Overview
A Section 8 Company is a company formed for promoting commerce, art, science, sports, education, research, social welfare, religion, charity, protection of environment or any other useful objective.
Unlike other company forms, Section 8 companies cannot distribute dividends and must apply all profits towards their stated objectives.
Key Benefits
- No minimum capital requirement
- Income tax exemptions available under specific sections
- Greater credibility with donors and government agencies
- Limited liability for members
- Can receive CSR funds from corporates
Documents Required
- PAN and Aadhaar of all directors
- Detailed objects and purpose statement
- Registered office proof
- Estimated revenue and expenditure for 3 years
- Draft MOA and AOA
Process
- Purpose and objectives discussion
- Name availability check
- License application (INC-12) with MCA
- SPICe+ incorporation filing
- Certificate of Incorporation
- 12A and 80G registration guidance