Faqs

1. What is a ngo?

An ngo is a non government organization registered either under India Trust Act 1882 as a Trust or under Indian Societies Act 1860 as a Society or under Indian Companies 1956 Act of Section 25 as a non profit company.

2.  What is the benefit of ngo?

The ngos can get donations from foreign or from government or corporates to continue their social work for the upliftment of the society.

3.  How ngos can apply for grant?

The NGO can apply for 12A and 80g registration just after its registration.  By getting itself registered under 12A, the tax of ngo is exempted i.e. the ngo is not supposed to pay any tax. The benefit of 80g registration is that the donor gets a tax rebate of 50%  while donating any amount to that ngo.

4.  What is the scope for foreign funding?

These social welfare organizations can apply for FCRA prior permission within 1 year if any foreign donor is willing to donate them any amount or they can apply for FCRA permanent registration after 3 years.

5. What is 35ac?

There is a special provision for businessmen. If they donate to those NGOs  having 35ac registration, they get tax rebate of 100%.  An NGO is applicable for 35ac registration after 3 years.  A project report is filed in the ministry under a particular section for 35ac. For more details, please visit the website 35ac

6. When can an NGO be blacklisted?

If the ngo is not filing its compliances regularly or it is utilizing the funds for personal interests, then in that case the registration of the ngo can be cancelled.