Section 8 Company is the most credible structure for Non-Profit Organizations in India. It allows NGOs to receive CSR funds, foreign donations (FCRA), and government grants while operating with corporate-style governance. Here is the 2026 guide.
What is Section 8 Company?
Section 8 Company is a non-profit organization registered under Section 8 of the Companies Act, 2013. Formed for promoting commerce, art, science, education, religion, charity, sports, environment protection, or any other useful object.
Section 8 vs Trust vs Society
- Section 8 Company: Best for FCRA and CSR funding, recognized by MCA, lifetime validity
- Trust: Simpler, governed by Indian Trust Act, easier to set up
- Society: Governed by Societies Act, regional registration
- Section 8 has highest credibility for receiving institutional donations
Key Features
- No minimum capital requirement
- No dividend distribution to members
- All profits used for charitable objectives
- Limited liability for members
- Income tax exemption (with 12A registration)
- Donors get 80G deduction
- Eligible for FCRA after 3 years
- Eligible for CSR funds from companies
- Government grants accessible
Eligibility Criteria
- Minimum 2 directors (at least 1 Indian resident)
- Minimum 2 shareholders (can be same as directors)
- No minimum capital
- Charitable objective clearly defined
- Profits cannot be distributed to members
- Members cannot receive remuneration beyond reimbursement
Documents Required
- PAN cards of all directors and members
- Aadhaar cards of all directors and members
- Passport size photos
- Address proof of directors (passport/voter ID)
- Registered office address proof (rent agreement + utility bill)
- NOC from owner if rented
- MOA and AOA drafts (we prepare)
- Project report or feasibility study
- Estimated annual income and expenditure
- List of activities to be undertaken
Registration Process
Step 1: Apply for DSC and DIN
Get Digital Signature and Director ID for all directors.
Step 2: Reserve Company Name
File RUN (Reserve Unique Name) with name suggestions ending with Foundation, Forum, Federation, Association, etc.
Step 3: Apply for Section 8 License
File Form INC-12 with MOA, AOA, project report, income/expenditure estimates.
Step 4: Get License from MCA
Regional Director issues Section 8 license within 30 days.
Step 5: File Incorporation Forms
File SPICe+ form for actual incorporation along with PAN, TAN application.
Step 6: Receive Incorporation Certificate
MCA issues Certificate of Incorporation along with PAN and TAN.
Post-Registration Requirements
- Apply for 12A and 80G registration with Income Tax Department
- Open bank account in company name
- Apply for FCRA after 3 years of operation (for foreign donations)
- Register with NITI Aayog Darpan portal (for government schemes)
- Annual ROC filings (AOC-4, MGT-7)
- Annual income tax return (Form ITR-7)
- Audit by Chartered Accountant mandatory
- Maintain proper books of accounts
Government Fees
Government fees range from Rs 5,000 to Rs 10,000 (no stamp duty in most states). Total cost including professional fees: Rs 8,999 onwards.
Time Required
Section 8 Company registration typically takes 30-45 days from document submission. Faster than Trust/Society registration with much higher credibility.
Why Choose My Insta Biz?
- Expert CA & CS team
- 100% online process
- Fast turnaround
- Pan India service
- Transparent pricing
- 24×7 WhatsApp support
Get started today — Apply for Section 8 Company here or call +91 94148 83452.