NON-PROFIT ORGANISATION/SECTION 8 COMPANY
In India, there are three ways to register a non-profit organization-
- by creation of Trust
- by creating a society under the Registrar Of Society
- by way of registering a Company under the Section 8 of Companies Act, 2013.
Section 8 Company has in its objects the promotion of commerce, art, science, sports, education, research, social welfare, religion, charity, protection of environment or any such other object.
The company registered under this section shall enjoy all the privileges and be subject to all the obligations of limited Companies. Section 8 Company is the best option for an Organization to work as NPO.it is pertinent to note that a Company registered without an intention to derive any kind of dividend or profit can function as Section 8 Company and they have to use all income and profits only for the promotion of the company’s objective.
BENEFITS OF SECTION 8 COMPANY:
- Various tax Benefits are allowed to Section 8 Company
- No stamp duty is to be paid on the MOA & AOA of Section 8 Company
- A Partnership firm may also become its member
- Ministry has provided Certain Exemptions under Companies Act
- Not such minimum capital requirement.
- Not require to use a suffix next to its name unlike other Private or public Companies
PROCEDURE FOR INCORPORATION:
1. Application of DSC
2. Submit form Spice+ with MCA
- Spice+ Part A for Name reservation
- Spice+ Part B for
- DIN(Director’s Identification Number) allotment
- Mandatory issue of PAN
- Mandatory issue of TAN
- Mandatory issue of EPFO registration
- Mandatory issue of ESIC registration
- Mandatory Opening of Bank Account for the Company and
- Allotment of GSTIN (if so applied for)
3. File declaration for commencement of business
DOCUMENTS REQUIRED FOR REGISTRATION:
- Proof of Address and Identity of the subscribers
- Copy of the utility bills (not older than two months)
- Proof of identity & residential address of subscribers
- Signed copy of MOA & AOA
- Declaration by Professional under section 14
- Declaration by first subscriber(s) and director(s)under Section 15
- An estimate of the future annual income and expenditure for Next Three Years
THE J&P ADVANTAGE:
Our CS Team at J&P handles all kinds of incorporation with utmost due diligence. From documents compiling to final incorporation our team works with utmost care leaving no potential loopholes.Our team adheres to timelines and responds to office action on timely basis thereby creating a comprehensive approach.