A Section 8 Company is a non-profit organisation registered under Section 8 of the Companies Act 2013 with the Ministry of Corporate Affairs. Unlike a trust (registered under state trust laws) or a society (registered under the Societies Registration Act), a Section 8 Company is governed by MCA — giving it the highest legal credibility, better donor trust, and easier access to CSR funds. It is the preferred structure for NGOs seeking long-term credibility.

To register a Section 8 Company in India, you need a minimum of 2 directors and 2 shareholders (can be the same persons), a registered office address in India, and a clearly defined charitable objective. There is no minimum capital requirement. All profits and income must be applied towards the charitable purpose — no distribution to members is allowed.

Section 8 Company Registration typically takes 30–45 working days from document submission. This includes DSC and DIN processing (3–5 days), name reservation (2–3 days), Section 8 licence approval from Regional Director, MCA (15–20 days), and SPICe+ form approval (5–7 days). Timeline may vary based on MCA processing speed.

12A registration gives a Section 8 Company exemption from paying income tax on income applied for charitable purposes. 80G registration allows donors to claim a tax deduction on donations made to the organisation — making it attractive to individual and corporate donors. Both registrations are applied for with the Income Tax Department after the Section 8 Company is incorporated. Tax Robo handles both as part of the Prime plan.

Yes. Section 8 Companies registered under the Companies Act 2013 are eligible to receive CSR (Corporate Social Responsibility) contributions from Indian companies that are required to spend on CSR activities. This is one of the biggest advantages of Section 8 Company Registration over trust or society registration. CSR funding from corporates is a major source of income for well-structured NGOs.

The Section 8 Company registration process in India involves 3 main steps: (1) Obtain DSC and DIN for all directors, draft MOA and AOA, and apply for name reservation on MCA; (2) Apply for the Section 8 licence from the Regional Director, MCA — this licence permits the company to operate as a non-profit; (3) File the SPICe+ incorporation form with ROC after licence approval and receive the Certificate of Incorporation, CIN, PAN, and TAN. Tax Robo handles all 3 steps.

A Branch Office is an extension of the foreign parent company — it is not a separate legal entity in India. The parent company is directly liable for all Branch Office obligations. An Indian subsidiary (Private Limited Company) is a separate legal entity incorporated in India — it has its own shareholders, directors, and limited liability protection. A subsidiary is preferred for long-term operations; a Branch Office is preferred for initial market entry.

Yes, but with additional compliance. A Section 8 Company must separately register under the Foreign Contribution Regulation Act (FCRA) with the Ministry of Home Affairs to receive foreign donations. FCRA registration is a separate process from Section 8 registration. Tax Robo provides FCRA advisory as part of the Prime plan.

Yes. Statutory audit by a qualified Chartered Accountant is mandatory for all Section 8 Companies every financial year regardless of income or expenditure. The audited income and expenditure statement must be presented at the AGM and filed with ROC through Form AOC-4. Additionally, if the Section 8 Company is registered under 12A, the accounts must be audited before filing ITR-7 with the Income Tax Department.

If a Section 8 Company distributes profits to members, uses income for non-charitable purposes, or violates any conditions of its licence, MCA can revoke the Section 8 licence under Section 8(6) of the Companies Act 2013. The company may then be converted to a regular company or wound up. Directors may face penalties and disqualification. Tax Robo helps you stay fully compliant with all MCA and Income Tax requirements.