A Section 8 company is the corporate form of a non-profit. It is registered under the Companies Act for charitable, educational, scientific, social or similar objects, and it may not distribute profit to its members — everything earned must go back into the stated purpose. Donors and grant-making bodies generally treat it as more credible than a trust or society because of the governance and disclosure that come with company law.
Who needs this
- NGOs seeking institutional funding or CSR contributions
- Educational, research and healthcare initiatives
- Organisations planning to apply for 12A, 80G or FCRA registration
- Groups that want stronger governance than a trust deed provides
Documents required
This is the usual list. Depending on your state and your specific facts, an authority may ask for more — we tell you at the scope stage rather than midway through.
- PAN and Aadhaar of all proposed directors and subscribers
- Address proofs and photographs
- Registered office proof with a no-objection certificate
- A statement of the proposed objects and the activities planned
- Projected income and expenditure for three years
- Declarations in Form INC-14 and INC-15
How we handle it
1. Objects and viability
The objects clause is drafted carefully — it defines the boundary of everything the organisation may lawfully do, and it is what the licensing authority scrutinises.
2. Licence application
Form INC-12 is filed to obtain the licence under Section 8, together with the draft memorandum, articles, declarations and financial projections.
3. Incorporation
Once the licence is granted, SPICe+ is filed for incorporation.
4. Registrations that follow
We set up the sequence for 12A and 80G, NGO Darpan, and CSR-1 where the organisation intends to receive CSR funds.
Fees and timeline
A Section 8 company cannot pay dividends and its assets cannot be distributed to members on winding up. Directors may draw reasonable remuneration for services actually rendered, and this must be properly documented.
We quote after a short conversation rather than publishing a single number, because the honest answer depends on your state, your turnover and your category. Call +91 98999 00300 or send the details through the enquiry form.
Common questions
How is this different from a trust or society?
A trust is created by deed and a society is registered under state law; both are simpler to form. A Section 8 company is registered nationally under the Companies Act, files audited accounts publicly, and is generally preferred by institutional donors.
Does registration automatically give tax exemption?
No. Section 8 registration and income tax exemption are separate. Exemption requires registration under Section 12A or 12AB, and 80G registration is needed before donors can claim deduction.
How long does the licence take?
The licence stage depends on how thoroughly the objects and projections are drafted, and on queries raised by the department. Clean applications move considerably faster.
This page is general information, not advice on your facts. Rules, rates and due dates change. Government fees are payable to the concerned authority and are separate from our professional fees.