O. 2119(E) uses these powers and calls the memorandum "Udyam Registration".
• The Act names no office and no fee; check the notifications.

Read next

• Section 8 of the MSMED Act, 2006: Who files a memorandum
• Section 7 of the MSMED Act, 2006: Advisory Committee
• How to Register under Udyam (MSME)
• MSME Udyam Registration Process Step by Step

Disclaimer: Based on the Micro, Small and Medium Enterprises Development Act, 2006 (official text, not amended by the Jan Vishwas Acts of 2023 or 2026) and the Udyam notifications S.O. 2119(E) of 26 June 2020 and S.O. 1364(E) of 21 March 2025, read with later developments noted in the article, as on 30 September 2026. Notifications, rules and the Udyam portal change; verify the current position before acting.