section 8 company registration.pptx

A Section 8 Company, also known as a Section 8 Company under the Companies Act, 2013 (earlier under the Companies Act, 1956), is a type of non-profit organization in India. These companies are established for promoting charitable objectives such as education, art, science, sports, research, social welfare, religion, charity, or the protection of the environment. The primary purpose of a Section 8 Company is to promote a cause rather than make profits. Here are the key features and steps for Section 8 Company registration:

1. section 8 company registration A Section 8 Company registration in India is a type of non-profit organization or company established under Section 8 of the Companies Act, 2013 (previously Section 25 of the Companies Act, 1956). These companies are formed for promoting charitable, scientific, cultural, or social objectives. Unlike other companies, Section 8 companies do not distribute profits among their members; instead, any income generated is used to promote their stated objectives.

2. section 8 company registration Legal Recognition: Section 8 Companies have legal recognition and are governed by the Companies Act, 2013. This provides a structured and credible legal framework for their operations. Limited Liability: Members or shareholders of a Section 8 Company have limited liability. This means their personal assets are not at risk in case of financial liabilities incurred by the company. Tax Exemptions: Section 8 Companies are eligible for various tax exemptions under the Income Tax Act, 1961. They can enjoy tax benefits on their income and donations received. Perpetual Existence: A Section 8 Company enjoys perpetual existence, meaning it continues to exist even if its members change or if there is a change in leadership. Access to Grants and Funding: These companies are more likely to receive grants and donations from government bodies, corporates, and other organizations since they are recognized for their charitable or non-profit purposes.