Section 8 Company
Registration for NGOs
& Non-Profits
India's strongest legal structure for charitable organisations. Get your Section 8 license (INC-12), incorporation, 12A & 80G tax exemptions, and FCRA eligibility — all managed by our CA & CS team. 100% online.
What is a Section 8 Company?
A Section 8 Company is a non-profit organisation incorporated under Section 8 of the Companies Act, 2013 for the purpose of promoting charitable, educational, scientific, social, or other objectives of public benefit. It is the Indian equivalent of what is globally known as an NPO (Non-Profit Organisation).
Unlike a regular company, a Section 8 Company cannot distribute profits or dividends to its members or directors. Any income earned must be wholly applied toward the promotion of the company's charitable objectives. In return, it receives significant tax benefits, credibility, and regulatory recognition not available to other NGO structures.
It is governed by the Companies Act, 2013, making it the most structured, transparent, and accountable form of non-profit in India — preferred by major donors, CSR departments, and international funding agencies.
Why choose Section 8 over Trust or Society?
If you are serious about building a credible, long-lasting non-profit that can attract CSR funding, large donations, and eventually FCRA registration for foreign contributions — Section 8 Company is unequivocally the best structure. Major donors and CSR departments explicitly prefer Section 8 companies due to MCA's regulatory oversight, mandatory statutory audit, and annual transparency filings.
Who is Section 8 Company Ideal For?
NGOs & Charitable Organisations
Existing informal NGOs or trusts seeking the strongest corporate legal structure and CSR credibility.
CSR Implementing Agencies
Organisations partnering with corporates to implement their CSR projects — Section 8 is the preferred structure.
Research & Educational Institutions
Independent research institutes, think-tanks, skill development centres, and educational bodies.
International Grant Recipients
Organisations planning to receive foreign funding who need FCRA registration — Section 8 is the recommended structure.
Social Entrepreneurs
Founders building sustainable social impact organisations who want limited liability and institutional credibility.
Societies & Trusts Upgrading
Existing trusts or societies that have outgrown their structure and need the stronger legal standing of a Section 8 Company.
Advantages & Disadvantages
✅ Advantages
- 🛡️Limited Liability — Directors' personal assets fully protected
- 🏢Separate Legal Entity — Can own property, sign contracts in its own name
- 💰12A Tax Exemption — Organisation's income fully exempt from income tax
- 🎁80G Donor Benefit — Donors get 50% income tax deduction on donations
- 💼CSR Fund Eligible — Receive CSR grants from corporates after 3 years
- 🌐FCRA Eligible — Apply for foreign donation licence after 3 years
- ⭐Highest Credibility — MCA oversight gives maximum trust to donors & institutions
- ♾️Perpetual Existence — Continues independent of director changes
⚠️ Limitations
- ⏰Longer Registration — 15–25 days due to INC-12 license requirement
- 📋Higher Compliance — Annual MCA filings (MGT-7A, AOC-4), statutory audit mandatory
- 🚫No Profit Distribution — Surplus must be reinvested in objectives; no dividends
- 📢Public Disclosure — Financials publicly visible on MCA portal
- 🏛️Strict Regulatory Oversight — MCA & Income Tax Department both monitor compliance
- 💰Higher Setup Cost — More expensive than Trust or Society registration
How TaxClue Registers Your Section 8 Company
Unlike regular companies, a Section 8 Company requires a special INC-12 License from the Regional Director before MCA incorporates it. TaxClue manages the entire process — typically 15–25 working days — completely online.
Free Expert Consultation
Our CA/CS assesses your charitable objectives, number of directors, funding sources (donations, CSR, FCRA), and advises on MOA object clause drafting — the most critical factor in INC-12 license approval.
Document Collection
Personalised checklist for all 2+ directors — PAN, Aadhaar, address proof, photos, and the registered office address. TaxClue also collects your mission statement and proposed activities to prepare the object clause.
DSC & DIN for Directors
Class-3 Digital Signature Certificates and Director Identification Numbers arranged for all proposed directors (minimum 2, at least 1 Indian resident) — required to digitally sign all MCA and INC-12 forms electronically.
Name Reservation (RUN Form)
Section 8 company names must include words like Foundation, Association, Forum, Federation, Chambers, Confederation, Council, or Academy. TaxClue screens for MCA availability and trademark conflicts, then files with 2 name options.
MOA & AOA Drafting
TaxClue drafts the Memorandum of Association with precise charitable object clauses — correctly worded to satisfy the Regional Director's INC-12 review. Poorly worded objects are the #1 reason for rejection.
INC-12 License Application ★ The Critical Step
Unique to Section 8 companies. TaxClue files Form INC-12 with the Central Registration Centre (CRC) / Regional Director — including declarations from all directors, MOA/AOA, a statement of proposed activities, and estimated income/expenditure for 3 years. The Regional Director reviews and approves the licence — typically 7–15 working days.
SPICe+ Incorporation Filing
Once the INC-12 license is granted, TaxClue immediately files SPICe+ Part B + e-MOA + e-AOA + AGILE-PRO-S for full company incorporation. PAN, TAN, ESIC, and EPFO are simultaneously applied for via the integrated form.
COI + 12A/80G Advisory
ROC issues the Certificate of Incorporation. TaxClue then advises on applying for 12A (income tax exemption) and 80G (donor deduction benefit) registrations with the Income Tax Department — the two most important post-incorporation steps for any Section 8 Company.
What You Get with TaxClue
Certificate of Incorporation (COI)
MCA-issued COI with your company's CIN — your non-profit's legal birth certificate.
Section 8 License (INC-12)
Special licence from the Regional Director to operate as a non-profit under the Companies Act.
Company PAN & TAN
Both issued via AGILE-PRO-S — required for banking, donations, and tax filings.
MOA & AOA Documents
Professionally drafted with charitable object clauses — court-admissible constitution documents.
DSC for All Directors
Class-3 DSCs for all 2+ directors, valid 2 years.
DIN for All Directors
Director Identification Numbers confirmed for all directors from MCA.
ESIC & EPF Registration
Statutory employee registrations via AGILE-PRO-S — needed if you employ staff.
Free 12A/80G Consultation
Bonus: Personalised advice on 12A, 80G, FCRA, and CSR eligibility — free after your COI.
Documents Needed for Registration
PAN Card
Mandatory for all directors — used for DSC and DIN procurement.
Aadhaar Card
Identity proof linked to active mobile number for OTP verification.
Address Proof
Bank statement or utility bill (max 2 months old) for each director.
Passport-size Photo
Recent colour photograph of each director on white background.
Email & Mobile
Active email and mobile for MCA portal registrations.
Declaration of Non-Profit Intent
TaxClue prepares this — INC-13/INC-15 forms for the INC-12 application.
Rent Agreement
Registered rent agreement if using rented premises as the office.
NOC from Owner
No Objection Certificate for use as registered office.
Utility Bill
Electricity or gas bill of the office premises (max 2 months old).
Annual Compliance Requirements
Although non-profit in nature, a Section 8 Company must comply with all company law requirements under the Companies Act, 2013 — plus Income Tax obligations. Non-compliance can result in cancellation of the Section 8 licence.
TaxClue Annual Compliance for Section 8 Companies
Our comprehensive compliance package covers ROC filings (MGT-7A, AOC-4), ITR-7, statutory audit coordination, 12A/80G renewal, and full accounting support — managed by a dedicated CA team specialising in non-profit compliance. Get a custom quote →
Why Choose TaxClue for Section 8 Company Registration?
Expert MOA Object Clause Drafting
Precisely worded charitable object clauses — the #1 reason for INC-12 rejections. Our legal team gets it right the first time.
INC-12 License Specialists
Deep experience navigating the Regional Director's INC-12 approval process — we track, follow up, and respond to queries efficiently.
12A, 80G & FCRA Advisory
End-to-end support for all post-incorporation tax registrations — from income tax exemptions to foreign donation eligibility.
CSR Fund Readiness
We advise on structuring your non-profit to attract and receive CSR funds from India's large corporates.
100% Online Process
Directors do not need to visit any government office. All documents collected and certificates delivered digitally.
Dedicated CA & CS Manager
A Chartered Accountant and Company Secretary assigned to your project from start to finish — one point of contact.
Frequently Asked Questions
Trust: Simple to form (just a Trust Deed), low compliance, no separate legal entity for trustees, lower credibility. Governed by Indian Trusts Act, 1882.
Society: Democratic (members have voting rights), suitable for clubs/associations. Governed by state-specific Societies Registration Act. No limited liability.
80G: Allows donors to claim 50% tax deduction on donations. Apply alongside 12A. Both are processed by the Income Tax Department within 1–3 months.
Build Your Section 8 Company the Right Way
Join 5,000+ organisations who trust TaxClue for non-profit registration, 12A/80G filing, FCRA guidance, and ongoing compliance. CA & CS assisted, 100% online.
🔒 Confidential · 4.9★ Google Rating · No Hidden Charges · CA & CS Assisted