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    NGO Registration: Meaning and Overview

    NGO (Non-Governmental Organization) registration is the process through which an organization is formally recognized as an independent, non-profit entity, operating for the benefit of society. It can serve various purposes such as social welfare, education, healthcare, environment, or community development. Once registered, an NGO gains legal recognition and access to various funding and support opportunities from the government, private donors, and international organizations.

    Key Features of NGO Registration

    • Legal Status: An NGO is a legal entity that can operate under specific regulations, depending on the type of registration.
    • Transparency: Registered NGOs are subject to audits and regular reporting, ensuring transparency in their operations.
    • Tax Exemption: Many registered NGOs are eligible for tax exemptions on income and donations under relevant laws.
    • Funding and Support: Registered NGOs can receive funding from government bodies, international organizations, and private entities.
    • Public Trust: A registered NGO is generally perceived as more trustworthy, which helps attract volunteers, donors, and partners.

    Types of NGO Registration in India

    1. Trust Registration:
      • Governing Act: Indian Trust Act, 1882.
      • Members Required: Minimum of 3 members.
      • Purpose: Can be a private trust for financial purposes or a public trust for charitable, educational, or social purposes.
    2. Society Registration:
      • Governing Act: Societies Registration Act, 1860.
      • Members Required: Minimum of 7 members above 18 years of age.
      • Scope: Limited to the state in which the society is registered.
      • Purpose: Can include arts, education, charity, sports, scientific research, etc.
    3. Section-8 Company (Foundation):
      • Governing Act: Companies Act, 2013.
      • Members Required: Minimum of 2 members.
      • Scope: Operates on a PAN India basis.
      • Purpose: For promoting commerce, art, education, religion, research, environmental protection, etc. No dividend is paid to members.

    Documents Required for NGO Registration

    Trust Registration:

    1. PAN Card
    2. Aadhaar Card
    3. Electricity Bill of the Registered Office

    Society Registration:

    1. Aadhaar Card
    2. Electricity Bill of the Registered Office

    Section-8 Company (Foundation) Registration:

    1. Photograph of members
    2. PAN Card
    3. Aadhaar Card
    4. Bank Statement
    5. Electricity Bill of the Registered Office

    Benefits of NGO Registration

    1. Reliability and Credibility: Being a registered NGO enhances the trust and credibility of the organization in the eyes of donors, volunteers, and government bodies.
    2. More Exposure: Registration allows the organization to access a wider network of supporters, funding agencies, and resources.
    3. Expansion of Operations: Registered NGOs can extend their scope of work beyond local areas and operate on national or international levels.
    4. Legal Entity: Registration provides the NGO with legal status, making it eligible for government schemes, tax exemptions, and grants.
    5. Association with More Volunteers: A registered NGO attracts more volunteers, as people are more likely to work with a legally recognized organization.
    6. Tax Benefits: Many registered NGOs are eligible for income tax exemptions and other tax benefits, which help them utilize their funds effectively for their causes.

    Comparison Between Trust, Society, and Section-8 Foundation

    Particulars

    Trust

    Society

    Section-8 Foundation

    Governing Act

    Indian Trust Act, 1882

    Societies Registration Act, 1860

    Companies Act, 2013

    Members Required

    Minimum: 3

    Minimum: 7

    Minimum: 2 Directors/Shareholders

    Jurisdiction

    State in which registered

    State in which registered

    PAN India

    Annual Compliance

    Basic ITR Filing

    Society Audit and ITR

    Audit and ROC Filing

    Registration Document

    Trust Deed

    Society Certificate and Byelaws

    License, MOA, and AOA

    Knowledge Base

    • A Trust is governed by the Indian Trust Act and usually requires a minimum of three members. It is suitable for public charitable purposes.
    • A Society is formed under the Societies Registration Act and requires a minimum of seven members. It is suited for cultural, educational, and charitable purposes within a state.
    • A Section-8 Company is a company formed under the Companies Act, 2013. It is ideal for organizations with national or international scope and focuses on activities like charity, education, and research.

    No, an NGO is a non-profit organization, meaning it cannot distribute profits to its members. All income and profits must be used for the organization’s charitable purposes.

    The registration process generally takes anywhere from a few weeks to a couple of months, depending on the type of NGO and the completeness of the application.

    Yes, foreign nationals can be members of an NGO in India, though certain regulations govern the extent of their participation, particularly for NGOs receiving foreign funding.

    Registered NGOs are eligible for various tax exemptions, including income tax exemptions on donations received and on income generated from their charitable activities.

    Yes, depending on the type of registration, NGOs are required to file annual returns with the government, such as ITR or audit reports, to maintain their status as a registered entity.

    Yes, government funding is available for NGOs through various schemes and grants under different ministries and departments. NGOs may also receive support from international agencies.

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