NGO Registration (Trust / Society / Section 8)

Trusts are simplest (2 trustees, no AGM). Societies need 7+ members and democratic governance. Section 8 Companies have corporate governance, are more credible to institutional donors, and are best for FCRA. All three can get 12A and 80G.

Yes. NGOs can generate revenue through services, training, publications, and projects — as long as the surplus is applied to the organisation's charitable objectives and not distributed to members or trustees.

12A is an income tax exemption under the Income Tax Act that allows a trust, society, or Section 8 company to not pay income tax on its surplus. Without 12A, the NGO pays tax at the standard corporate rate.

80G is a certification that allows donors to claim 50% deduction on their taxable income for donations made to the NGO. This significantly increases your fundraising appeal with individual and corporate donors.

An NGO can apply for FCRA (Foreign Contribution Regulation Act) registration after 3 years of existence and demonstrated charitable activities. Prior permission can be obtained before 3 years for specific foreign grants.