NGO stands for non-governmental organization. While there is no universally agreed-upon definition of an NGO, typically it is a voluntary group or institution with a social mission, which operates independently from government.
What is NGO?
A non-governmental organization (NGO) is a non-profit group that functions independently of any government. NGOs, sometimes called civil societies, are organized on community, national and international levels to serve a social or political goal such as humanitarian causes or the environment.
Benefits of NGO
Right to Acquire Assets
Protection from Personal Liability
Corporate Entity. As a corporate body, your organization’s dealings and engagements with the public will improve
Structured Financial Plan
Stability
Documents Required for NGO Registration
Identity Proof (Voter ID/ Aadhar Card, etc)
Passport (mandatory)
Proof of residence ( Electricity/ Telephone/ Mobile Bill or Bank Statement)
Registered Office Address Proof (Rent agreement if the premises is not owned by the company)
Documents claiming the ownership such as Sale Deed or House Tax receipt along with a NOC
At least two shareholders
Information Required for NGO Registration
At least two shareholders
Minimum of two directors
At least one Director should be an Indian resident
There is no minimum capital required
Income tax PAN (mandatory)
Charges for NGO Registration
Annual Compliance for NGO
It can be concluded that legal compliance of NGOs are mandatory. The NGO, such as registered as the Company has to follow the Section 8 Annual Compliance. Section 8 companies have to follow annual compliance. Legislations like the Income Tax Act play a significant role, as it provides deductions to the donors.