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New Guide on How To Form NGO in India Legal Strategic Tips

how-to-form-ngo-in-india

how to form ngo in india

How to Form an NGO in India: A Comprehensive Guide
Forming a non-governmental organization (NGO) in India can be an enriching way to contribute to society and make a difference in various fields such as education, healthcare, social welfare, and environmental conservation.

Legal Framework for NGOs in India
In India, NGOs can operate as trusts, societies, or a Section 8 company, each with distinct legal frameworks and registration processes.

Forming a Trust
A trust is formed with a trust deed, which is a legal document that outlines the purpose and management of the NGO. It is registered with the local sub-registrar office where the trust operates.

Establishing a Society
Societies are membership organizations that require a memorandum of association and rules and regulations document. They are registered with the Registrar of Societies under the Societies Registration Act of 1860.

Registering a Section 8 Company
A Section 8 company is registered under the Companies Act, 2013, and it operates similarly to a private limited company but without the profit motive. It requires a memorandum and articles of association.

Steps to Form an NGO
Choose an appropriate name: The name should reflect the NGO’s objectives and be unique.
Draft the governing document: Trust deed for trusts, MoA and rules for societies, and MoA and AoA for Section 8 companies.
Registration: Submit the application along with the necessary documents to the respective authority.
Obtain PAN and TAN: These are tax-related identifications necessary for financial transactions.
Open a Bank Account: A bank account in the name of the NGO is required to manage funds.
Apply for 12A and 80G certificates: These certifications provide tax benefits to the NGO and its donors.
Compliance and Best Practices
After registration, ensure compliance with statutory requirements such as annual filings, audits, and maintaining proper accounts. It is also important to follow best practices in governance and transparency.

Conclusion – How to Form Ngo in India
Forming an NGO in India requires careful planning and adherence to legal formalities. With the right guidance and approach, your NGO can become a vehicle for positive change and development.,
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This article is only published for informational purposes. Please consult your Chartered Accountant or Financial Advisor before making any important financial decisions.

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New Guide on How To Form NGO in India Legal Strategic Tips

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