Section 8 Company Registration in India

What is a section 8 company registration in India?
If any company desires to promote commerce, art, science, sports, education, research, social welfare, religion, charity, protection of the environment or any such other object then it can register itself under Section 8 of the Companies Act 2013. This kind of company is called a Section 8 Company.

The company’s registration under section 8 will be treated as Limited Companies without adding Limited to its name.

Procedure For Section 8 Company Registration
Step 1: Get DSC (Digital Signature Certificate) and DIN (Director Identification Number: DIR 3 form) for the directors of the company which is allotted by the MCA (Ministry of Corporate Affairs) by providing information through a simple form on Legal Documents.
Step 2: Approval of Name of the Company (Form no. INC 1): Preceding the approval of the name of the company, a company’s name must be earmarked with the MCA so that, no one else can use it and it doesn’t match with existing companies which will be handled by us.
Step 3: A license (form INC 12,13,15) for sec 8 Company in India must be attained before the incorporation of the company. Legal Documents can support you in getting the license with no hassle.
Step 4: Registration i.e. incorporation of the company through form number INC 7,8,10,9,22, DIR 12,2 at MCA with documents with the registrar of companies is done after above-revealed procedures.

Documents required for section 8 company registration?
The documents required for the Company Registration in India as defined in the companies act 1956, shall relate to all or any of the following: –

• Identity Proof of Directors (Aadhar Card, PAN Card etc.)
• Address Proof of Directors (Driving Licence, Passport, Electricity Bill or Bank Statement)
• (DSC) Digital Signature Certificate, if any
• (DIN) Director Identification Number, if any
• (MOA) Memorandum of Association
• (AOA) Articles of Association

Current Account Opening
A current account is a deposit account in nature that helps professionals and businessmen to run their businesses. Businessmen can gain various benefits by Online Current Accounts such as:

• Unlimited transactions
• Customized features
• Online banking services

Online current account reduces the hassle and offers the benefit to complete the banking process anytime and anywhere.

Are you ready to grow your business?

• Open your Current Account

Apply for Current Account
Eligibility For Section 8 Company Under Companies Act 2013
The objects of the Manufacturer Company in India as outlined within the companies act 1956, shall relate to all or any of the following: –

• A company must be employed and endorse commerce, art, science, sports, education,

Research and religion, social welfare, charity, and environment protection, etc.

• A company proposes to use its profits, if any, or other income in promoting its objects
• A company Intends to forbid the payment of any dividend to its members
• A company registered beneath this section shall not alter the provisions of its memorandum or articles except with the previous approval of the Central Government.
• An organization registered under this section may convert itself into a company of any other kind only after obeying such conditions as may be prescribed by the act.

Documents Required For Manufacturer Company Registration

• Identity proof of the directors (Aadhar Card and PAN Card)
• Address proof
• Passport size photographs of directors
• Copy of rent agreement, if any
• Electricity Bill
• Property Papers, if any

Benefits Of Section 8 Company Regulation

• Registration beneath the Companies Act with the registrar of companies makes the company a legal entity.
• To manage the profits and losses of the company Government guidelines make the company trustworthy.
• The company is accomplished by the board of directors through MOA and AOA and not by other bodies.
• Section 8 Company Tax benefits: They are non-profit organizations which is why they are exempted from some provisions of the income tax. They are also given several other deductions and other tax benefits. They gain benefits beneath section 80G of the Income Tax Act, 1961. They are also required to pay less stamp duty as compared to other establishments.
• Section 8 Company in India could be registered with names that contain words like Association, Federation and Foundation, Society, Council, Club, Charities, Institute, Academy, and Organization.
• Apply for PAN, TAN, and Bank Account.

Who Need Product
If a corporation fails to fulfill the necessities beneath this act then the central government may cancel the license issued under the companies act. And if, the affairs of the company are directed deceptively or in the violative manner of the objects of the company or prejudicial to public interest then the license can be withdrawn by the central government.

The company may be terminated beneath this act if, the license is canceled, if the central government reflects it is in the public interest or joint with another company registered beneath this section, a realistic opportunity of being overheard must be given to the company being combined.

If there are any assets remaining after clearance of arrears and liabilities of the company in question, they may be moved to another company registered beneath this section and having parallel objects.

If a company makes any default in obeying with any of the necessities put down in this section, the company shall, without prejudice to any other action under the provisions of this section, be punishable with a fine which shall not be less than ten lakh rupees but which may encompass to one crore rupees and the directors and every officer of the company who is in default shall be punishable with imprisonment for a time period which may be extended to three years or with fine which shall not be less than twenty-five thousand rupees but which may encompass to twenty-five lakh rupees, or with both.

Section 8 Registration Of A Company -Faq’s

1. What is section 8 Company in India?
   If any company desires to promote commerce, art, science, sports, education, research, social welfare, religion, charity, protection of the environment or any such other object then it can register itself under Section 8 of the Companies Act 2013. This kind of company is called a Section 8 Company.
2. How many directors are vital to form a section 8 company?
   A minimum of two directors are required to form a company.
3. Is it an offline process?
   NO, it is not an offline process, it can be done online under Section 8 company registration.
4. Is it necessary to have a non-profit motive to register a section 8 company in India?
   Yes, it is mandatory to have a non-profit motive.
5. Where can I get the application form for Section 8?
   You may get the section 8 application form on the Website of Legal Docs.
6. Is it necessary to have a director from India?
   Yes, it is necessary to have at least one Indian resident director of the company.
7. What is the minimum required capital
   No minimum capital is mandatory to establish a section 8 company.