what is the process of NGO registration in India?

What Exactly is an NGO?

An NGO is a non-profit organization that works towards uplifting societies, especially the weaker sections of society that are not financially well off.

NGOs are run on the principle of ‘No profit, No loss, and thus, they do not require a lot of money to function. Moreover, they do not intend to earn a profit by operating these organizations, they help those in need.

There are a variety of types of NGOs, and each type can be classified according to a number of factors. It includes classifications based on orientation, working level, sector, and registration type. The money that goes into the operation of the organization is usually raised by charity or received from donors.

This is basically a group of people who have a similar mindset and work towards an aligned goal with the intention of serving society. In general, the government does not interfere with their practices since it does not have any power over them. The rules and regulations of non-profit organizations are usually formulated according to their cause and main purpose.

NGO Registration in India

Registration as an NGO is mandatory for organizations working for social welfare. Non-government organizations (NGOs) serve a charitable purpose for the progress of society. Depending on the project you want to undertake, you can create a Trust, a Society, or a Section 8 Company (a Non-Profit Company). NGOs can serve a wide range of societal interests.

It could also include environmental causes, human and/or animal rights, improving children’s health and welfare, expanding work, and raising awareness about certain causes or activities.

A non-profit organization in India is described as an NGO if it involves a Trust, Society, or Section 8 Company. Not-for-profit organizations like these are also known as “Sangathans”, “Sangh’s”, and “Sangams”. Non-profit NGOs are eligible for income tax exemption. Non-profit NGOs are eligible for income tax exemption.

Forms in NGO Registration :

  • Form INC 1: NGO name registration
  • Form INC 12: An NGO license application should be submitted
  • Form INC 13: Association Memorandum
  • Form INC-15: Each subscriber must complete it in order to sign the document
  • Form INC 7: NGO Incorporation Application.
  • FORM INC 22: Address of Registered Office
  • Form DIR 12: Nomination of NGO directors
  • DIR 2: Directors’ consent
  • DIR 3: Request for DIN from ROC
  • DIR 12:Appointment of Directors

Laws Governing NGO Registration

NGO registration online in India is governed by the laws created under the procedure for registering NGOs in India. In India, NGO registration is regulated as follows:

  • Indian Trusts Act, 1882 for Trust Registration
  • Societies Registration Act, 1860 for Society Registration
  • Companies Act, 2013 for Section 8 Company Registration

Types of Registration of NGOs in India

Trust

The first way to register an NGO is through a trust, which is more commonly known as a charitable trust. A trust is a legal entity formed by the “trustor” or “settlor”, who transfers the assets to the “trustee” for the benefit of the “beneficiary”. Assisting and encouraging the seized sections of society is the purpose of trust. Trusts can be registered by any group of individuals in India, and there are no specific laws to govern public trusts, though some states such as Maharashtra and Tamil Nadu have their own laws.

Societies

The term society refers to a group of individuals who come together to promote science, arts, literature, social welfare, and useful information. Additionally, societies support military orphan funds and maintain public libraries and museums.

A society’s registration is governed by the Societies Registration Act, 1860. A tax exemption may be obtained by listing them with the respective state Registrar of Societies.

Section 8 Companies

Trust and society are important aspects of a Section 8 company. Section 8 companies serve the purposes of advancing arts, science, commerce, sports, social welfare, religion, charity, and environmental protection. The company is registered under the Companies Act, 2013 for charitable purposes. As a result, they are more credible among government agencies, donors, and other stakeholders.

Benefits of registering an NGO in India

  • When an NGO is registered, it obtains legal status and becomes responsible for the funds it receives. For instance, funds donated to a charitable trust are taken under the organization’s name and used for its purposes. A company that is not registered can have its assets taken under anyone’s name and practiced for personal gain.
  • NGO registration strengthens our society’s ethical, social, and legal standards.
  • A bank account under the name of the NGO is a basic requirement for it to operate. A Trust, Society, or Section 8 Company must be registered to open an account.
  • An NGO must register with the Income Tax Authority in order to qualify for tax exemption.

Documents Required for NGO Registration

A list of the mandatory documents for registering an NGO can be found below

  • A duplicate copy of the MOA and the R.R. of the Society.
  • General Body copies of Special Resolution in duplicate.
  • Duplicate copies of the notice.
  • A sworn affidavit by the president or sectary
  • The President of the Society makes a statement
  • Minutes of the Society’s Governing Body.
  • A list of the governing body. The comparison list of amendments.
  • A copy of the election proceedings with the notice. The confirmation of receipt of notice.
  • For new members, copies of the application form are available.
  • A copy of the resignation letter. The annual list of the governing body (Section 4).
  • The owner of the new registered office of the Society has provided N.O.C.
  • Proof of ownership of the Society’s new registered office. The President’s affidavit of no dispute.
  • An address proof of the registered office and a landlord’s No-Objection Certificate (NOC)

Conclusion

The purpose of this article was to provide information to a recent founder on how NGOs are registered. Complaints must be filed through a lengthy and confusing process. In the same way, a lawyer can assist you, but being a professional is never easy. Vakilsearch helps you find the best lawyer who can ease the application process.

¬†Additionally, the users have access to 24×7 support. The prices for all of these services are very affordable, so everyone can afford them. For more information and answers to your questions, visit our website

Read More:

Leave a Reply

Your email address will not be published. Required fields are marked *