Structure Your Social Mission Legally — India’s Premier NGO Format
Get StartedA Section 8 Company is a non-profit organisation incorporated under Section 8 of the Companies Act, 2013 — a company that has charitable, educational, religious, scientific, social welfare, sports promotion, or environmental protection as its primary objective, and whose profits (if any) are applied only toward promoting these objectives rather than distributed as dividends to members.
Section 8 companies enjoy a special licence from the Central Government and are exempt from several provisions of the Companies Act (such as using "Limited" or "Private Limited" in their name — they can simply use their name with appropriate suffix). They enjoy income tax exemption under Section 11/12 of the Income Tax Act (after registration under Section 12A and 80G), making them eligible to receive tax-deductible donations.
Section 8 is the preferred structure for NGOs, foundations, and non-profit entities over a Trust or Society, because it offers greater transparency, better corporate governance, and more credibility with Indian and foreign donors, FCRA authorities, and CSR funders.
Apply for Central Government licence under Section 8 via Form INC-12 — requires detailed MoA/AoA with charitable objectives.
Draft MOA and AOA reflecting charitable objects, non-profit clause, and dissolution clause.
File SPICe+ after licence approval; obtain COI.
Apply for Section 12A and 80G registration with Income Tax Department.
Ideal for: New NGO founders, charitable organisations
✓ Section 8 licence application
✓ MOA + AOA drafting
✓ SPICe+ filing
✓ COI + PAN
✓ 2 DSCs
VITTAX Fee: ₹14,999 | Govt. Fees: MCA fees + stamp duty at actuals (~₹2,000)
Ideal for: Organisations wanting full tax exemption setup
✓ Everything in Incorporation
✓ 12A registration (IT exemption)
✓ 80G registration (donor
deduction)
✓ Udyam + FCRA advisory
✓ Compliance calendar
VITTAX Fee: ₹24,999 | Govt. Fees: MCA fees + IT filing fees at actuals
A: Section 8 Company: governed by MCA, highest transparency, best for large NGOs/foundations seeking CSR/FCRA/institutional funds. Trust: simplest to form, governed by state Trusts Act, ideal for small private charities. Society: governed by Societies Registration Act (state-wise), preferred for member-based organisations like sports clubs or welfare associations.
A: Yes — founders and employees can be paid market-rate salaries. The restriction is on distributing profits as dividends. Reasonable compensation for services rendered is permitted and is a legitimate expense of the organisation.