A non-governmental organization (NGO) is a company with altruistic goals. An NGO is a non-profit organization that promotes a variety of causes, including social welfare, religion, science, sports, education, and the arts.
An NGO is a Section 8 Company registered under the virtue of the Companies Act of 2013. All businesses registered under this statute are charity trusts with no profit motive. A non-governmental organization (NGO) and a trust or society are identical save for the latter’s registration with the Ministry of Corporate Affairs (MCA).
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NGO: About
- A non-profit organization founded by a group of real people for philanthropic and social reasons is known as a non-governmental organization (NGO).
- Promoting non-profit goals including business, the arts, science, sports, education, research, community development, religion, charity, environmental preservation, and other altruistic endeavours is the aim of the NGO. An NGO intends to pursue these objectives with all of its profits.
Registration of NGOs
Trust Registration
The process of trust registration is the legalization of the trust deed from the registrar of trust jurisdiction. A trust is typically a form of non-governmental organization (NGO) that was established to offer support or assistance to different causes, among which are community development, healthcare, and education. For example, the Indian Trusts Act of 1882 governs the process of Trust Registration, which is carried out by professionals or legal experts. The registration process is as follows:
- You can request approval of a name
- You can Draft and then submit the bylaws
- Then there has to be a Trust Deed Approval
- The registrar of companies approves the trust registration.
- At the end, the Registration certificate, PAN and TAN application are issued.
Society Registration
Society is defined in NGO Registration as a collection of people who share a common goal and gather together to work toward it. It is actually granted the authority to establish a society under the Society Registration Act of 1860. For example, they are primarily founded for philanthropic, spiritual, or educational purposes. The registration process is as follows:
- You can file for a Name Approval Application
- Then you can continue with drafting the Society’s Memorandum
- You can do the Memorandum Filing
- Then, there is acceptance of the Memorandum’s norms and requirements
- At the end, the Memorandum and Registration Certificate are issued
Section 8 Company Registration
Founded under the Companies Act of 2013, Section 8 Company Registration is a non-profit organization that promotes charity goals rather than profit-making. An NGO can only operate lawfully if it is a Section 8 Company, which requires a minimum number of two directors and gives it a corporate-like structure. The registration process is as follows:
- You must Submit a Digital Signature Certificate (DSC) application
- You can then Request for Availability of Name
- Then jump to Submitting a Section 8 License Application
- Then Submitting the INCC-322 SPICE Form
- And also, e-MOA (INC-33) and e-AOA (INC-34) filing
- At the end, PAN, TAN, and Incorporation Certificates are issued.
Registration of NGO: Benefits
Exemptions from Tax
Numerous tax advantages associated with NGO registration contribute to the long-term financial viability of your organization. All in all, depending on the nature of the NGO work, you can be qualified for exemptions from property tax, income tax, and customs taxes. Using these rewards is a fantastic method to increase your influence and reach.
Enhanced Visibility
Serving as a gateway for possibilities and collaborations with other organizations is the primary purpose of NGO registration. Consequently, these platforms create relationships with NGOs, giving them an opportunity to show their work, collaborate, and engage in collaborative endeavours. They definitely demonstrate the effect, increase your reach, and help you interact with like-minded people.
It is important to remember that depending on the state and the Registrar’s office’s workload, the registration process for trusts and societies may take several weeks to months. Your NGO can start operating and working toward reaching its goals of having a good impact on society as soon as it is registered.
After your NGO is initially registered, Lead India lawyers can help with continuing legal support. This includes helping with the development and revising of agreements, contracts, and policies; making sure that labour laws are followed; dealing with issues related to governance; and providing advice on updates to compliance or changes to regulations.
For any type of legal assistance, one can talk to a lawyer from Lead India. Lead India provides free legal advice online in India. With Lead India, one can ask free online questions to experts in addition to getting free legal advice.