Section 8 companies are those that are operated solely for the benefit of society without any intention to make income or profit. Section-8 company is also known as an NGO under the companies act, 2013, the process to Section 8 company registration is provided under the act. A section-8 company can either be registered as a private limited or public limited. If it is registered as a private limited, then at least 2 people must be required. If it is registered to be a public restricted, then at most 7 people will be required. The director will be required to be present. An NGO can be registered with no minimum capital under the Companies Act. However, the company must comply with certain compliances every year after registration. These compliances include auditor appointments, ITR filing and KYC. The main restriction for section-8 companies is that the company can’t share its income or profit with other members. They can only use the income to achieve the company’s objective. The company is allowed to engage in social activities such as the development of society, protection and preservation of the earth and its environment, and other living organisms. This includes those that are related to art, commerce, literature, and sports. Without the goal of making a profit.
Section 8 Company Registration Documents Shareholder/Director
- PAN card
- Photo of passport size
- Identification proof (Passport/Driving Licence/Voter ID)
- Address proof (Bank statement/Electricity bill/Mobile bill/Telephone bill), anyone but should be latest
Registered office Address Proof
- If the property is owned, a sale deed or receipt for House tax or a rent agreement.
- Any utility bill (Electricity bill/Gas Bill/Mobile bill/Telephone billing) should not exceed 2 months old.
- No Certification of Ownership (NOC) from the property owner.
Register Section 8 Company
- Name ApplicationBefore filing the registration application, the applicant for name reservation must be filed with the registrar. The Section 8 company They are exempt from the use of the word “private limited”/”limited”. Instead, they can use words such as “foundation”, association, “organization”, etc. Once the name has been reserved, it is only valid for 20 days.
- DIN & DSCThe directors of the company are given the DIN. Previously, a person could not register a company without having DIN. However, it is now possible to apply for the DIN along with the registration application. DSC is a digital signature. It is used to digitally sign the application. Without signing the DSC, no company can register.
- Document drafting:After approval of the name, documents will be drafted by directors and signed by them. These documents include MOA, AOA and INC-14, INC-15 and DIR-2. They contain all information about the company as well as a declaration made by the professional.
- Final form completed and submitted final form must be completed and filed. All required documents should be attached to the form. The registrar will approve the application and issue a certificate granting permission to social welfare activities. Father George Rutler is the author of this content.