How to Register a Section 8 Company Online in India
Starting a non-profit organization in India is a noble initiative that requires careful planning and legal compliance. If your objective is to promote charitable activities such as education, art, science, religion, social welfare, or environmental protection, registering a Section 8 Company is a popular and legally recognized way to do it.
This guide explains how to register a Section 8 Company online in India, step by step, along with requirements, benefits, and other practical tips.
What is a Section 8 Company?
A Section 8 Company is a non-profit organization registered under Section 8 of the Companies Act, 2013 in India. The primary objective of such companies is to promote charitable causes without distributing profits to its members.
Key Features of Section 8 Company:
Operates for charitable purposes.
No dividend distribution to members.
Profits are reinvested in the company’s objectives.
It can be formed as a Private Limited or Public Limited company.
Benefits of Registering a Section 8 Company
Before diving into the registration process, it’s important to understand the benefits of registering as a Section 8 Company:
1. Legal Recognition
It is a recognized legal entity that enjoys credibility and trust from donors, government agencies, and stakeholders.
2. Tax Exemptions
Once registered, the company can apply for 80G and 12A certifications to avail income tax exemptions for both donors and the organization.
3. Separate Legal Entity
The company has a distinct legal identity from its members, offering limited liability protection.
4. Ease of Funding
Many CSR (Corporate Social Responsibility) donors prefer donating to Section 8 Companies due to their structured legal status.
Step-by-Step Guide to Register a Section 8 Company Online
The Ministry of Corporate Affairs (MCA) has made the process of registering a Section 8 Company completely online. Here’s how you can do it:
Step 1: Obtain Digital Signature Certificate (DSC)
What is DSC?
A Digital Signature Certificate is required to sign e-forms electronically. All proposed directors must obtain their DSC.
How to Get It?
Apply through certified agencies like eMudhra, Sify, or Ncode.
Submit identity proof (PAN, Aadhaar, etc.) and address proof.
It usually takes 1–2 working days to receive your DSC.
Step 2: Apply for Director Identification Number (DIN)
What is DIN?
DIN is a unique identification number allotted to each director of the company.
How to Apply?
DIN can be applied through the SPICe+ form (discussed later), so a separate DIN application is not needed if you’re incorporating a new company.
Maximum of three directors can apply for DIN through SPICe+.
Step 3: Choose a Name and Get Approval
Naming Guidelines:
The name should be unique and not resemble any existing company or trademark.
It must end with “Foundation,” “Association,” “Society,” “Council,” “Institute,” etc. instead of "Limited" or "Private Limited".
How to Reserve a Name?
Use the RUN (Reserve Unique Name) service on the MCA portal.
You can propose two names with one re-submission allowed.
MCA takes about 2-3 days to approve or reject.
Step 4: File the SPICe+ Form
The SPICe+ form is an integrated web form for company registration. It includes:
Part A:
Name reservation (if not already done via RUN)
Part B:
Includes:
Company incorporation
DIN allotment
PAN & TAN application
GST (optional)
EPFO and ESIC registration
Required Attachments:
MOA (Memorandum of Association) – in Form INC-13
AOA (Articles of Association)
Declaration by directors – Form INC-9
Affidavit by promoters
ID and Address Proof of directors and shareholders
Proof of registered office address (e.g., electricity bill, NOC from owner)
You can fill and submit the SPICe+ form directly on the MCA portal.
Step 5: File Form INC-12 for License
This is a crucial step. Since Section 8 Companies require a special license from the Central Government, you must file Form INC-12.
Attachments Required:
Draft MOA and AOA
Statement of the proposed activities
Estimated annual income and expenditure for the next 3 years
Declaration in Form INC-15 by each promoter
List of promoters and board members
After review, the Registrar of Companies (RoC) will issue the license in Form INC-16 or INC-17.
Step 6: Certificate of Incorporation
Once the SPICe+ and INC-12 forms are approved, the RoC will issue a Certificate of Incorporation (COI), which includes:
CIN (Corporate Identification Number)
PAN and TAN of the company
At this stage, your Section 8 Company is legally registered and can begin operations.
Post-Incorporation Compliance
Registering the company is just the beginning. Here are some important post-registration tasks:
1. Open a Bank Account
Use the Certificate of Incorporation, PAN, and board resolution to open a current account in the company’s name.
2. Apply for 12A and 80G Registration
To enjoy tax exemptions, apply for:
12A (exemption from income tax)
80G (tax deduction to donors)
You need to apply through the Income Tax Department’s online portal.
3. File Annual Returns and Audit Reports
All companies, including Section 8 Companies, must comply with annual filing requirements:
Form AOC-4 (financials)
Form MGT-7 (annual return)
Also, maintain books of accounts, conduct audits, and hold board meetings as per the Companies Act.
Estimated Cost and Timeline
Note: Costs may vary depending on professionals and additional services like 80G/12A application.
Final Thoughts
Registering a Section 8 Company online in India is a structured and relatively straightforward process, especially with the MCA’s integrated SPICe+ form. While it’s possible to complete the process independently, many organizations choose to work with legal professionals to ensure compliance and speed up the process.
If you’re planning to make a long-term social impact, a Section 8 Company provides legal credibility, tax benefits, and operational transparency. With proper planning and documentation, you can launch your non-profit journey in just a few weeks.
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