Section 8 Company Registration
India's Top Business Consulting Company
Active Clients
CA / CS
Rating
Income Tax returns
Overview of Section 8 Company Registration
Advantages of Section 8 Company Registration
Involving a Non-benefit Organization does not show that the Company cannot make sure about a benefit or commission. Various Tax exemptions are additionally there for such organizations. Indeed, even the donors giving under section 8 of companies act 2013 have the alternative to guarantee the Tax Exemption against these donations. It just suggests that the Company can acquire income, but the advertisers are not to profit from those benefits. A few advantages of them are as given underneath:
Separate Legal Identity
Section 8 Company certification has a different lawful element and it takes an unmistakable legitimate character from its legs and arms.
No Least Capital
There is no base capital essential for a Section 8 Company Registration inside India. No Stamp Duty
No Stamp Duty
No stamp obligation is required on the fuse of Section 8 Company in India as it is confronting the arrangement of the portion of stamp obligation on the MoA and AoA of the private restricted Business.
Credibility
Section 8 Company license has more dependability than some other type of magnanimous/beneficent association.
Exclusion To The Donators
Under Section 80G, the avoidance is granted to the contributors if section 8 company is registered under section 80G.
Tax reductions
There are many assessments paid under the Section 8 Company Registration in India.
Section 8 Company Registration Procedure
In regard to improving the way toward consolidating Section 8 section companies on 7th June 2019 requirement of the prerequisite of earlier recording INC-12 has been administered vide the Companies (Incorporation) Sixth Amendment Rules,2019.
Name Application/Reservation in the SPICe+ Form
Apply for name accessibility through SPICe+ structure office. It is important for incorporate Section 8 Companies to have words like Electoral Trust, Federation, Council, Association, Chambers, Foundation, Forum, Confederation, in its name. Candidates can give two names one after another and can perform only one resubmission in the SPICe+ form.
The readiness of MOA and AOA
Update of affiliation functions as a sanction of the organization and frees the domain from the organization's activities. While an article about the relationship of the organization tells about the inner administration of the organization. Use Form INC-13 to document MOA of a Section 8 Company, additionally, there is no endorsed design referenced for AOA of a Section 8 Company. Each subscriber needs to sign the notice and article of the association who will likewise need to give his name, address, depiction, and occupation, assuming any, within the sight of a base one observer who will confirm the mark and will happen to sign and include his name, address, portrayal, and occupation.
Outline- Absolute Number of Board Meetings and its Plenum
According to the exemption warning read with segment 173(1) and 174(1), Section 8 company registration must have at any rate one gathering inside six schedule months, and the plenum for its executive gatherings is eight chiefs or 1/fourth of its complete fixation, whichever is less, successively. Nonetheless, participation ought to have at least two individuals.
Issuance of 80G Certificate
80G Certificate is given to a non-benefit association or non-administrative associations (NGO), an 'altruistic' trust or a Section 8 Company by the Income Tax Department'. The prime advantage is that the donor benefits by giving to such an NGO that he gets charge exclusion on half of his foundation as the giver is allowed to reduce their gifts from their Gross Total Income. The point behind the 80G certificate is to elevate more givers to charitable funds to such associations.
Issuance of 12A Registration
Altogether, utilizing 12A NGO registration, Trusts and NGOs and other section 8 non profit company get an exemption from giving personal duty. NGOs are primarily organizations that are made for beneficent and non-benefit activities. Notwithstanding, they do have incomes and would be needed to pay the expense according to standard rates if not registered under section 12A of the Income Tax Act.
Eligibility Criteria to apply for Section 8 Company Registration
- An individual or HUF or restricted Company is prepared to begin a Section- 8 company registration inside India.
- At least two people who will act as a shareholder or director of the Company ought to satisfy all the states of the ngo Section 8 Company registration.
- Any of the individuals from the Company can't attract any pay any type of money or kind.
- At any rate, one of the directors will be a resident of India.
- No benefit ought to be shared among the individuals and director of the Association directly or indirectly.
- The expectation ought to be the headway of sports, social government assistance, the advancement of science and workmanship, training and budgetary help to bring down lower-income societies.
- The Company should have an unmistakable vision and framework plan for the following three years.
- The overflow made must be utilized for arriving at the principal purpose of formation of section 8 company exclusively.
- Yearly recording of records, reports and the profits of the Association with the ROC is needed to meet the compliance required.
- Property Management: The responsibility of the property lies for the sake of the Company, and it must be sold according to the principles referenced under the Companies Act. (Ex: With the assent of the Board of Directors as a goal).
Required Documents for Sec 8 Company Registration
- Voter ID
- PAN Card of all the Members
- Phone Bill/Electricity Bill
- Most recent Bank Statement of all the Members and the Company
- Aadhaar Card of all the Members
- Passport size photograph of all the members
- Copy of the Rental agreement
- Passport
- Driving license
Frequently Asked Questions
Get free Consultation for your company
