NGO Registration Service in India– An Overview

An NGO can be started under three Acts: Public Trust Act of all states, Indian Societies Act and Companies Act.In India, a Trust, Society, Sangathan, Sangh, Non-profit company all fall under an umbrella term NGO. Income tax exemption is available for all non-profit NGOs.

At Vakilsearch, we will help you select the right option and guide you through the entire NGO registration process.

Acts governing NGO registration process

The national authority in India allows for online registration of an NGO under three laws:

  • a. Trust under Public Trusts Act of each state.
  • b. Society under Societies Registration Act 1860
  • c. Section 8 Company under Companies Act, 2013
  • Each law defines the formation of a different type of organization, namely – Trust Registration, Society Registration, and Non-Profit company registration. Choosing the kind of registration procedure for the charitable firm is crucial. Our experts will help select the suitable option that befits your vision and guide you with the online registration process.

All the fields are monidatory.

Registration Process

Online Registration

Why register an NGO in India?

BENEFITS
  • The legal status of organizations makes sure they are accountable for all the funds and donations they collect
  • A registered NGO thinks, works and develops in a systematic manner and functions accordingly. For example, when an individual donates resources to a charitable fund, it is received under the name of the organization and used for the benefit of others. In an unregistered firm, the asset can be received under anyone’s name and used for their own profit.
  • A company that is registered as an NGO stays within the ethical, social and legal parameters of the society.
  • The basic requirement for running a company is to have a bank account under its name. In order to open an account, it is mandatory to be registered as a non-profit organization.
  • The registration of an NGO will also help in tax exemption once they are registered under Income Tax Authorities.

Registration of NGO in India

Trust

One possible way in which you can register a Non-Government Organisation is by registering it as a trust. This kind of method is used by NGOs who work with eradicating poverty, giving education and providing medical relief. You might want to note that trusts are irrevocable. This means that they cannot change or terminate without the permission of the court.

Although there is no central law that governs public trusts, many states have its own Public Trust Acts to look into the affairs of the public trust.

SOCIETIES

Societies Societies can be referred to member-based organizations for charitable purposes. They are run by a governing body or a managing committee. Unlike trusts, all societies come under the preview of one law known as Societies Registration Act, 1860. Section 8 Companies

SECTION 8 COMPANIES

Section 8 Company has limited liability and cannot make any profits. It is generally formed for promoting science, art, commerce, charity, religion or any other purpose that is useful to society. When compared to Societies and Trusts, Section 8 Companies have more benefit in the sense that they have more legal standing and better credibility among government bodies and donors.

    NGO Registration Methods in India - Trust, Society, or Non-profit Company

    A DETAILED PROCESS

    n India, anybody is free to do social activities without forming an association or organization. But when an individual wants to create a group that involves volunteers, activities, and resources, it becomes important to have proper management in place. To run such companies, trusts and Societies in the correct manner, a certain set of rules need to be followed.

Essential documents for online society registration & trust registration

Before a registered deed is delivered to an NGO, submission of specific documents is required.

TRUST REGISTRATION

For the trust registration, the following papers are mandatory:

  • A bill of electricity or water stating the address that needs to be registered.
  • The identity proof of at least two members of the company. The proof can be:
    • - Voter ID
    • - Driving License
    • - Passport
    • - Aadhaar Card

It takes about 8 to 10 days for online registration to be completed under the Indian Trust Act – 1882. Before the deed becomes valid throughout the country, the settler has to deliver a presentation at the registrar’s office.

Note: It takes about 8 to 10 days for online registration to be completed. On the date fixed for registration, the Author of the Trust shall be present in the Register Office for registration Society registration

SOCIETY REGISTRATION

For a society registration, the following papers are essential:

  • The name of the society.
  • Address proof of the office.
  • Identity proof of all the nine members which can be:
    • - Driving License
    • - Copy of Passport
    • - Voter ID
    • - Aadhaar card
  • Two copies of the Memorandum of Association and By-laws of the society.

Note: It takes about 8 to 10 days for online registration to be completed. On the date fixed for registration, the Author of the Trust shall be present in the Register Office for registration Society registration

SECTION 8 COMPANY:

For a Section 8 company registration, the following papers are essential:

  • - The name of the Company for approval.
  • -Address proof of the office. It can be electricity or water bill or house tax receipt.
  • -Identity proof of all the Directors which can be:
    • - - Driving License
    • -- Copy of Passport
    • -- Voter ID
    • -- Aadhaar card
  • -The Memorandum of Association and Articles of Association of the Company.
  • Note: It takes about 8 to 10 days for online registration to be completed. On the date fixed for registration, the Author of the Trust shall be present in the Register Office for registration Society registration

How can we help? - Why Bright

Consultation for selecting registration type

  • We do a thorough consultation to understand which registration would suit you the best- NGO / Society/ Trust registration.
  • We will inform you of all the documents required to complete the online NGO registration form
  • The final step is the formation of your NGO.

Online NGO Registration Package Includes
  • A full consultation to understand which registration would suit you best
  • All the paperwork needed to apply for an NGO registration, we will keep you informed about the entire process and progress.
  • We help you with all the processes and procedures needed for registering your NGO.
TRUST SOCIETY SEC - 8 COMPANY
Governed by Trust Act of each state Societies Registration Act (State Law) Companies Act, 2013
Members: Minimum of 3 members and a maximum of 21 members Minimum of 7 members and the maximum is unlimited Minimum of 2 Directors/Shareholders
Jurisdiction: Where the registered office of the Trust is situated. Before the Sub - Registrar or the District Registrar in the particular area or the Charity Commissioner. Where the registered office of the Society is situated. Before the District Registrar in the particular area or the Charity Commissioner. Online Registration
Document: Trust Deed Memorandum of Association, By-Laws, Forms MoA and AoA
Board: Founder or Author of the Trust, Managing Trustees (Treasurer, Auditor, etc.) Executive Committee (President, Secretary, Vice President, Treasurer), General Body (All members) Directors
Property Management: The properties of the Trust will be managed by the Trustees, however, the properties cannot be sold by the Trustees without obtaining the permission from the court. The property of the Society vests in the name of the Society and the same can be sold as per the terms mentioned in the By-laws of the society. (Eg: Approval from the Executive Committee Member) The property of the company vests in the name of the Company and the same can be sold as per the rules mentioned under the Companies Act, (Eg: With the consent of the Board of Directors in the form of a resolution)
Revocation/ Dissolution or Winding Up The trust is usually irrevocable in nature. For reasons like disqualification of trustees, the absence of trustees, mismanagement of the trust, the trust can be merged with another trust having a similar objective with the permission of the court. Dissolution as per the By-laws of the society, upon dissolution and after settlement of all debts and liabilities, the funds and property of the society may not be distributed among the members of the society, rather, the remaining funds and property must be given or transferred to some other society, preferably one with similar objects. Dissolution as per the By-laws of the society, upon dissolution and after settlement of all debts and liabilities, the funds and property of the society may not be distributed among the members of the society, rather, the remaining funds and property must be given or transferred to some other society, preferably one with similar objects.
Annual Compliance There is no annual filing but the board of trustee must keep the books and accounts proper. Societies must file annually, with the Registrar of Societies, a list of the names, addresses and occupations of their managing committee members. There is a requirement of annual compliance by the filing of annual accounts and the return of company with the RoC.

Our team aims to provide the best legal consultancy services for all charitable, corporate and NGO firms across India. We maintain high ethical standards and work towards delivering every service within the promised time frame. We recommend you to give us a call or drop an email for the first free consultation. Our experts are available to serve you.

FAQs on NGO Registration

IEC stands for Import Export code which is a 10 digit number issued by Director General of Foreign Trade, Department of Commerce, Government of India. It is a registration required for traders importing or exporting goods and services to or from India.

Under the MEIS Scheme, numerous rewards and incentives are provided to exporters. Such incentives are given to exporters at a prescribed rate which varies from product to product.

Any person/company dealing in international trade of export and import of goods and Services need to register for IE code.

IE Code is not a tax registration. However, certain customs duty may be levied depending on the product.

No. IEC is a mandatory document for recognition by Govt. of India as Exporter / Importer of goods and services. However, if the value of goods is too low, the customs authorities may permit first export by imposing nominal charges which is highly unlikely to happen.

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