November 29, 2023 at 09:55 AM
In India, an NGO is a Non-Government Organisation that works for non-profitable or charitable purposes. An NGO in India established as Section 8 Company under the Companies Act is governed by MCA whereas the NGO registered as a Society or a Trust is governed by the Registrar of State under the State Government. Section 8 Company Registration has more advantages in comparison to Trust & Society. This Company has more credibility among Government Departments, other stakeholders & donors. In this blog, we will discuss the procedure for Section 8 Company Registration under the Companies Act, 2013.
Once you complete the procedure for Section 8 Company in India, then you can avail all the following benefits:
Before starting the procedure for Section 8 Company Registration, it is important to know the eligibility criteria. Following is the eligibility criteria for Section 8 Company Registration in India:
Following is the step-by-step procedure for Section 8 Company Registration:
Step 1: Obtain DSC & DIN: First, the applicant needs to obtain a Digital Signature Certificate of the proposed Directors. Once they receive DSC, file Form DIR-3 with ROC for obtaining DIN. The identity & address proof should be attached for getting DSC. Once DIR-3 is approved, the Registrar of Companies will allot a DIN to the proposed Directors.
Step 2: Filing of INC-12 Application Form: After getting DSC and DIN, the next step is to file Form INC-12 with the Registrar of Companies to apply for a Licence under Section 8 Company along with the attachment of the required documents. Once the form is approved, a Licence under Section 8 Company will be issued in Form INC-16.
Step 3: Filing of SPICe+ Form: After getting License under Section 8, you need to file SPICe+ Form with the Registrar of Companies (ROC) for the Registration along with the vital documents.
Note: Once the Registrar of Companies is satisfied with the forms submitted, he or she issues a CoI (Certificate of Incorporation) along with a Unique CIN.
Following are the annual compliances for Section 8 Company:
The procedure for Section 8 company registration in India offers a streamlined and accessible path for those with noble intentions. With no minimum capital requirement, tax benefits, no stamp duty, and limited liability, it encourages social and charitable initiatives. The separate legal identity ensures flexibility in membership, while annual audits maintain credibility. This process empowers individuals and organizations to establish entities dedicated to making a positive impact on society. It’s a powerful mechanism for those seeking to contribute to the betterment of our communities, with regulatory support to ensure their nonprofit objectives are fulfilled.