12A & 80G Registration

A charitable / religious trust gets a number of exemptions under section 11 & section 12 of the Income Tax Act. Section 12A of the Income Tax Act states that, the income of a charitable or religious trust or institution is exempt under sections 11 & 12 of the Income Tax Act only if the person in receipt of the income has made an application for registration of the trust or institution in the prescribed form and manner to the Commissioner and such trust or institution is registered under section 12AA.

Procedure for Registration under section 12AA

Section 12AA of the Income Tax Act read with Rule 17A of the Income Tax Rules provides the procedure of registration of trusts.

 

STEP 1: Application shall be made in Form 10A.

 

STEP 2: The Commissioner, on receipt of an application for registration shall call for such documents or information from the trust or institution as may be necessary to check the genuineness of activities and compliance of laws.

 

STEP 3: If the Commissioner is satisfied that the necessary requirements are fulfilled, he shall pass the order registering the trust or institution.

 

STEP 4: If the Commissioner is not satisfied, he shall pass a rejection order. Every order granting or refusing registration shall be passed before the expiry of 6 months from the end of the month in which application was received. If no order is passed within 6 months then it shall be deemed that the trust has been registered.

Registration under section 80G

Section 80G provides deduction from gross total income to the donor, thereby reducing the tax liability. Donations done to various charitable organisations often attract benefit of section 80G.


Registration under section 12AA will not imply automatic registration under section 80G. Registration has to be done separately under section 80G to enable the donor to claim income tax deductions. Further, section 80G benefit is applicable only on charitable trusts and institutions. Religious trusts do not have the option to register under section 80G.

Procedure for Registration under 80G

STEP 1: Rule 11AA of the Income Tax Rules, 1962 provides that an institution or a fund has to file Form 10G for the purpose of 80 g trust registration.

 

STEP 2: The Principal Commissioner or Commissioner shall call for further documents or information from the applicant to satisfy himself about the genuineness of the applicant.

 

STEP 3: The order granting or rejecting the application shall be passed within 6 months from the end of the month in which application is received.

Charitable and religious trusts get themselves registered under section 12A / 12AA. This registration enables them to claim income tax exemptions prescribed in section 11 and 12 of the Income Tax Act, subject to fulfilment of certain conditions.

Any Charitable and Religious trust can apply for registration under section 12A / 12AA.

The Income Tax Act provides certain exemptions to charitable and religious trusts. These are provided in section 11 and 12 of the Act. These exemptions can be claimed only if the trust is registered under section 12A / 12AA of the Act.

Section 80G provides deduction of donation from the gross total income of the donor. This reduces income tax burden of the donor. The amount of deduction may be 50% of 100% of the amount donated depending on the nature of the trust / fund to whom donation is given. An organisation / fund that considers itself eligible to come under the purview of section 80G, must obtain registration for the same to enable its donors to claim deduction.

Usually any charitable organisation / fund is eligible to register under section 80G subject to fulfilment of certain conditions.

A donor can claim income tax deduction under section 80G only if the recipient of donation is registered under section 80G.

No. Registration under section 12A does not automatically imply registration under section 80G. Both the registrations have to be applied for separately. Registration under section 12A has to be applied for first before applying for registration under section 80G.

In order to register under section 12A, assessee is required to file Form 10A online through the e-filing portal.

In order to register under section 80G, assessee is required to file Form 10G online through the e-filing portal.

What's included

  • Registration under section 12AA
  • Registration under section 80G

Documents Required

Documents Required for 12AA registration
  • PAN of the Applicant
  • Self-certified copy of instrument / document evidencing the creation of the trust
  • Address
  • Details of founders including PAN & Aadhaar Number
  • Details of Trustees including PAN & Aadhaar Number
  • Objects of the trust / institution
  • Details of FCRA registration, if any
  • Certified copy of Annual Reports of the trust / institution for immediately preceding 3 previous years
  • Details of Activities of the trust
  • Any other document / information as may be required
Documents Required for 80G Registration
  • PAN of the Applicant
  • Address
  • Legal Status of the trust / institution
  • Registration details under any law in force
  • Income Details
  • Outstanding tax details, if any
  • Objectives of the trust / institution
  • Books of Accounts of the trust / institution
  • Nature / Quantity of Contribution
  • Utilization of Contributions
  • Shares, securities, assets of the trust / institutions
  • Any other document / information as may be required

12A & 80G Registration for NGO


NGOs must apply for 12A & 80G Certificate to provide income tax exemption to the donors! Contact Filecrat to easily register your trust online.

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