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NGO Registration
NGO Registration
What is an NGO?
NGOs are not required to register under the law, but there are several benefits of
registration. Registered NGOs are recognized by the government and can receive
financial assistance from the government, international organisations, and other
donors. Registered NGOs can also open bank accounts in the name of the
organisation and can receive donations from Indian and foreign donors. Additionally,
registered NGOs are eligible for various tax exemptions and benefits.
There are two types of NGO registration in India – Trust and Society. The third type
of registration is a Section 8 Company registration, which is a hybrid of Trust and
Society.
1. Trust Registration – A trust is a legal agreement between the trustees and the
beneficiaries. The trust registration is governed by the Indian Trusts Act, 1882.
The trust is managed by the trustees, who are responsible for managing the
assets of the trust and carrying out the objectives of the trust.
2. Society Registration – A society is a group of people who come together for a
common purpose. The society registration is governed by the Societies
Registration Act, 1860. The society is managed by a governing body, which is
responsible for managing the affairs of the society and carrying out the
objectives of the society.
3. Section 8 Company Registration – A Section 8 Company is a company
registered under the Companies Act, 2013, which is formed for promoting
charitable purposes like education, art, science, or any other purpose that is
beneficial to society. This type of registration requires a minimum of two
directors and two shareholders.