Section 8 Company Registration (NGO)

What is Section 8 Company Registration (NGO)?

Section 8 Company Registration (NGO) is a critical corporate requirement in India. At Atlaz, we ensure your business remains 100% compliant with government regulations. Engaging a professional service for your Section 8 Company Registration (NGO) mitigates legal risks, optimizes operational efficiency, and establishes a foundation of trust with stakeholders and regulatory bodies.

Aspect With Professional Support Without Support
Compliance Speed Accelerated Prone to delays
Legal Risk Mitigated High
Cost Efficiency Optimized Hidden Penalties

Register a Section 8 Company in India. A highly credible corporate structure for NGOs, non-profits, and charitable organizations.

Thorough Guide to Section 8 Company Registration (NGO)

A Section 8 Company is a Non-Governmental Organization (NGO) registered under Section 8 of the Companies Act, 2013. It is formed with the objective of promoting commerce, art, science, sports, education, research, social welfare, religion, charity, or protection of the environment. Unlike Trusts and Societies, a Section 8 Company is a centralized, federally recognized corporate entity.

The defining feature of a Section 8 Company is that its profits, if any, or other income must be applied solely towards the promotion of its objectives. The payment of any dividend to its members is strictly prohibited. Because it operates under the stringent frameworks of the MCA, it enjoys significantly higher credibility among corporate donors, CSR funds, and government agencies.

Section 8 companies can be incorporated as either Private Limited or Public Limited without the requirement of adding the suffix 'Limited' or 'Private Limited' to their name. They also enjoy numerous privileges and exemptions under the Companies Act and can easily apply for 12A, 80G, and FCRA registrations.

Documents Required

  • PAN and KYC details of all Directors/Promoters
  • Project Report detailing the social/charitable objectives and estimated budget for 3 years
  • Draft MoA and AoA in prescribed format (Form INC-13)
  • Declaration in Form INC-14 and INC-15 by a professional and promoters
  • Registered Office Address Proof (NOC & Utility Bill)

Step-by-Step Process

1

Apply for Digital Signature Certificate (DSC)

2

Reserve a unique name reflecting the charitable objective

3

Draft MoA, AoA, and 3-Year Project Report

4

Apply for Section 8 License from the Regional Director / MCA

5

File Incorporation Forms (SPICe+) upon receiving the license

6

Receive Certificate of Incorporation (CoI) and PAN

Approximate Timeline

15 - 25 Working Days

Key Advantages & Benefits

High Credibility

Regulated by the MCA, providing massive trust for CSR funding and foreign grants.

No Title Required

Exempt from using 'Private Limited' or 'Limited' at the end of the name.

Tax Exemptions

Eligible for 12A and 80G tax exemptions, allowing donors to claim tax deductions.

Stamp Duty Exemption

Exempt from paying stamp duty on the Memorandum and Articles of Association.

Frequently Asked Questions

Can the founders draw a salary from a Section 8 Company?
Yes, directors or founders can draw a reasonable remuneration or salary for services rendered to the company, provided it is at arm's length and approved by the board.
Is Section 8 better than a Trust or Society?
Section 8 offers centralized regulation (MCA), higher transparency, and corporate structure, making it highly preferred by corporate donors and CSR initiatives compared to state-level Trusts or Societies.
What is the minimum capital required?
There is no minimum capital requirement to incorporate a Section 8 Company.
Can a Section 8 Company be converted into a normal Private Limited Company?
Yes, a Section 8 company can be converted into a normal company for profit by passing a special resolution and obtaining approval from the Regional Director, subject to strict conditions.
Do I automatically get 80G and 12A exemptions upon incorporation?
No, incorporation only registers the entity. You must file separate applications with the Income Tax Department to obtain 12A (tax exemption for the NGO) and 80G (tax deduction for donors).
Can a Section 8 Company receive foreign funds?
Yes, but only after obtaining registration under the Foreign Contribution (Regulation) Act (FCRA) from the Ministry of Home Affairs.