In this article, we shall take a comprehensive look at the different ways the NGO can be registered and the benefits of NGO registration
An NGO, short for Non-Governmental Organization, is an organization that operates as a non-profit or not-for-profit entity and works towards improving the lives of underprivileged sections of society. These organizations can have a diverse range of interests and objectives, such as environmental causes, human and animal rights, improving the health and well-being of children, developmental work, and raising awareness about social causes or activities of importance. At Vakilsearch we do a thorough consultation to understand which registration would suit you the best and proceed in the right direction. So connect with Vakilsearch to know further about it.
What is NGO Registration?
An NGO is a group that operates independently of the government. A Non-Governmental Organisation (NGO) is a philanthropic organisation that aims to work toward public or social welfare goals. It can be registered as a Trust, a Non-Profit Company (Section 8 Company), or a Society, depending on the activity. Income tax exemption is available to all non-profit organisations. Vakilsearch will help you make the right option and will guide you through the entire NGO registration process.
What are the different ways for NGOs to be registered in India?
Individuals in India are allowed to engage in social activities without the need to create a corporation or group. However, if a person wants to build a group that includes people, activities, and resources, competence must be in place.
A certain set of regulations must be followed to run NGOs in the form of (Companies, trusts, and societies) correctly. An applicant must follow the numerous laws to register in any of the ways listed below.
There are three ways to register an NGO:
The “Indian Trust Act of 1882” governs trust registration. Trust, often known as Charitable trust, is one of the methods by which an NGO may be registered. Trust is a legal body founded by the “trustor” or “settlor” who distributes the assets to the second party or “trustee” for the benefit of the third party or “beneficiary”. Trusts are established to assist and support the most vulnerable members of society. Any group of persons can register a trust. There are no special regulations in India to control public trusts; however, certain states, such as Maharashtra and Tamil Nadu, have their own Public Trust Act.
The “Societies Registration Act, of 1860” governs society registration. A society is an entity that may be formed by a collection of people who share a common goal of fostering science, arts, literature, and social welfare. Furthermore, groups aim to establish military orphan funds and preserve public museums and libraries. To be qualified for tax exemption, they must be registered with the relevant state Registrar of Societies. Vakilsearch can help you with Society Registration.
Section 8 Companies
Section 8 “The Companies Act, 2013” Company Registrations. A Section 8 corporation is similar to a trust and society. A Section 8 Company’s goals are to promote the arts, science, business, sports, social welfare, religion, organisation environmental preservation. They are registered as a charity organisation under the Companies Act of 2013. They are more credible in the eyes of government agencies, funders, and other stakeholders.
Benefits of NGO Registration in India under different types
A registered NGO obtains legal status and is held accountable for funds received. For example, when an individual organisation gives a donation to a trust, the money is received in the name of the organisation and utilised for the trust’s purposes. Asset in an unregistered business might be received under anyone’s name and utilised for their benefit.
Benefits of Trust Registration
- The government grants the Trust property on which to locate its office
- NGOs have the right to use the government-registered name
- Exemptions from taxes
- The contributors who have made donations benefit from the 80G certificate
- Provide funds for the construction of an office
- Service and entertainment tax exemption.
Benefits of Society Registration
- A registered society has its personality. Each member of this society is responsible for their acts, not the actions of others
- Benefits and numbers from income taxes
- Acceptance of contributions and gifts
- The number of shares a member has in a social NGO limits their responsibility
- Property purchasing made easier
- Once founded, societies can be quickly disbanded without complicated compliance or paperwork
Benefits of Section 8 Company Registration
- There is no minimum capital requirement for forming a recognised company
- A Section 8 company, like trusts and companies is recognised as a separate legal entity.
- Similarly, Section 8 company utilises tax breaks and exclusions
- Section 8 firms may choose to utilise suffixes such as Pvt. Ltd. or Ltd
- Considered to be more adaptable in terms of shifting ownership (movable and immovable assets.
- No stamp duty during registration is required. A simple ownership transfer can be done.
How can I register an NGO with Vakilsearch in India?
It takes just three straightforward steps to register an NGO in India online with Vakilsearch:
- Right Entity Selection – We answer all of your questions on entity selection and help you make the best decision.
- Online Paperwork – We assist you in completing the full filing and registration procedure.
- Registration – We will complete the necessary paperwork to register the NGO (Trust Act, Society Registrations Act, or the Companies Act, depending on the entity chosen).
Forming an NGO (Non-Governmental Organisation) in India is an easy procedure provided all of the relevant documents and papers are in place. The above material discusses the many forms of NGO registration accessible in India, as well as the benefits of establishing one. If you want to help society and bring about change, you can establish an NGO.
If you wondering which type of NGO Registration suits you, then Vakilsearch helps you by providing thorough consultation services for selecting the registration type that suits you the best. We will inform you of all the documents required to check NGO Registration online form and create your NGO.