How it works

Step 1

Purchase a plan for expert assistance

Step 2

Provide documents to our experts

Step 3

The Certificate will reach your doorstep

Overview

Various institutions are exempted to pay taxes on their revenues because they work for a greater social cause and not merely for the sake of profits, such as the Prime Minister’s National Relief Fund. Several other funds and schemes initiated by the Government of India come under this purview. Clause 23(C) of section 10 of the Income Tax Act provides full tax exemption on income received by various nonprofit universities, educational institutions, hospitals or any other medical institution. Finango takes away all the stress from the hands of the applicants and gets the work done for them in a very cost-effective and efficient way. With Finango there are absolutely no worries and the process is transparent and fast.

Benefits

• Enjoy exemption from paying tax.
• Secure national and international funding easily.
• Enhance your credibility.

Eligibility

All nonprofit universities, educational institutions, hospitals or any other medical institution.

Validity Period

This registration shall be valid for 3 years as a provisional registration, after this nonprofit institutions will have to apply for final registration which will be valid for 5 years.

Processing Time?

The overall process may take upto 3 Months depending upon the processing done by the Income Tax Department.

Documents Required :

• Documental evidence of Creation/ Incorporation in case of a:
• Trust– Trust Deed
• Society– Registration Certificate and Memorandum of Association (MOA) of the society
• Section 8 Company – Certificate of Incorporation and MOA and AOA of the company. 
• PAN card of the organization
•  Details of members (Aadhaar Card/PAN, Mail Id, Mobile No.)
•  Annual accounts for the preceding three financial years
•  Where the income of the entity includes profits and gains of business :
  • Annual accounts for the preceding three financial years
  • Audit report u/s 44AB for the preceding three financial years 
• Updated Accounts till the date of application.
• Registration under FCRA, if any.
• NGO Darpan Registration Id, if any.
•  Documents evidencing adoption or modification of the objects, if any;
•  Documents evidencing changes in members, if any;
• Notes on the activities of the applicant trust or institution
• Copy of order of rejection of application for grant of registration under section 10(23C), as the case may be, if any.
• Digital signature of the authorized person (Don’t have DSC, No worries avail our complimentary services to get your DSC)

Note: – All the documents have to be self-certified

Note:- All the documents have to be self-certified

Frequently Asked Questions

• Who is eligible to take registration under section 10(23C)?

  All Government and non-government universities, educational institutions, hospitals and medical institutions working for non-profit objectives, if they want to claim an exemption under the Income Tax Act.

• Do I have to be physically present during the process?

  It’s completely online so; it doesn’t require your physical presence at any stage.

• In which form an application has to be filed for fresh registration of NGO for registering as per the procedure specified under section 12AB?

  Application has to be filed in Form 10A on income tax portal.

• What is provisional registration under section 12AB?

  In case of fresh registration, initially the department grants only provisional registration which is valid for 3 Years. Only after 3 years final registration can be obtained.

• What is the time limit for passing the order by the department granting the exemption in case of fresh registration?

  In the case of fresh registration, the department has to grant registration within 1 month from the end of the month in which the registration application is uploaded.

• Whether trust/institution is entitled for exemption under section 10(23C) in the first year of operation?

  No, trust/institution is not entitled for exemption in the first year of operation.

• Whether trust/institution can modify its objective?

  Yes, trust/institution can modify its objective but then it has to re-apply under section 10(23C) for registration.

• Can we take benefits of 12A and 10(23C) simultaneously?

  Can we take benefits of 12A and 10(23C) simultaneously?

• What is the validity of the new 10(23C) registration?

  Validity of the new 10(23C) registration is 5 years.