Overview about 80G/12A Registration & how it is done?

The Non Governmental organization abbreviated as NGO is established for the purpose of serving the non-profitable humatarian purpose. This is in the form of a charitable trust or society under section 8 of the company. So, once such type of business entity is being registered in the formal way then there will be approval from the bunch of the tax exemptions, advantages, and reliefs along with the provision for the tax deductions from the side of the donors. So, for that purpose, the 12A & 80G certifications are compulsory. So, any sort of income that the NGO will be earning for example the service/ production or the donation will be considered as the normal of taxable income. And this is without consideration for the purpose of the income. So, the NGOs having the 12A & 80 G registration will be seeking the upgraded commercial value in comparison to the counterparts that do not have such registrations.

What are privileges that NGOs get?

There are provisions with regard to Governmental funding and this is facilitated only by the Non Governmental organizations

Any 12A registered charitable institutions or NGOs will be getting permission to use tax-exempt income tax for a lifetime.

Having the permission to extend the most valid of the donation receipts, printed in the form of the 80G certification ID which is facilitated for the purpose of tax exemptions. So, NGOs having 80G licensing will be getting more donors

12A registration is mandatory as part of seeking 80G registration

Both 12 A, as well as the 80G registration, can be combined together or distinctly

Private or family trust does not hold eligibility for seeking a 12A certificate

Read Also This – How Can I Get 12A & 80 G Regisration Fast

What perks 12A & 80 G certification provides?

There will be greater capital which will facilitate charitable of activities and this is done through the tax exemptions with regard to the NGO income

The funds as well as the grants will be taken from recognized agencies, Governmental authorities as well as international sources

Just 12A & 80G certified NGOs will be permitted to accept funding from international sources having exemptions available under the Foreign Regulations Act, introduced in the year 2010

Attracting a greater of donors, leading to the expansion in the scope of fulfillment of the NGO goals

Greater operational exposure as well as the status value whenever the registration of NGO is done and seeking the 12A & 80G certificate.

Both 12A & 80G serve as single-time certifications and they hold validity for a lifetim

How to find eligibility for 12A & 80G certifications?

All the NGOs working like the public charitable trust or as per the Company Act introduced in the year 1956, work for the public welfare are eligible for this grant

Donations that are permitted as the 80G will be facilitated for the exemption from taxation

NGO assets should be utilized for purpose of the charity

NGOs are required to maintain their books of account for the expenditures as well as the receipts.

The NGO 80 Certificate could be canceled under the following conditions

When NGO will be running promotion/ advantages or benefits with regard to the religion, community, or caste

When NGO will be receiving funding from political parties or global source

Under conditions when an NGO is working as a commercial and profit-based entity

None of the members of the NGO will be granted permission to make their commercial profit. This is on the basis of the earnings as per the operational activities of the NGO. So, under such conditions, whenever the income is received, it must be separated from the income of the NGO. Also, there should be distinct books of accounts for such type of income

Any of misuse under the 80 G certification will lead to the cancellation of documentation

Paperwork needed for 12A & 80G certifications

1. There is the essential of documentation for 80G/12A registration

2. PAN Card Copy of the registered applicant for NGO

3. NGOs certification of incorporation

4. Trust deed or MOA( memorandum of understanding), AOA( Article of association) of company( under society/ section 8 of company)

5. Comprehensive list of all welfare activities

6. What paperwork needs to be submitted for 12A certifications

7. Form 10A( Duly filled)

8.3 Years of consecutive financial statement( In such circumstances, NGO will be remaining active prior to FY when there will be submission of the application for registration

Essential paperwork for 80G certification

Proof of address of registered office for NGO,/li>

In case of owing registered office, deliver property papers

Under condition when the registered office is rented/ leased, then show property papers

Utility bills for example electricity bills/ telephone or mobile bills

Donors list as well as the Pan Card for address

List of trustee members( Governing authorities( along with contact details

Read Also This – What Is 80g/12a Registration? All About Benefits! Document! Procedure

What are steps for 12A registration process?

Steps for 12A Registration

10A Form filling

The 10A form needs to be filled out online along with furnishing the most relevant of documentation according to the 17A of the Income Tax Act introduced in year 1962. This is according to the jurisdictional principal commissioner or income taxation commissioner

Verifying

The commissioner will be verifying all the details of the application form and will be asking for further of additional paperwork/ information, whatever is needed. So, there are queries that should be responded in the proper manner, otherwise, this would lead to the application rejection

Issuing 12A registration

Once the verification step is completed, then there will be granting 12 A certificate for the whole life of the registered of NGO, when the income tax commissioner is convinced for the purpose as well as the validity

Granting 12 A certificate

So, once all the above steps are completed, your NGO will be legally approved having the lifetime provision for the exemption of the taxes as per section 12A

How to obtain 80G certification process?

The 80G license will be granted according to regulations 11AA, Income tax regulations introduced in the year 1962

Step 1

Filing 10G form

The 10G form will be filled as well as signed in a proper manner online and it will be furnished with relevant of paperwork for verifying the income returns to the principal commissioner, whatever it holding applicability

Step 2

Documents verification

The authorized of official will be conducting the evaluation of the application and may be asking for additional of paperwork in case needed. So, such types of queries should be responded in a proper manner otherwise this would lead to application rejection.

Step 3

Upon satisfaction with regard to the standard, relevancy as well as the authenticity of the application, the NGO will be rendered the lifetime 80G licensing which is granted by the Income-tax authorities.

Step 4

Once you get the certification, your NGO will be holding the legal approval of the lifetime under the provision of the exemption from taxation under section 80G

Read Also This – What Is Checklist & Procedure For 80G/12A Registration

Why Hire 80g/12a Registration Consultants Online?

The process of seeking 80G/12A Registration is complex and this involves several of the compliances. The expert consultants are simplifying the whole process for you and this can be done in extremely simple of steps. The first is filling out the form and seeking a callback request from the team. The next is providing all the details of the paperwork that is needed for registration and making payment. The 80G/12A Registration helps experts leverage their industry knowledge as well as the expertise to assist in navigating through complex of regulations, minimizing risks, as well as optimizing operations for maximizing efficiency as well as profitability.

The team of experts will assist you in registering your NGO in a seamless way without being worried about the paperwork as well as the registration needs and also conduct the incorporation in the most efficient of manner owing to their several years of experience in this field.