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Taxolawgy

• Justice for All!
• Legal Financial Taxation

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About Us

• Taxolawgy is an online marketplace for providing
  highest quality of Legal and Financial services
  in the most transparent environment at affordable
  rates, while opening global business
  opportunities for experts like Advocates, CA, CS,
  etc.

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Non-Profit companies

• A Non-Profit company is regulated by section 8 of
  the Indian Companies Act 2013 and administered by
  the Ministry of Corporate Affairs - MCA.
• It is usually formed for promoting science, art,
  commerce, charity, religion or any other purpose
  that is useful to society.
• Section 8 company has limited liability
• This companies cannot make any profits also there
  is no minimum paid-up capital required for the
  purpose of a company incorporated under section
  8.

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Purpose of Non-Profit companies

• The main purpose of establishing a company under
  section 8 is to promote non-profit objectives
  such as trade, commerce, arts, charity,
  education, religion, environment protection, etc.
  
• The profits/incomes of the company if any, are
  applied towards promoting the objectives of the
  company and are not distributed as dividends to
  its shareholders also there is no minimum paid-up
  capital required for the purposes of a company
  incorporated under section 8.
• Any individual or organization can be the member
  of Section 8 Company including foreigners/NRIs.

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Minimum requirements for Non-Profit Company

• There must be at least two shareholders.
• There must be at least two directors (directors
  and shareholders can be the same person)
• At least one of the director should be an Indian
  Resident.
• No requirement for minimum capital.
• PAN Card is mandatory 
• Identity Proof (Voter ID / Aadhar Card / Driving
  License / Passport)
• Address Proof (Electricity bill/ telephone
  bill/mobile bill/bank statement)
• Registered Office Address Proof (rent agreement
  along with latest rent receipt if rented premise
  along with NOC of the landlord)
• Sale Deed / House Tax Receipt (if the premise is
  owned by either the director or the promoter.

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Procedure for the incorporation of a section 8
company

• 1. Obtain DSC of the proposed director. After
  receiving DSC file Form DIR-3 with ROC for
  getting a DIN. 
• 2. Once the DIR-3 is approved, the ROC will allot
  DIN. 
• 3. File Form INC-1 with the ROC for applying for
  a company. A total of 6 names can be applied, out
  of which one would be allotted. 
• 4. After approval file FORM INC-12 with the ROC
  to apply for a license for the section 8 company.
  Documents to be attached with INC-12
• Draft MOA as per Form INC-13
• Draft AOA
• Declaration as per Form INC-14 (Declaration from
  practising chartered accountant)
• Declaration as per Form INC-15 (Declaration from
  each person making an application)
• Estimated income and expenditure for the next 3
  years.
• 5. Once the form is approved, a license under
  section 8 will be issued in FORM INC-16. 

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• 6. After obtaining the license, file SPICe form
  32 with the ROC for incorporation along with the
  following attachments
• An affidavit from all the directors cum
  subscribers INC-9.
• Declaration of deposits.
• KYC of all the directors.
• Form DIR-2 with its attachments i.e. PAN card and
  address proof.
• Consent letter of all directors.
• Interest in other entities of the directors
• Utility bill as proof of office address
• NOC in case the premises are leased/rented.
• Draft MOA and AOA
• If the ROC is satisfied with the forms submitted,
  a certificate of incorporation is issued along
  with a unique company identification number - CIN.

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Advantages of Section 8 Company Registration

• 1. Tax Exemption Many exemptions are given to
  Section 8 Companies.
• 2. No minimum capital requirement No limit is
  prescribed for section 8 companies for the
  minimum capital requirement.
• 3. No stamp duty payable Section 8 Companies are
  exempted for the payment of stamp duty applicable
  for registration.
• 4. Separate Legal Entity
• 5. Perpetual Existence
• 6. Credibility A Section 8 Company has more
  credibility thsn any other Non-profit
  organization structure be it a Trust or Society.
• 7. No title required  A section 8 company does
  not require to use a suffix next to its name like
  private limited or a public limited company.

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How does Taxolawgy help you with registering a
Non-Profit?

• Provides free consultation by our team of
  experts.
• Connects with highly qualified lawyers, who
• Work for you so you dont face any hassles
• Solve all your queries
• Help you submit the correct paperwork.

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Taxolawgy

• Hope you liked it!
• To know more about our legal, financial
  taxation services write to us at
  info_at_taxolawgy.com