Overview
A section 8 company is a company formed to promote objects such as commerce, art, science, sports, education, research, social welfare, religion, charity or protection of the environment. It must apply its income only to those objects and can't pay dividends to its members. Compared with a trust or society, it is regulated by MCA under the Companies Act and is often preferred by donors and institutions for its governance and transparency.
The licence under section 8 is applied for together with incorporation through SPICe+. The memorandum and articles must follow the format for section 8 companies, and the application includes declarations and estimates of income and expenditure. Tax exemptions (such as registration under the income tax law for charitable entities) are separate applications made after incorporation.
Our team drafts the objects and the constitutional documents with you, prepares the incorporation and licence filing and follows it through, and can then help with the income tax registrations the organisation needs.
Who needs it
- Founders of NGOs, foundations and social enterprises that want a company structure
- Organisations that want to receive grants and CSR funds (eligibility depends on the funder and further registrations)
- Trusts or societies considering a move to a more regulated structure
Documents required
What we usually ask for. Our team confirms the exact list for your case before anything is filed.
- PAN, identity and address proof of every director and member
- Proof of the registered office and the owner's no-objection letter
- Digital signature certificates for directors and subscribers
- A clear description of the organisation's objects and planned activities
- Estimates of income and expenditure for the next few years
How it works
- 1
Define the objects
We help you state the objects precisely, since the licence and later tax registrations depend on them.
- 2
Name and documents
We check the name (section 8 names often end with words like Foundation, Association or Council) and draft the memorandum and articles in the prescribed form.
- 3
Incorporation and licence
The application is filed through SPICe+ with the section 8 declarations and the projections.
- 4
Certificate and licence
On approval MCA issues the certificate of incorporation along with the licence.
- 5
Tax registrations
We explain the income tax registrations that charitable organisations apply for after incorporation and can help you file them.
Typical timeline
There is no fixed approval period; MCA's processing and any resubmissions decide it. Income tax registrations for charitable organisations are separate and follow the Income Tax Department's own timelines.
Get a free quote
Answer a few questions and our team will contact you. It takes about two minutes.
Official sources
The government portals and laws this page is based on:
Please note