Section 8 company registration can be obtained under the provisions of the Companies Act, 2013. The main aims of Section 8 companies are of promoting arts, commerce, etc. Section 8 company registration as it gives numerous benefits like taxation benefits, no stamp duty for section 8 company registration, and provides more credibility.
Documents for Section 8 Company Registration
Following documents are required for Section 8 Company registration:.
- PAN Card of the Directors and Shareholders
- Aadhaar Card
- Latest Bank Statement
- Telephone Bill or Electricity Bill
- Voter ID or Passport or Driving license
- Passport size photograph of all the directors and shareholders
- Copy of the Rental agreement, in case the property is on rent for the registered office
Benefits of Section 8 Company Registration
There are certain advantages of registering an NGO or NPO under Section 8 of Companies Act 2013. Some of them are as follows:
No minimum capital: There is no minimum capital requirement for a Section 8 Company Registration in India.
Tax Benefits: There are numerous tax benefits under the Section 8 Company Registration in India.
No Stamp Duty: No stamp duty is imposed on the incorporation of Section 8 Company in India as it is against the provision of the payment of stamp duty on the MoA and AoA of the private limited company.
Separate Legal Identity: Section 8 Company registration has a separate legal entity. It acquires a distinct legal identity from its members.
Credibility: Section 8 Company has more credibility than any other form of a charitable organisation. It is under the strict provision of the Companies Act which requires a mandatory audit every year.
Exemption to the donators: Under Section 80G, the exemption is granted to the donators if the section 8 company is registered under section 80G.
