Shubh Consultancy Services
Start Your Non-Profit Organization – Register a Section 8 Company now with Shubh Consultancy Services
Popular Services
Why Shubh Consultancy Services?
Section 8 Company Registration in India
A Section 8 Company is a non-profit organization formed to promote charitable causes, education, art, science, sports, and social welfare. The income or profits earned by such a company are used solely to achieve its main objectives and are not distributed as dividends to its members.
At Shubh Consultancy Services, we provide comprehensive assistance for Section 8 Company registration in India. Our experienced professionals ensure a smooth, fast, and fully compliant registration process. Connect with us to register your Section 8 Company and start making a meaningful social impact.
Why Shubh Consultancy Services?
What is a Section 8 Company? – As per Companies Act, 2013
According to Section 8 of the Companies Act, 2013, a Section 8 Company is formed with the objective of promoting non-profit activities such as commerce, arts, education, charity, environmental protection, sports, research, and social welfare. These companies reinvest all profits in furthering their objectives and are barred from distributing dividends to their members.
Overview of Section 8 Company Registration
A Section 8 Company is a legally recognized form of Non-Governmental Organization (NGO) in India, operating as a private or public limited company without the intent to generate profit. The main focus is to encourage and advance social and charitable purposes.
Key Highlights:
- Minimum of 2 directors for a private company or 3 for a public company.
- No minimum capital requirement.
- Operates under strict legal and financial regulations.
Why Choose a Section 8 Company?
Section 8 Companies are often the preferred choice for NGOs due to their legal structure and transparency. They are similar to the earlier Section 25 companies under the Companies Act, 1956.
Key Advantages of a Section 8 Company
Tax Benefits
Section 8 Companies can apply for 12AA and 80G registrations under the Income Tax Act to enjoy income tax exemption and offer tax deductions to donors.
No Minimum Capital Needed
There is no requirement for a minimum paid-up capital, offering flexibility in funding and structure.
Separate Legal Identity
Section 8 companies enjoy a distinct legal identity and perpetual succession, enhancing their legal standing and credibility.
High Credibility
Due to their regulated compliance and transparent operations, Section 8 Companies are more trusted by donors, stakeholders, and government bodies.
Flexibility in Naming
Unlike other companies, Section 8 Companies are not required to include “Private Limited” or “Limited” in their name.
Who Can Register a Section 8 Company
- Any Indian citizen or Hindu Undivided Family (HUF)
- Minimum 1 Director required
- The objective must be to promote charitable causes like education, relief to the poor, arts, environment, etc.
Legal Requirements for Incorporation of Section 8 Company
- Directors: Minimum 2 (Private Ltd) or 3 (Public Ltd)
- Members: Max 200 (Private Ltd), no limit for Public Ltd
- Capital: No mandatory minimum
- Naming: No suffix like Pvt. Ltd. or Ltd. required
- Objects: Must be strictly non-profit and declared in MoA and AoA
Documents Required for Section 8 Company Registration
- PAN and Aadhar of all directors/subscribers
- Proof of office address (latest utility bill – electricity, gas, water, etc.)
- Digital Signature Certificate (DSC) for each director
- Consent to act as a director – Form DIR-2
- Memorandum of Association (MOA) and Articles of Association (AOA)
- Declaration by subscribers and directors (in Form INC-9)
- Identity and address proof (Passport, Voter ID, Driving License, etc.) of directors/subscribers
- INC-3 form (if a nominee is involved, such as in a One Person Company setup)
Step-by-Step Section 8 Company Registration Process
Step 1: Obtain DSC (Digital Signature Certificate)
The first step is to obtain a Digital Signature Certificate (DSC) for all proposed directors and subscribers. A DSC is mandatory to file all electronic forms with the Ministry of Corporate Affairs (MCA).
Form Used: DIR-3
Step 2: Apply for DIN (Director Identification Number)
Each director must have a unique Director Identification Number (DIN). This can be obtained by submitting the necessary documents and applying through Form DIR-3.
Step 3: Name Reservation
Select a unique and suitable name for the Section 8 Company. This name must reflect the objectives and should not resemble any existing entity. Apply for name approval using Form INC-1.
Step 4: File Incorporation Application
Once the name is approved, the next step is to file the incorporation documents, including MOA and AOA, with the MCA. All necessary documents are submitted via SPICe+ (Form INC-32) along with MOA and AOA.
Step 5: Apply for License
After incorporation documents are filed, you need to apply for a license to operate as a Section 8 Company. Submit Form INC-12 with supporting documents, including financial statements and declarations.
Step 6: Certificate of Incorporation Issued
If the Registrar of Companies (ROC) is satisfied with the application, the company is granted a Certificate of Incorporation under Form INC-16. This certificate confirms the legal existence of the Section 8 Company.
Funding and Donations for Section 8 Company
Section 8 Companies are not permitted to raise funds through public deposits but can receive:
- Domestic Donations: Unrestricted but must follow anti-money laundering guidelines.
- Foreign Contributions: Only with FCRA approval after 3 years or with prior permission.
- Equity Funding: Permissible via share issuance (premium allowed).
12AA and 80G Registration for Tax Exemption
Section 12AA: Grants income tax exemption for charitable income.
Section 80G: Allows donors to claim tax deductions for their contributions.
Important: Section 80G registration for existing entities is valid till March 2025. Renewal is necessary to continue availing the tax benefits for AY 2025–26.
Why Choose Shubh Consultancy Services?
At Shubh Consultancy Services, we simplify the Section 8 Company registration process through professional guidance, documentation support, and complete compliance handling.
Whether you’re starting a non-profit for education, arts, healthcare, or the environment — our team is here to help.
✅ End-to-end Registration Support ✅ Expert Legal & Tax Advisory
✅ 12AA & 80G Registration ✅ Post-Incorporation Compliance