Section 8 Company
A Section 8 Company is a not-for-profit registered under the Companies Act — built for charitable, educational or social objectives, with profits reinvested rather than distributed. We handle the licence, incorporation and the filings after.
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A company built to reinvest, not distribute
A Section 8 Company is a not-for-profit entity registered under the Companies Act, formed to promote objectives like education, arts, science, social welfare or environmental protection. Unlike other companies, it cannot pay dividends to its members — every rupee of profit is reinvested into its stated objectives.
It can be structured as a private or public company, and needs a licence from the Registrar of Companies before it can incorporate and use the privileges the Section 8 status carries.
- Requires an RoC licence before incorporation
- Cannot distribute profits to members under any circumstance
- Can access tax exemptions once registered under the Income Tax Act
- Members carry limited liability
- Can accept foreign contributions only if FCRA-registered
Founders building a formal non-profit
Formalising social or educational work
Founders running education, health or welfare initiatives who want a proper corporate structure and the credibility that brings with funders.
A vehicle for corporate CSR spend
Organisations set up specifically to receive and deploy CSR funding from corporate donors need a governed, auditable structure.
Staying compliant and donor-ready
Registered non-profits need continuous filings, audits and tax-exemption renewals kept current — we run that as a standing engagement.
Licence to ongoing compliance
RoC licence application
Preparing the objects, projected finances and documentation the licence application requires.
Incorporation filing
Company formation filed with the ROC once the licence is granted.
80G and 12A registration
Applying for the income-tax registrations that make donations to you tax-deductible and your own income exempt.
Statutory registers and audits
Maintaining member and director registers, and coordinating the annual audit.
Annual ROC and tax filings
Financial statements, annual returns and income tax filings tracked and filed — we track your exact deadlines rather than working off memory.
FCRA guidance
Advice on registering under the FCRA before accepting any foreign contribution.
Four steps to an operating non-profit
We prepare the licence application
Objects, projected finances and documentation drafted for the RoC.
We incorporate
Filed with the ROC once the licence comes through.
Tax registrations follow
80G and 12A applications filed so donations and income qualify for exemption.
Ongoing filings run
Audit, ROC and tax compliance handled as a standing engagement.
Questions companies ask first.
Can a Section 8 Company distribute profits to its members?
No, under no circumstance. Every rupee of surplus must be reinvested into the company’s stated charitable or social objectives.
What’s the difference between a Section 8 Company, a Trust and a Society?
All three can pursue non-profit objectives, but a Section 8 Company is registered under the Companies Act with corporate-style governance and ROC filings, while Trusts and Societies follow separate state or trust laws with lighter, differently-structured compliance.
Do Section 8 Companies get tax benefits?
Yes, once registered under Sections 80G and 12A of the Income Tax Act, donors get a deduction on their contribution and the company’s own income can be exempt, subject to meeting the conditions on an ongoing basis.
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