Process of Registration by Taxhub
Upload the basic Documents
Choose your Requisite plan and pay the Fees
Taxhub apply for DSC and file RUN for name approval
Taxhub file Requisite Form with MOA and AOA
Get your Section 8 Company Registration Docket
Minimum Statutory Requirements
- For Incorporation of the Section 8 Company minimum two directors are required and from that two at least one should be Indian Resident
- Section 8 Company must have minimum two shareholders and that shareholders can be an Individual, Body Corporate or a combination of both.
- The name of a Section 8 Company must end with the words like Foundation, forum, association, federation, chambers, council, electoral trust. Etc.
What is Section 8 Company?
A company registered under companies act 2013 or previous applicable act and has in objects to
- Sports Promote commerce, art, science, education, research, social welfare, religion, charity, protection of environment or any such other object;
- Intends to apply its profits, if any, or other income in promoting its objective, intends to prohibit the payment of any dividend to its members is called section 8 companies under companies act 2013.
Section 8 Company is also a company that is registered for charitable or non-profit purposes. However, this Company is similar to a Trust or Society; an exception is that a Section 8 Company is registered under the “Ministry of Corporate Affairs (MCA)” of the Central Government while the Societies and Trusts are registered under the regulations of the State Government.
Section 8 Company Registration Process in India
The process of incorporation of a section 8 company is similar to that of any other company registration in India with an additional requirement of a license from the central government under section 8 of the companies act, 2013.Registration of a Section 8 company in India is complete an online process. Recently the MCA has replaced the earlier SPICe form with a new web form called SPICe+ (SPICe Plus). Hence, Incorporating a Section 8 Company is even easier.
- Acquire the Digital Signature Certificate
- Application for DIN of Director
- Application for approval of Section 8Company Name
- Application for Incorporation of Section 8Company through E Form.
- Issue of Certificate of Incorporation.
Basic Documents Required
- Copy of Pan Card of Directors (Mandatory)
- Copy of any one i.e Aadhar Card, Voter ID, Passport and Driving License (As Identity Proof)
- Copy of any one i.e. Bank Statement/Electricity/Telephone (As Residence Proof)
- Directors Passport Size Colour Photograph (Scan Copy)
If Property is owned by any Director or shareholder
- Copy of Sale Deed of the Property
- Copy of any one utility bill i.e. Electricity/Telephone/Gas/Water/Mobile
- NOC from the Owner (Taxhub will provide a draft copy)
Shareholder:-
- Copy of Rent Agreement
- Copy of any one utility bill i.e. Electricity/Telephone/Gas/Water/Mobile
- NOC from the landlord (Taxhub will provide a draft copy)
14,999/-
All Inclusive Fees
| Two DSC, Two DIN |
| Authorized Capital of ₹100,000/- |
| Draft & Execute MOA/AOA |
| Certificate of Incorporation Share Certificate |
| Business Commencement |
| Obtain Firm PAN/TAN |
| Assistance in opening of Bank Account |
| GST Registration |
* In case of incorporation in Madhya Pradesh, an additional stamp duty of Rs.7500 will be applicable. In case of incorporation in Punjab, an additional stamp duty of Rs.10,000 will be applicable. In case of Kerala, an additional stamp duty of Rs.3000 will be applicable.
24,999/-
All Inclusive Fees
| Two DSC, Two DIN |
| Authorized Capital of ₹100,000/- |
| Draft & Execute MOA/AOA |
| Certificate of Incorporation Share Certificate |
| Business Commencement |
| Obtain Firm PAN/TAN |
| Assistance in opening of Bank Account |
| GST Registration |
| MSME (Aadhar Udyog Registration) |
| Book Keeping for 1 Year |
| Income Tax Return Filing |
| ROC Annual Compliances |
* In case of incorporation in Madhya Pradesh, an additional stamp duty of Rs.7550 will be applicable. In case of incorporation in Punjab, an additional stamp duty of Rs.15,025 will be applicable. In case of Kerala, an additional stamp duty of Rs.3025 will be applicable.
34,999/-
All Inclusive Fees
| Two DSC, Two DIN |
| Authorized Capital of ₹100,000/- |
| Draft & Execute MOA/AOA |
| Certificate of Incorporation Share Certificate |
| Business Commencement |
| Obtain Firm PAN/TAN |
| Assistance in opening of Bank Account |
| GST Registration |
| MSME (Aadhar Udyog Registration) |
| Book Keeping for 1 Year |
| Income Tax Return Filing |
| ROC Annual Compliances |
| One Year GST Return Filing (GSTR 1 & GSTR 3B) |
* In case of incorporation in Madhya Pradesh, an additional stamp duty of Rs.7500 will be applicable. In case of incorporation in Punjab, an additional stamp duty of Rs.10,000 will be applicable. In case of Kerala, an additional stamp duty of Rs.3000 will be applicable.
Benefits of Section 8 Company Registration in India
Section 8 Company is a non-profit organization that is why they are exempted from some provisions of the income tax. They are also given numerous other deductions and other tax benefits. They avail benefits under section 80G of the Income Tax Act, 1961. They also are required to pay less stamp duty as compared to other organizations.
No minimum capital is required to form a Section 8 Company. A Section 8 Company can be registered with a mere sum of Rs. 10,000 as total Authorized Share capital.
Perpetual Succession means the company shall continue to exist even if the member dies or ceases, etc. Changes within the management does not bring any affect onto the identity of the company, the Company will remain the same with same privileges, immunities, estates and possessions. A company has ‘perpetual succession’, that is continued or uninterrupted existence until it is legally windup.
Section 8 Company gives the advantage of limited liability to entrepreneurs whereby the liability of the member will be limited to the unpaid subscription money. In other words, the liability of the members of a company is limited only to the extent of the face value of shares taken up by them. Therefore, where a company is limited by shares, the liability of the members on a winding-up is limited to the amount unpaid on their shares
These types of companies are licensed by the central government under section 8 of the companies act 2013 and these companies work for society and receive a donation from other general public for the welfare work.
People generally prefer to conduct charitable activities by forming Section 8 companies instead of regular NGOs and associations. This is because they have limited liability, so their personal assets will not be used in paying debts of the company.
Shares of a company are movable property and thus can be transferred like any other property. A public company can freely transfer its shares, but there are some restrictions.
The goods and services tax (GST) is a value-added tax levied on most goods and services sold for domestic consumption. The GST is paid by consumers, but it is remitted.
