Section 8 Company Registration (2).pptx
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In India, a Section 8 Company is a legal structure created under the Companies Act, 2013 (previously the Companies Act, 1956). It is a type of non-profit organization that is formed for promoting charitable, scientific, artistic, research, or social welfare purposes. Section 8 companies are essentially nonprofit organizations and are regulated by the Ministry of Corporate Affairs.
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The basic difference between Private limited and Section 8 in terms of their basic definitions, minimum requirements of shareholders, directors and capital for each of these forms of entities are detailed below.Difference between a Section 8 Company and a Private Limited Company?
Difference between a Section 8 Company and a Private Limited Company?Manish Anil Gupta & Co. - A CA firm in Delhi, India
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The basic difference between Private limited and Section 8 in terms of their basic definitions, minimum requirements of shareholders, directors and capital for each of these forms of entities are detailed below.Difference between a Section 8 Company and a Private Limited Company?
Difference between a Section 8 Company and a Private Limited Company?Manish Anil Gupta & Co. - A CA firm in Delhi, India
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Section 8 Company Registration (2).pptx
- 1. Section 8 Company Registration In India a Section 8 Company Registration is a legal structure created under the Companies Act, 2013 (previously the Companies Act, 1956). It is a type of non-profit organization that is formed for promoting charitable, scientific, artistic, research, or social welfare purposes. Section 8 companies are essentially nonprofit organizations and are regulated by the Ministry of Corporate Affairs.
- 2. Section 8 Company Registration Benefits Nonprofit Status: A Section 8 Company is established for charitable or nonprofit purposes, allowing it to focus on social welfare and not profit distribution to its members. Limited Liability: Members of a Section 8 Company have limited liability. Their personal assets are protected in case the company faces financial difficulties. Exemption from Stamp Duty: Section 8 Companies may be eligible for stamp duty exemptions or concessions in certain states. Tax Benefits: These companies can enjoy tax exemptions under Section 12AA and 80G of the Income Tax Act, making donations to them tax-deductible for donors. Credibility and Trust: Registered Section 8 Companies often have more credibility, trust, and recognition when seeking grants or donations from government bodies, corporations, and philanthropic organizations.