12A & 80G Registration in India: Complete 2026 Step-by-Step Process

Overview of 12A and 80G Registration

Running a non-profit organisation in India comes with a big challenge : Money. NGOs depend almost entirely on donations, grants, and contributions from kind-hearted individuals and companies to carry out their work. But without the right legal registrations, a large chunk of that money goes toward paying income tax, leaving less for the actual cause. That is where 12A and 80G registrations under the Income Tax Act, 1961, come in. These two registrations are the backbone of any NGO's tax and financial strategy in India.

12A registration allows the NGO itself to be exempt from paying income tax on the money it receives. 80G registration, on the other hand, gives donors a reason to contribute more generously, because their donations become eligible for a tax deduction. Together, these two registrations build a system where both the NGO and its donors benefit, making it easier to raise funds, gain credibility, and keep working toward social good. If you are setting up or running an NGO, trust, society, or Section 8 Company in India and you have not yet applied for these registrations, this guide will walk you through everything you need to know : in plain, simple language.

What Is 12A Registration?

12A registration is a one-time tax exemption status granted by the Income Tax Department to NGOs, trusts, societies, and Section 8 Companies. Once registered under Section 12A of the Income Tax Act, 1961, the organisation does not have to pay income tax on the money it earns, as long as that money is used for charitable or religious purposes.

Without 12A registration, every rupee that comes into your NGO as a donation or grant is treated as taxable income, just like business income. This can wipe out a huge portion of the funds meant for social work.

Key Points About 12A Registration

• It applies to the NGO or organisation itself, not the donors.
• It exempts the organisation from paying income tax on income received through donations, grants, and contributions.
• It is mandatory before applying for 80G registration.
• From April 1, 2021, new registrations are first given as provisional registration for 3 years, after which the organisation must apply for final registration valid for 5 years.

All previously registered NGOs had to re-register under the new provisions of Section 12AB (as amended by Finance Act, 2020).

What Is 80G Registration?

80G registration is a certification issued by the Income Tax Department that allows donors to claim a tax deduction on donations they make to a registered NGO. It does not directly benefit the NGO's own taxes : its purpose is to attract more donors by giving them a financial incentive.

When a donor gives money to an NGO with 80G registration, they can deduct that donation amount (fully or partially, depending on the category) from their total taxable income. This reduces the tax they have to pay.

Key Points About 80G Registration

• It benefits the donors, not the organisation directly.
• It is optional for NGOs but highly recommended to attract more contributions.
• It can only be obtained after 12A registration is secured.
• Like 12A, it now comes with a limited validity period and must be renewed.

The donor must receive a proper receipt mentioning the NGO's PAN, donation date, and registration details to claim the deduction.

Key Differences Between 12A and 80G

Who Needs 12A and 80G Registration?

These registrations are meant for non-profit organisations working for the benefit of society. The following types of entities need these registrations:

• Charitable Trusts : organisations set up to help the poor, support education, healthcare, environment, etc.
• Registered Societies : groups formed under the Societies Registration Act for social, charitable, or cultural purposes.
• Section 8 Companies : companies incorporated under the Companies Act, 2013, specifically for charitable objectives.
• Religious Trusts : but only public religious trusts, not private ones.
• Non-Governmental Organisations (NGOs) of all types engaged in nonprofit work.

Which Sectors and Fields Benefit Most?

12A and 80G registrations are relevant across a wide range of charitable sectors, including:

Essentially, any organisation that is not run for profit and works for the general public good can benefit from these registrations.

Eligibility for 12A Registration

To qualify for 12A registration, your organisation must meet the following conditions:

• Must be a non-profit entity : It should be set up as a trust, society, or Section 8 Company.
• Charitable or religious purpose : Activities must fall under "charitable purposes" as defined under Section 2(15) of the Income Tax Act, which includes relief of the poor, education, yoga, medical relief, environment conservation, and advancement of any other object of general public utility.
• Registered under applicable law : Trusts should be registered under the Trust Act, societies under the Societies Registration Act, and companies under the Companies Act.
• No private benefit : The income or assets of the organisation must not be used for the personal benefit of any individual or group.
• Proper books of accounts : The organisation must maintain clear and correct financial records.
• Regular ITR filing : Even if exempt from tax, the organisation must file its income tax return every year under Section 139.
• No political activity : The organisation must not support any political party or engage in electoral activities.
• Public religious trusts only : Private religious trusts do not qualify for this registration.

Eligibility for 80G Registration

For 80G registration, the following conditions must be met, in addition to having a valid 12A registration:

• Non-profit nature : The organisation must be a public charitable or religious institution.
• Income used only for charity : Rules and bylaws must clearly restrict the use of income and assets to charitable activities only.
• No benefit to a specific group : The organisation must not work exclusively for a particular religious community or caste.
• Registered under 12A : The NGO must have a valid 12A certificate before applying for 80G.
• Regular accounts maintained : Proper financial records must be kept at all times.
• Activities for general public utility : Such activities must not involve business or trade unless it directly advances the charitable objective, and commercial receipts must not exceed 20% of total receipts.

Documents Required for 12A Registration

The following documents must be submitted along with Form 10A :

• Self-certified copy of the Trust Deed, Memorandum of Association (MOA), or foundation document
• Self-certified copy of the registration certificate from the relevant authority (Registrar of Societies, Registrar of Companies, or Registrar of Public Trusts)
• Self-certified copy of existing 12A/12AA/12AB registration order, if applicable
• FCRA registration certificate, if the organisation is registered under the Foreign Contribution Regulation Act
• Copies of annual accounts (balance sheet, income and expenditure) for the last 3 financial years, if the organisation has been in existence for more than a year
• Audit report under Section 44AB for the last 3 years, if business income is included
• Self-certified copy of any modifications made to the objectives of the organisation
• Notes describing the activities of the organisation
• DARPAN registration details, if registered on Niti Aayog's NGO Darpan portal

Documents Required for 80G Registration

In addition to the documents listed above, the following are needed for 80G :

• Trust deed or MOA
• Registration certificate of the NGO
• Certificate of no objection from the property owner where the NGO operates, if applicable
• PAN card of the organisation
• Utility bills (electricity bill, water bill, or property tax receipt) as address proof
• Names, addresses, and PAN details of donors
• Books of accounts for the last 3 years along with income tax returns
• List of welfare activities being carried out and a 3-year progress report
• Latest activity and financial documents
• Form 10G (older provision; now replaced by Form 10A for combined application)

12a and 80g Registration Process Online

Here is a step-by-step to avail the 12A and 80G Registration:

Step-by-Step Process for 12A Registration

Step 1 : Form Your NGO

First, decide the legal structure of your organisation such as a trust, society, or Section 8 Company. After deciding, you must officially register it with the appropriate government authority so that your NGO becomes a legal entity.

Step 2 : Get a PAN Card

After registration, apply for a PAN (Permanent Account Number) for your organisation from the Income Tax Department. This is necessary for all tax-related processes.

Step 3 : Register on DARPAN

Next, register your NGO on the Niti Aayog DARPAN portal and obtain a unique DARPAN registration number. This is often required for government-related compliance and grants.

Step 4 : Collect All Required Documents

Before applying, collect all necessary documents such as your registration certificate, trust deed or MOA, PAN card, financial statements, and details of your NGO’s activities.

Step 5 : Log In to the Income Tax E-Filing Portal

Go to the Income Tax e-filing website and log in using your organisation’s PAN credentials to access the registration forms.

Step 6 : Fill Form 10A

Open Form 10A on the portal and carefully fill in details like your NGO’s objectives, activities, and organisational structure. Choose the correct assessment year while filling the form.

Step 7 : Upload Details and Documents

Enter all required information and upload the necessary documents in the form. Make sure all details are correct and match your official records.

Step 8 : Submit the Application

Submit the form using a Digital Signature Certificate (DSC) or Electronic Verification Code (EVC) to complete the application process.

Step 9 : Application Review

After submission, the Income Tax Department will review your application. They may ask for additional documents or clarification if needed.

Step 10 : Receive Registration Certificate

If everything is approved, you will receive Form 10AC along with a Unique Registration Number (URN). This confirms that your NGO is officially registered under 12A.

Step-by-Step Process for 80G Registration

Step 1 : Ensure 12A Registration

Before applying for 80G, make sure your NGO already has valid 12A registration. This is mandatory.

Step 2 : Log in to Portal

Log in to the Income Tax e-filing portal using your NGO’s PAN details.

Step 3 : Fill Form 10A

Select Form 10A on the portal. This single form is now used for both 12A and 80G applications.

Step 4 : Enter Organisation Details

Fill in details about your NGO’s activities, objectives, financial information, and donor-related details.

Step 5 : Upload Documents

Attach all required documents such as registration certificate, PAN card, financial statements, and activity reports.

Step 6 : Submit the Form

Submit the completed application using a Digital Signature Certificate (DSC) for verification.

Step 7 : Verification by Department

The Income Tax Department may verify your application and sometimes conduct an inspection of your organisation’s activities.

Step 8 : Receive 80G Approval

If approved, your NGO will receive 80G registration, allowing donors to claim tax benefits on donations made to your organisation.

Note : From April 1, 2021, both 12A and 80G registrations can be applied for together using a single Form 10A, making the process simpler and faster.

Important Timelines and Forms at a Glance

Validity of Registrations

• Provisional registration (new NGOs): Valid for 3 years
• Regular registration (after renewal): Valid for 5 years, renewable every 5 years
• Small trusts (total income below ₹5 crore in each of the two preceding years): As of the Finance Act 2025, registration renewed after March 31, 2025, is valid for 10 years
• Registration under 80G continues to be renewed every 5 years regardless of the trust size
• If an organisation changes its objectives, it must re-apply within 30 days of such change

Benefits of 12A and 80G Registration

Benefits to the NGO (12A)

• Complete income tax exemption : All income received as donations and grants used for charitable purposes is exempt from income tax.
• Legal recognition : Acts as official proof that the government recognises your organisation as a legitimate charitable entity.
• Access to government grants : Most government funding programmes require valid 12A registration.
• Credibility and trust : Donors, partner organisations, and the public trust registered NGOs more.
• Eligibility for 80G : Without 12A, you cannot apply for 80G registration.
• Efficient use of funds : All money raised can go directly into programmes and activities rather than tax payments.

Benefits to Donors (80G)

• Tax deduction on donations : Donors can deduct their contribution from their total taxable income, reducing their tax liability.
• Incentive to donate more : The tax benefit makes donors more willing to give larger amounts.
• Broader donor base : Companies and high-net-worth individuals who actively manage their tax planning are more likely to donate to 80G-certified NGOs.

Benefits to Both

• Stronger fundraising capacity : Together, these registrations dramatically increase an NGO's ability to raise funds.
• Long-term sustainability : A stable funding base helps NGOs plan and execute projects over many years.
• Government support : Both Central and State Governments often limit grants to NGOs that hold valid 12A and 80G registrations.
• CSR eligibility : Companies looking to fulfil their Corporate Social Responsibility obligations prefer to donate to NGOs with 80G certificates, as it helps their own tax planning.

Penalties for Non-Compliance

• Loss of tax exemption : If 12A registration is not obtained or lapses, all income received by the NGO becomes fully taxable at normal income tax rates.
• Cancellation of registration : The PCIT or CIT can cancel your registration if the NGO is found to be involved in activities that do not match its stated charitable objectives.
• Prosecution for false information : As of the Finance Act 2025, registration can be cancelled by the Commissioner only on grounds of false or incorrect information (an improvement from earlier rules, where even incomplete applications led to rejection).
• Penalty on donors : If an NGO loses its 80G certificate and does not inform donors, those donors may face denial of their claimed deductions and be required to pay back-taxes.
• Disqualification from government grants : An NGO that loses its 12A registration automatically becomes ineligible for government funding and CSR contributions.
• Late filing penalties : Failing to file ITRs on time can attract penalties under Section 271F of the Income Tax Act.
• Tax demand on accumulated funds : If it is found that funds have been accumulated without proper application for charitable purposes, the accumulated amount becomes taxable.

Post-Approval Requirements (Ongoing Compliance)

• File Income Tax Returns (ITR) : Mandatory every year under Section 139, even if no tax is payable.
• Maintain proper books of accounts : Accurate records of income, expenses, assets, and liabilities must be kept at all times.
• Get accounts audited : If income exceeds the basic exemption limit (before applying exemptions), the accounts must be audited by a Chartered Accountant and filed in Form 10B.
• Use funds only for charitable purposes : Any misuse of funds can lead to cancellation of registration.
• Do not engage in political activities : Any involvement in electoral politics will result in cancellation.
• Apply for renewal on time : Submit Form 10AB at least 6 months before the current registration expires.
• Inform about changes in objectives : If your NGO modifies its goals or activities, file Form 10AB within 30 days.
• Keep DARPAN details updated : Maintain an active and updated profile on the NGO DARPAN portal.
• Issue proper receipts to donors : Each donor must receive a receipt with your NGO's name, PAN, 80G certificate number, and the donation details.