Documents Required for NGO Registration

Introduction

NGO Registration Documents-Registering an NGO (Non-Governmental Organization) is a crucial step in establishing a legal entity to carry out charitable or social welfare activities. Whether it’s a trust, society, or Section 8 company, there are specific documents required for registration. In this article, we will discuss the documents needed for registering under each category and also delve into the applicability and procedures for obtaining 80G, 12A, and FCRA registrations.

Trust Registration

Mandatory Documents:

1. Trust Deed:

Details of trustees.
Objectives and rules of the trust.
Name and address of the trust.
Subject matter of the trust.

2. Address Proof:

Electricity bill, water bill, or ownership proof of the property.

3. Identity Proof:

PAN card of trustees.

4. Other Documents:

PAN of the NGO.
Memorandum of Association (MoA) and Article of Association (AoA) for Section 8 companies.
No objection certificate from the property owner (if rented).

Registration Process:

Preparation of Trust Deed.
Registration of the Trust Deed with the local registrar.

Society Registration-NGO Registration Documents

Mandatory Documents:

1. Memorandum of Association (MoA):

Rules and regulations of the society.
Name and address of the society.

2. Address Proof:

Electricity bill, house tax receipt, or water bill.

3. Identity Proof:

PAN card of members.

4. Other Documents:

List of members with details.
Certificate of incorporation for Section 8 companies.

Registration Process:

Choose a unique name for the society.
Prepare the MoA.
Complete the required documents.
Apply to the registrar of societies.

Section 8 Company Registration

Mandatory Documents:

1. Memorandum of Association (MoA) and Article of Association (AoA):

Objectives and rules of the company.

2. Address Proof:

Electricity bill or lease agreement.

3. Identity Proof:

PAN card of directors.

4. Other Documents:

Name approval certificate.

Registration Process:

Obtain name approval.
Prepare MoA and AoA.
Complete the required documents.
Apply for registration with the Registrar of Companies.

Applicability of 80G and 12A Registrations-NGO Registration Documents

Eligibility Criteria:

NGOs and charitable organizations.
Must not have income from business activities.
Should maintain proper accounts and use funds only for charitable purposes.
Should not work for the benefit of any particular caste or religion.

Benefits:

Tax exemption for donors under section 80G.
Exemption from income tax on surplus income under section 12A.

Procedure for Registration:

Apply to the respective authorities.
Submit required documents.
Await verification and issuance of certificates.

FCRA Registration

Eligible Entities:

Trusts, societies, and Section 8 companies.
Must operate for at least 5 years.
Should have spent a minimum amount on charitable activities.

Mandatory Documents:

PAN card of the NGO.
Audited financial statements.
Certificate under sections 80G and 12A.

Registration Process:

Apply online through the FCRA portal.
Complete the application and attach required documents.
Make online payment for registration.

What is an 80G Certificate? NGO Registration Documents

Definition:

An 80G Certificate is a certification issued by the Income Tax Department of India to NGOs, charitable trusts, and Section 8 companies. It aims to encourage individuals and organizations to donate funds for charitable purposes by providing them tax benefits.

Tax Exemption:NGO Registration Documents

Donors can claim a deduction of 50% of the donated amount from their Gross Total Income.
To avail the exemption, donors must submit a stamped receipt containing details such as the donor’s name, date of donation, and PAN of the organization.

Importance:NGO Registration Documents

Enhances credibility and trustworthiness of the NGO.
Attracts more donors by offering tax benefits.
Facilitates fundraising for charitable activities.

Procedure for 80G Registration:

Apply to the Commissioner of Income Tax (Exemption) with required documents.
Undergo on-premise inspection by Income Tax officials.
Receive the 80G certificate upon satisfactory verification.

Validity:

The 80G Certificate is valid for the lifetime of the NGO, providing long-term benefits to both the organization and its donors.

What is Section 12A Registration? NGO Registration Documents

Definition:

Section 12A of the Income Tax Act, 1961, provides one-time tax exemption to trusts, NGOs, and Section 8 companies on their surplus income. It aims to encourage organizations to utilize their resources for charitable purposes without incurring tax liabilities.

Eligibility Criteria:

Entities must be registered under the respective laws governing trusts, societies, or companies.
Must comply with the objectives stated during registration.
Should maintain proper accounts and utilize funds solely for charitable activities.

Registration Process:

File an application in Form 10A to the Commissioner of Income Tax (Exemptions).
Commissioner verifies the genuineness of the organization’s activities.
On satisfactory verification, the Commissioner grants the 12A Registration, providing tax exemption to the entity.

Validity:

Similar to 80G, the 12A Registration is valid for the lifetime of the organization, ensuring continued tax benefits for charitable activities.

FCRA Registration Process

Introduction:

The Foreign Contribution Regulation Act (FCRA) governs the acceptance and utilization of foreign contributions by entities in India. FCRA registration is mandatory for NGOs, trusts, and societies intending to receive foreign funds for charitable purposes.

Eligibility Criteria:NGO Registration Documents

Entities must be operational for at least 5 years.
Should have spent a minimum amount on charitable activities in the preceding years.
Must not engage in activities detrimental to national interest.

Registration Process:NGO Registration Documents

Apply online through the FCRA portal.
Submit the application along with required documents, including PAN card, audited financial statements, and certificates under sections 80G and 12A.
Await approval from the authorities after verification.

Renewal and Cancellation:NGO Registration Documents

FCRA registration remains valid for five years and can be renewed upon application.
Authorities can cancel or suspend FCRA registration if the organization fails to comply with regulations or misuses foreign funds.

Conclusion NGO Registration Documents

Obtaining 80G, 12A, and FCRA registrations are essential for NGOs and charitable organizations to enhance credibility, attract donors, and avail tax benefits. By adhering to the registration processes and fulfilling eligibility criteria, these entities can operate transparently and effectively in pursuit of their noble objectives.

FAQs (Frequently Asked Questions) About NGO Registration Documents

What is NGO registration?
- NGO registration is the process of legally establishing a non-governmental organization (NGO) to carry out charitable, social, or humanitarian activities. It involves registering the NGO under the appropriate laws and obtaining necessary certifications to operate legally.
What are the different types of NGO registrations in India?
- In India, NGOs can be registered as trusts, societies, or Section 8 companies. Each type of registration has its own set of rules, regulations, and procedures.
What is the difference between a trust, society, and Section 8 company?
- A trust is a legal entity where property is held by one party (the trustee) for the benefit of another (the beneficiary).
- A society is an association of individuals united together by mutual consent to deliberate, determine, and act jointly for some common purpose.
- A Section 8 company, under the Companies Act, 2013, is a company formed for promoting commerce, art, science, sports, education, research, social welfare, religion, charity, protection of the environment, or any other similar object, provided the profits, if any, or other income is applied for promoting only the objects of the company and no dividend is paid to its members.
What documents are required for NGO registration?
- The documents required for NGO registration vary depending on the type of registration chosen. However, common documents include identity proof, address proof, memorandum of association, articles of association, trust deed, etc.
What are the benefits of registering an NGO?
- Registering an NGO provides legal recognition, credibility, and tax benefits. It also allows NGOs to access funding, grants, and donations more easily.
What is 80G registration, and how does it benefit NGOs?
- 80G registration is a certification issued by the Income Tax Department that allows donors to claim tax deductions on donations made to NGOs. It benefits NGOs by incentivizing individuals and organizations to donate funds for charitable purposes.
How can an NGO obtain 80G registration?
- NGOs can obtain 80G registration by applying to the Commissioner of Income Tax (Exemption) with the required documents and undergoing verification. Once approved, the NGO receives the 80G certificate, which is valid for its lifetime.
What is FCRA registration, and why is it necessary for NGOs?
- FCRA registration is mandatory for NGOs intending to receive foreign contributions or grants. It ensures that foreign funds are utilized for legitimate and charitable purposes and helps maintain transparency and accountability in the use of such funds.
What is the process for FCRA registration?
- The process for FCRA registration involves applying online through the FCRA portal, submitting the required documents, and awaiting approval from the authorities after verification.
How long does it take to register an NGO?
- The time taken to register an NGO depends on various factors such as the type of registration chosen, completeness of documentation, and processing time by the authorities. It can range from a few weeks to several months.