{"id":10383,"date":"2020-06-08T18:24:43","date_gmt":"2020-06-08T12:54:43","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=10383"},"modified":"2020-10-01T16:56:18","modified_gmt":"2020-10-01T11:26:18","slug":"full-guide-ngo-registration-types-and-benefits","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/full-guide-ngo-registration-types-and-benefits\/","title":{"rendered":"Guide on NGO Registration: Types and Benefits"},"content":{"rendered":"\n<p class=\"has-drop-cap\">The principal object that you would require is NGO registration if you are looking onward to start an NGO in India specifically. Additionally, you would also request information about the diverse types of NGOs which can get recognized in India. Once you have decided, find out whether it matched with your necessities or don&#8217;t. If indeed, get the <a href=\"https:\/\/corpbiz.io\/ngo-registration\"><strong>NGO registration<\/strong><\/a> done through, and then you can continue with your plan. In this blog, you will explore diverse types of NGOs and what are their benefits as well.<strong>&nbsp;<\/strong><\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Page Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/corpbiz.io\/learning\/full-guide-ngo-registration-types-and-benefits\/#Governing_Laws_in_India_for_NGO_Registration\" >Governing Laws in India for NGO Registration<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/corpbiz.io\/learning\/full-guide-ngo-registration-types-and-benefits\/#Objectives_attainable_in_India_for_NGO_Registration\" >Objectives attainable in India for NGO Registration<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/corpbiz.io\/learning\/full-guide-ngo-registration-types-and-benefits\/#Outlook_on_Non-Governmental_Organization_Registration_in_India\" >Outlook on Non-Governmental Organization Registration in\nIndia<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/corpbiz.io\/learning\/full-guide-ngo-registration-types-and-benefits\/#How_should_we_go_about_it_quickly\" >How should we go about it quickly?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/corpbiz.io\/learning\/full-guide-ngo-registration-types-and-benefits\/#Conclusion\" >Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Governing_Laws_in_India_for_NGO_Registration\"><\/span>Governing Laws in India for NGO Registration<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong>There are three possible methods by which you can get listed NGOs in India:<\/strong><\/p>\n\n\n\n<ul><li>Society registration<\/li><li><a href=\"https:\/\/corpbiz.io\/trust-registration\"><strong>Trust registration<\/strong><\/a><\/li><li>Section 8 Company registration<\/li><\/ul>\n\n\n\n<p><strong>The Governing Laws in India for NGO Registration are as follows:-<\/strong><\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter\"><img decoding=\"async\" width=\"576\" height=\"367\" src=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-46.png\" alt=\"Laws in India for NGO Registration\" class=\"wp-image-10384\" srcset=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-46.png 576w, https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-46-300x191.png 300w\" sizes=\"(max-width: 576px) 100vw, 576px\" \/><\/figure><\/div>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Objectives_attainable_in_India_for_NGO_Registration\"><\/span>Objectives attainable in India for NGO Registration<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The ultimate goal is to opt for NGO registration if you desire\nto serve society and help the people of the country.&nbsp;<\/p>\n\n\n\n<p><strong>Several reasons for NGO registration in India are as follows:-<\/strong><\/p>\n\n\n\n<ul><li><strong>Self-governing\norganization<\/strong>: These are the\nbodies that aim towards the needy people and the betterment of society by\nhelping the deprived ones.<\/li><\/ul>\n\n\n\n<ul><li><strong>Opportunity for\ngrowth<\/strong>: The definitive goal of NGO\nis to help disadvantaged people and provide them with chances for growth and\nprospect.<\/li><\/ul>\n\n\n\n<ul><li><strong>Several Benefits<\/strong>: You can go ahead with NGO registration; once you have distinct list of NGOs. There are several benefits that NGOs appreciate and will be discussed onward.<\/li><\/ul>\n\n\n\n<p class=\"text-left\"><b>Read our article<\/b>:<mark style=\"background: #fffd03 !important\"><a href=\"https:\/\/corpbiz.io\/learning\/online-ngo-registration-and-legal-procedure\/\">NGO Registration \u2013 Step by Step Procedure<\/a><\/mark><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Outlook_on_Non-Governmental_Organization_Registration_in_India\"><\/span>Outlook on Non-Governmental Organization Registration in\nIndia<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong>1. Trust Registration<\/strong>:-The registration for trust can be completed via the Indian Trust Act, 1882<sup><a href=\"https:\/\/indiacode.nic.in\/handle\/123456789\/2327?view_type=browse&amp;sam_handle=123456789\/1362\"><strong>[1]<\/strong><\/a><\/sup>. These are usually formed when the land or property is involved in public charitable trusts. Typically, the usage of faith is for the relief of medical aid, education, poverty, etc.<\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter\"><img decoding=\"async\" width=\"496\" height=\"531\" src=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-47.png\" alt=\"registration for trust \" class=\"wp-image-10385\" srcset=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-47.png 496w, https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-47-280x300.png 280w\" sizes=\"(max-width: 496px) 100vw, 496px\" \/><\/figure><\/div>\n\n\n\n<p><strong>Benefits of\nTrust Registration<\/strong><\/p>\n\n\n\n<ul><li>Trusts can get <strong>land from the government<\/strong> Agencies<\/li><li>In a maximum of\nthe states, there&#8217;s no law that governs Public Charitable Trusts in India.\nHowever, many states such as Madhya Pradesh, Maharashtra, Gujarat, and\nRajasthan do have <strong>Public Trusts Act.<\/strong><\/li><li>An NGO registered\nunder the Trusts Act can practice the word <strong>&#8220;Govt.\nRegd.&#8221; or &#8216;Regd.&#8217;<\/strong><\/li><li>They get quite a\nfew <strong>tax benefits<\/strong> such as Income Tax,\netc<\/li><li><strong>80G certificate advantage<\/strong> under the Income Tax Act<\/li><li>Trust can get <strong>White capital for Building construction<\/strong>.<\/li><li>Benefits in <strong>Entertainment Tax <\/strong>and Service Tax, etc<\/li><\/ul>\n\n\n\n<p><strong>2. Society Registration:<\/strong>&nbsp;An additional way in which you can register NGO is in the system of society. As stated in Section 30 of the <strong>Society Registration Act of 1860<\/strong>, the individual comes together to promote scientific purpose, charitable purpose, and various other objectives to form a society.<\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter\"><img decoding=\"async\" width=\"512\" height=\"462\" src=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-48.png\" alt=\"Society Registration\" class=\"wp-image-10386\" srcset=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-48.png 512w, https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-48-300x271.png 300w\" sizes=\"(max-width: 512px) 100vw, 512px\" \/><\/figure><\/div>\n\n\n\n<p><strong>Benefits under Society Registration<\/strong>&nbsp;<\/p>\n\n\n\n<p>NGOs registering under&nbsp;<strong>the Society Registration Act, 1860<\/strong>&nbsp;can avail the following benefits:-<\/p>\n\n\n\n<ul><li><strong>Exemption from income tax&nbsp;<\/strong><\/li><\/ul>\n\n\n\n<p><a href=\"https:\/\/corpbiz.io\/society-registration\"><strong>Society registration<\/strong><\/a> is a kind of NGO registration where the firm is <strong>saved from paying income taxes<\/strong>, and Income Tax exemption is something everybody desperately seeks for.<\/p>\n\n\n\n<ul><li><strong>Separate legal identity&nbsp;<\/strong><\/li><\/ul>\n\n\n\n<p>NGO is a separate legal entity in the eyes of the law, which is\none of the significant advantages that come with society registration. <strong>Each member of this society is accountable\nfor their actions <\/strong>only. The members of such NGOs are responsible only for\nthe activity undertaken by them and not by other members because of the\ndistinction given.<\/p>\n\n\n\n<ul><li><strong>Limited Liability&nbsp;<\/strong><\/li><\/ul>\n\n\n\n<p>Society NGO is a separate legal entity from its members. Thus\nthe liability of the members is limited to their share only. That means, in no\ncircumstances, the members&#8217; assets cannot be utilized to pay the firm&#8217;s\nliabilities. Since society NGOs are a separate legal identity, members&#8217;\nresponsibility is <strong>limited to their share<\/strong>\nonly.<\/p>\n\n\n\n<ul><li><strong>Legal protection&nbsp;<\/strong><\/li><\/ul>\n\n\n\n<p> You will be provided with legal protection, once you have registered your society under the Society Registration Act, 1860. It indicates that <strong>no other company or people can use your company name, your assets, <\/strong>etc. Anybody would be subject to punishment if found liable for any violation.&nbsp;<\/p>\n\n\n\n<p><strong>3. Section 8 Company Registration:<\/strong>&nbsp;The third method to register an NGO is by Section 8 of the <strong>Indian Companies Act, 2013<\/strong>. These companies are recognized to protect trade, religion, charity, etc. Nevertheless, the earnings of this company are used by the company for <strong>promotion work, not used by the shareholders<\/strong>. You can register the company as a private limited company (needs two directors) and a public limited company (requires three directors).<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img decoding=\"async\" width=\"570\" height=\"416\" src=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-49.png\" alt=\"Section 8 Company Registration\" class=\"wp-image-10387\" srcset=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-49.png 570w, https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-49-300x219.png 300w\" sizes=\"(max-width: 570px) 100vw, 570px\" \/><\/figure>\n\n\n\n<p><strong>Benefits of Section 8 company registration<\/strong><\/p>\n\n\n\n<p>NGOs registering themselves under <a href=\"https:\/\/corpbiz.io\/section-8-company-registration\"><strong>Section 8 company registration<\/strong><\/a> can gain various advantages from it.<\/p>\n\n\n\n<p><strong>Those are as follows:-<\/strong><\/p>\n\n\n\n<ul><li><strong>No minimum capital requirement<\/strong><\/li><\/ul>\n\n\n\n<p>There is no minimum capital requirement for creating NGO as per\nsection 8 company. Unlike other existences such as public limited company,\nsection 8 companies <strong>have no prescribed\nlimit for any minimum capital<\/strong> necessities. However, the capital structure\nof the firm can be modified at any stage, which may be <strong>needed for the growth<\/strong> of the business.<\/p>\n\n\n\n<ul><li><strong>Separate legal entity<\/strong><\/li><\/ul>\n\n\n\n<p>Comparable to the trust, a Section 8 company also gets the\nspecial recognition of a &#8216;separate legal entity.&#8217; Like Private Limited and\nother limited companies, a Section 8 company, too, continues its <strong>own identity and possesses its separate\nlegal<\/strong> entity from its members. Furthermore, Section 8 Company has continued\nsurvival.<\/p>\n\n\n\n<ul><li><strong>Tax exemption<\/strong><\/li><\/ul>\n\n\n\n<p>One of the advantages that every NGO receives is the benefit of\ntax. Aside from the stakeholders, the NGOs&#8217; contributors can also <strong>receive tax exemption for the donation<\/strong>\ngiven to the NGO. It&#8217;s one of the most significant advantages that NGOs\nregistering under Section 8 Companies are presented with, especially those subscribing\nto section 8 companies. Even the <strong>contributors\ncan claim the tax<\/strong> exemption upon the donation made to this pattern of NGO.<\/p>\n\n\n\n<ul><li><strong>No stamp duty payable<\/strong><\/li><\/ul>\n\n\n\n<p>NGOs are exempted from stamp duty formalities, which is unless\napplicable for the registration process. Such NGOs are also <strong>exempted from the payment of stamp duty<\/strong>\nappropriate for registration as fitting for record comparable to the one\napplicable in public limited companies or private limited.<\/p>\n\n\n\n<ul><li><strong>No title needed<\/strong><\/li><\/ul>\n\n\n\n<p>There is no title demand. Moreover, section 8 companies do not\nneed to use a suffix to its name, which the public limited or private limited\ncompany has to apply. Unlike in the case of the private limited and public\nlimited company, where names and titles are obligations, a section 8 company\ndoesn&#8217;t require to use a suffix next to its title.<\/p>\n\n\n\n<ul><li><strong>Better reliability as compared to others<\/strong><\/li><\/ul>\n\n\n\n<p>There is better reliability. If it is compared with any other\nNGO structure, a <strong>Section 8 company is\nmore reliable<\/strong>. The central government does not administer section 8\ncompany, and hence the MOA (Memorandum of Association) and AOA (Article of\nAssociation) remain blessed. It is thus making its legal structure more\ndependable as correlated to trust or society NGOs.<\/p>\n\n\n\n<ul><li><strong>Security of ownership or title transfer<\/strong><\/li><\/ul>\n\n\n\n<p>Secure transfer of ownership is something that Section 8 Company appreciates. As per Section 8 of the Income Tax Act of 1961, people can transfer the <strong>ownership of both moveable and immobile assets<\/strong> externally with no restrictions. Apart from the above-described advantages, there are many other advantages of section 8 company registrations, such as exemptions from income tax act, attending general meetings under a short notice period, which is within 14 days rather than 21 days, and many more.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_should_we_go_about_it_quickly\"><\/span>How should we go about it quickly?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Registering an NGO in India is quick, easy, and can be done\nonline within three effortless measures:<\/p>\n\n\n\n<ul><li><strong>Determination of Right Entity&nbsp;\u2013<\/strong> <a href=\"https:\/\/corpbiz.io\/\"><strong>CorpBiz<\/strong><\/a> will address all your queries about entity determination and guide you to choose the most relevant item.<\/li><li><strong>Documentation with Online Guidance&nbsp;<\/strong>\u2013 CorpBiz will help you get the entire process of filing and registration accomplished.<\/li><li><strong>Listing out of Entity<\/strong>&nbsp;\u2013 CorpBiz will register the NGO and control all the formalities (Trust Act, Society Registrations Act, or the Companies Act, Conditional on the entity determined).<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Forming an NGO in India is an uncomplicated process if you have complete documents and other papers available as per the rules. The data mentioned above gives the details of different types of NGO registration in India and the various advantages of cultivating for the same. Therefore, the paperwork specification may vary based on different types of NGOs that you want to express your registration.<\/p>\n\n\n\n<p class=\"text-left\"><b>Read our article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/setting-off-excess-expenditure-against-income-of-next-year-by-trust-and-ngo\/\">Setting off Excess Expenditure against Income of next year by Trust and NGO\n<\/a><\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The principal object that you would require is NGO registration if you are looking onward to start an NGO in India specifically. Additionally, you would also request information about the diverse types of NGOs which can get recognized in India. Once you have decided, find out whether it matched with your necessities or don&#8217;t. If [&hellip;]<\/p>\n","protected":false},"author":20,"featured_media":10389,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[3],"tags":[8],"acf":{"service_id":"10"},"authorName":"Archita Bhattacharjee","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/03\/WhatsApp-Image-2020-03-18-at-11.26.19-AM-1.jpeg","authorDescription":"Archita Bhattacharjee is working as Legal Analyst (Team Lead, Research &amp; Development) at Corpbiz and has proving experience about 2 years as Corporate Legal Researcher in law firms as well as Rajya Sabha and authors in diverse publications. She has refined her skills by representing India in Paris, France and the University of Leiden over implications of International Humanitarian and Criminal Law being certified member of many Legal Centers.","postViews":10252,"readingTime":5,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/10383"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/20"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=10383"}],"version-history":[{"count":15,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/10383\/revisions"}],"predecessor-version":[{"id":17249,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/10383\/revisions\/17249"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media\/10389"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=10383"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=10383"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=10383"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}