Section 8 Company Incorporation

Section 8 Company Incorporation

A Section 8 Company is a non-profit company incorporated under the Companies Act, 2013 for charitable, educational, religious, or social welfare purposes. It enjoys all the benefits of a Private Limited Company while being eligible for significant tax exemptions and government recognition.

About Section 8 Companies

Unlike a Trust or Society, a Section 8 Company is regulated by the Ministry of Corporate Affairs (MCA), making it the most credible and transparent non-profit structure in India. It does not distribute profits to members and applies its income solely toward charitable objectives.

Key Benefits

• Recognized as a non-profit by the Central Government — highest credibility.
• No minimum capital requirement to incorporate.
• Eligible for Section 12A and 80G income tax exemptions.
• More credibility than societies or trusts due to MCA regulation and annual audits.
• Can receive foreign contributions under FCRA.
• Eligible for CSR funding from corporates.
• Perpetual existence — unaffected by changes in membership.

Eligibility

• Minimum 2 directors and 2 members required.
• The company must have charitable, scientific, educational, or social welfare objectives.
• Profits cannot be distributed to members — must be reinvested in the objectives.

Documents Required

• PAN Card and Aadhaar Card of all directors.
• Address proof of all directors.
• Proof of registered office address.
• Memorandum of Association (MoA) and Articles of Association (AoA).
• Declaration by directors in Form INC-14 and INC-15.
• Passport-size photographs of all directors.

Registration Process

1. Obtain Digital Signature Certificates (DSC) and DIN for all directors.
2. File Form INC-12 to apply for a license from the Central Government.
3. On approval of license, file SPICe+ for full incorporation.
4. Receive Certificate of Incorporation and Section 8 License from ROC.
5. Apply for PAN, TAN, GST, and 12A/80G registrations.

Timeline

Approximately 20–30 working days including Central Government license approval.

Why Choose Tax Precision?

• Expert drafting of MoA and AoA for Section 8 compliance.
• Seamless Central Government license application handling.
• Guidance on 12A, 80G, and FCRA post-incorporation.
• Transparent pricing with complete package.
• Dedicated relationship manager for NGO clients.