What is NGO
The Full Form for NGO is Non-Governmental Organisation and also called as Non-Profitable Organisation. NGOs in India plays a major vital role in for the development and upliftment of the Society. NOGs are formed for the purpose of health or religion or educational upliftment of the public at large.
As per a recent report there are more than 34 Lakh NGO registered legally in India. To be a authorised NGO, it is mandatory to get it registered under the appropriate Law.
TYPES OF NGOs
- Society
- Trust
- Section 25 Company
How to Do NGO Registration in Chennai
As already discussed NGOs are of three types these NGOs can be registered under the respective laws ie., to say a Society need to be registered under Tamil Nadu Societies Registration Act, 1975; Trust need to be registered under Indian Trust Act, 1882; Section 25 Company under The Companies Act, 2013.
Advantages of Registering a NGO
The foremost advantage of NGO is that, it’s exempted from tax
It can acquire land easily under its common seal.
This even enables the donors to get tax exemption for his donations
Even Government is providing certain findings to Registered NGOs.
You can attract group of people with same ideology to work on the common object.
Choose between the Formation of Trust and Society?
Trust: IF you are single person and has some assets, and wants to utilise the same for the benefit of certain group/general public, you can appoint trustees and carry out your object. If you need a centralisation of powers to carry out the charitable activity, its available through Trust. The trustees shall hold the position for lifelong and there will be nothing like election and event the author of the trust cannot change the Trustees on their own. Trusts are irrevocable so, in the case of a dispute/ difference between the trustees or mismanagement on their part, the trust does not dissolve.
Society: If an organised group of people, who joined together for the purpose of achieving common social goal, Society the best one. Further, Society is best suitable for work which involves equal participation from all the members and who wants to have a democratic setup where all the members have a say.
Acts that are governing NGO’s in India
Tamil Nadu Societies Registration Act, 1975
Societies Registration Act, 1860
Indian Trust Act, 1882
The Companies Act, 2013
Foreign Contribution (Regulation) Act, 2010
Income Tax Act, 1961