{"id":2265,"date":"2019-11-13T12:40:20","date_gmt":"2019-11-13T12:40:20","guid":{"rendered":"https:\/\/www.kanakkupillai.com\/new-learn?p=2265"},"modified":"2025-06-10T15:23:33","modified_gmt":"2025-06-10T09:53:33","slug":"section-8-company-registration","status":"publish","type":"post","link":"https:\/\/www.kanakkupillai.com\/learn\/section-8-company-registration\/","title":{"rendered":"Start a Section 8 Company in India: A Step Towards Public Welfare"},"content":{"rendered":"<p>If you have a strong desire to work for public welfare and bring a positive change to society, starting a Section 8 Company in India can be a great option. Section 8 Companies are ideal for those who want to promote charitable causes such as education, health, art, environment, science, or any other social objective without the motive of earning profits. This article explains everything you need to know about <a href=\"https:\/\/www.kanakkupillai.com\/section-8-company\">setting up a Section 8 Company<\/a> in simple language.<\/p>\n<h2>What is a Section 8 Company?<\/h2>\n<p>Section 8 Company is a type of non-profit organization that gets registered under Section 8 of the Companies Act, 2013. Its main objective is to promote charitable activities and not to earn profits. Even if the company earns any income, it has to be used only for promoting its objectives and not for distributing dividends to members.<\/p>\n<h2>Key Features of Section 8 Company<\/h2>\n<ul>\n<li>Formed for charitable or not-for-profit purposes.<\/li>\n<li>No minimum capital requirement.<\/li>\n<li>Profits are reinvested in the organization.<\/li>\n<li>Registered under the Companies Act, 2013.<\/li>\n<li>Enjoys tax benefits under the Income Tax Act.<\/li>\n<\/ul>\n<h2>Who Can Start a Section 8 Company?<\/h2>\n<p>Any individual or group of individuals who wish to work for a social cause can start a Section 8 Company. There should be at least:<\/p>\n<ul>\n<li><strong>Two people<\/strong> for a private limited company format, or<\/li>\n<li><strong>Three people<\/strong> for a public limited company format.<\/li>\n<\/ul>\n<p>These people will act as directors and shareholders of the company.<\/p>\n<h2>Benefits of Registering a Section 8 Company<\/h2>\n<ol>\n<li><strong>Legal Status<\/strong>: It is a separate legal entity and can own property, enter into contracts, and sue or be sued.<\/li>\n<li><strong>Tax Benefits<\/strong>: Section 8 Companies can apply for tax exemptions under sections like <a href=\"https:\/\/www.kanakkupillai.com\/80g-and-12a-registration\">12A and 80G<\/a> of the Income Tax Act.<\/li>\n<li><strong>Credibility<\/strong>: Being registered under the Ministry of Corporate Affairs adds to the trustworthiness of the organization.<\/li>\n<li><strong>No Minimum Capital<\/strong>: You can start the company without needing a large initial investment.<\/li>\n<li><strong>Limited Liability<\/strong>: The liability of members is limited to the amount they have contributed.<\/li>\n<\/ol>\n<h2>Step-by-Step Process to Register a Section 8 Company<\/h2>\n<h3>1. Get Digital Signature Certificate (DSC)<\/h3>\n<p>All proposed directors need to <a href=\"https:\/\/www.kanakkupillai.com\/digital-signature-certificate\">obtain a Digital Signature Certificate<\/a> to sign e-forms online.<\/p>\n<h3>2. Get Director Identification Number (DIN)<\/h3>\n<p>Directors must apply for a DIN from the website of the Ministry of Corporate Affairs (MCA).<\/p>\n<h3>3. Name Reservation<\/h3>\n<p>You need to apply for name approval through the RUN (Reserve Unique Name) service on the MCA portal. The name should reflect the charitable nature of the company.<\/p>\n<h3>4. Apply for Section 8 License<\/h3>\n<p>File Form INC-12 to apply for the license to operate as a Section 8 Company. You will need to attach:<\/p>\n<ul>\n<li>Draft Memorandum of Association (MOA) and Articles of Association (AOA)<\/li>\n<li>Declaration by professionals<\/li>\n<li>Statement of the proposed work<\/li>\n<li>Estimated income and expenditure for the next three years<\/li>\n<\/ul>\n<h3>5. Incorporation Application<\/h3>\n<p>Once the license is granted, you must file Form SPICe+ along with MOA, AOA, and other required documents to complete the incorporation process.<\/p>\n<h2>Documents Required<\/h2>\n<ul>\n<li>PAN and Aadhaar of directors<\/li>\n<li>Address proof (electricity bill or rent agreement)<\/li>\n<li>Passport-size photographs<\/li>\n<li>MOA and AOA<\/li>\n<li>Statement of proposed activities<\/li>\n<li>Estimated annual income and expenditure<\/li>\n<\/ul>\n<h2>Post-Incorporation Compliances<\/h2>\n<ul>\n<li>Open a bank account in the name of the company.<\/li>\n<li>Apply for PAN and TAN.<\/li>\n<li>Maintain proper accounting and file annual returns with the MCA.<\/li>\n<li>Get registration under the Income Tax Act for 12A and 80G benefits.<\/li>\n<\/ul>\n<h2>Conclusion<\/h2>\n<p><a href=\"https:\/\/www.kanakkupillai.com\/section-8-company\">Starting a Section 8 Company<\/a> is one of the most effective ways to work for the betterment of society in a legal and structured manner. It offers legal recognition, tax benefits, and builds trust with donors and the public. If your goal is to serve the nation through charitable initiatives, a Section 8 Company is the right platform to begin with.<\/p>\n<p>Taking this step will not only help in creating a meaningful impact but also inspire others to join hands in building a better tomorrow.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>If you have a strong desire to work for public welfare and bring a positive change to society, starting a Section 8&#8230;<\/p>\n","protected":false},"author":1,"featured_media":33714,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"no","_lmt_disable":"no","footnotes":""},"categories":[6008],"tags":[],"class_list":{"0":"post-2265","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-section-8-company"},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v20.1 (Yoast SEO v27.6) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>How to Start a Section 8 Company in India?<\/title>\n<meta name=\"description\" content=\"Learn how to start a Section 8 Company in India to promote public welfare. 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