Society registration - form a non-profit the right way

Society registration is the process of forming a non-profit organisation under the Societies Registration Act, 1860. A society is a group of individuals who come together for a common charitable, social, or educational purpose. Registration gives the society a legal identity, allowing it to own property, enter contracts, receive grants, and operate independently of its members.

A minimum of 7 members is required for society registration. There is no maximum limit on the number of members. All members must be of sound mind and above 18 years of age. At least some members of the governing body should be residents of the state where the society is registered.

A trust is created by a trust deed and registered under the Indian Trusts Act, 1888 (or specific state trust acts). It requires a minimum of 2 trustees and is managed by trustees. A society is registered under the Societies Registration Act, 1860, requires 7+ members, and is managed by a governing body / executive committee. Societies have more democratic governance and are easier to amend. Trusts are more suitable for family-based or single-family charitable activities.

The Memorandum of Society (MoS) is the founding document of a society. It contains: the name of the society, the objects for which it is formed, the names, addresses, and occupations of the governing body members, the state of operation, and the address of the registered office. The MoS is filed with the Registrar and is the primary document on which society registration is based.

Bye-laws are the internal rules and regulations governing the management and administration of the society. They cover: membership rules, admission and termination procedures, governing body structure and elections, meeting procedures, financial management and audit, amendment procedures, and dissolution process. Bye-laws are signed by all founding members and filed with the Registrar.

Society registration typically takes 15-30 days, depending on the state. The process includes memorandum and bye-laws drafting (3-5 days), founding meeting (1 day), document preparation (3-5 days), and Registrar verification (7-15 days). Some states have faster online processes, while others require physical filing.

Government registration fees are state-dependent and typically range from ₹50 to ₹1,000. Our professional fee starts at ₹2,999 for Basic registration (memorandum, bye-laws, filing). The Standard package at ₹4,999 includes PAN, bank account setup, and 80G guidance. The Premium package at ₹7,999 includes 12A/12AB, 80G, and ongoing compliance support.

You need: Memorandum of Society, Bye-laws, Aadhaar of all 7+ members, passport-size photos of all members, address proof of registered office, electricity/water bill, NOC from landlord (if rented), list of governing body members with designations, consent letters from all members, and a resolution declaring the objects of the society.

No, a registered society is a non-profit organisation. It cannot distribute profits or dividends to its members. Any surplus income must be utilised for the society's stated objects. However, the society can generate income through its activities and invest surplus funds for future projects, subject to bye-law provisions.

80G registration under Section 80G of the Income Tax Act allows donors to claim tax deductions on donations made to the society. Donors can claim 50% or 100% deduction depending on the society's 80G category. This significantly increases donations as donors get tax benefits. Registration is obtained from the Income Tax Department.

12A/12AB registration exempts the society from paying income tax on its surplus income (income over expenses). Without 12A registration, the society would pay 30% tax on surplus. This registration is essential for any society receiving donations or grants, as it preserves funds for charitable activities.

FCRA (Foreign Contribution Regulation Act) registration allows a society to receive foreign contributions - donations, grants, or other payments from foreign sources. Without FCRA registration, accepting foreign money is illegal. FCRA registration requires 3 years of operation, a clean compliance record, and specific utilisation of foreign funds for stated objects.

Yes, a society can be dissolved by: (1) A resolution passed by a 3/5 majority of the general body, (2) Court order on application by the Registrar or a creditor, (3) Voluntary dissolution by members. Upon dissolution, remaining assets must be transferred to another society with similar objects, as stated in the bye-laws.

After registration, a society must: hold an AGM within 6 months of the financial year end, file an annual return with the Registrar of Societies, file income tax returns (ITR-7), maintain proper accounts and get them audited, and comply with 80G/12A/FCRA requirements if registered under those sections. Our Premium package includes quarterly compliance reminders and annual return filing support.

Yes, a society can convert to a Section 8 Company under the Companies Act, 2013. This is done through an application to the Registrar of Companies (MCA) and requires: a special resolution by the society's general body, approval from the relevant government authorities, transfer of assets and liabilities, and filing of Form INC-35. Section 8 Companies have higher credibility and are preferred for large-scale operations and international funding.