Q1. Whether all NGO (Trust/Society/Section 8 Company) are required to file application for Registration under new rules?
Ans. Yes, All NGO already registered under section 80G, 12A, 12AA or 10(23c) or section 35(1) are required to file fresh application for registration under the specified form and manner.
Q2. What type of form available for registration?
Ans. Form 10A (With new format) and Form 10AB are available on portal in respective cases.
Q3. What are the case When the application in new form 10A is to be filed and what is the time limit?
Ans. Application in Form No. 10A to be file under the below mentioned sub-clause (i) or (vi) of clause (ac)of sub-section(1) of section 12A to the Principal Commissioner or Commissioner authorised by the Board
Clause i.: where the trust or institution is registered under section 12A [as it stood immediately before its amendment by the Finance (No. 2) Act, 1996 (33 of 1996)] or under section 12AA [as it stood immediately before its amendment by the Taxation and Other Laws (Relaxation and Amendment of Certain Provisions) Act, 2020 (12 of 2020)], within three months from the1st day of April, 2021;(I.e., Case of migration from old registration to new registration)
Clause vi: in any other case, at least one month prior to the commencement of the previous year relevant to the assessment year from which the said registration is sought, (I.e., case of New fresh registration under different sections)
Q4. What are the case When the application in new form 10AB is to be filed and what is the time limit?
Ans. Application in Form No. 10AB to be file under the below mentioned sub-clause (ii) or (iii) or (iv) or (v) of clause(ac)of sub-section (1) of section 12A to the Principal Commissioner or Commissioner under the said clause.
Q5. Is the registration granted under section 12A or 12AB is for lifetime?
Ans. No, the concept of life time registration under all provision abolished.
a) where the application is made under sub-clause (i) under clause(ac) of sub-section (1) of section 12A, pass an order in writing registering the trust or institution for a period of five years;
b) where the application is made under sub-clause (ii) or sub-clause (iii) or sub-clause (iv) or sub-clause (v) of the said clause, pass an order in writing registering the trust or institution for a period of five years after satisfied with requirement and investigation;
c) where the application is made under sub-clause (vi) of the said clause, pass an order in writing provisionally registering the trust or institution for a period of three years from the assessment year from which the registration is sought,
Q7. What documents are required to be attached along with form 10A or 10AB?
Ans. Documents accompanied by form 10A or 10AB
- Where the applicant is created, or established, under an instrument, self-certified copy of such instrument creating or establishing the applicant;
- Where the applicant is created, or established, otherwise than under an instrument, self-certified copy of the document evidencing the creation or establishment of the applicant;
- self-certified copy of registration with Registrar of Companies or Registrar of Firms and Societies or Registrar of Public Trusts, as the case may be;
- self-certified copy of registration under Foreign Contribution (Regulation) Act, 2010(42 of2010), if the applicant is registered under such Act;
- self-certified copy of existing order granting registration under section 12A or section 12AA or section 12AB, as the case may be;
- self-certified copy of order of rejection of application for grant of registration under section12A or section 12AA or section 12AB, as the case may be, if any;
- self-certified copies of the annual accounts max 3 preceding years;
- self-certified copies of the annual accounts of such business undertaking specified u/s 11(4) and audit report if any
- self-certified copies of the annual accounts of such business undertaking specified u/s 11(4A) and audit report if any
- self-certified copy of the documents evidencing adoption or modification of the objects;
- Note on the activities of the applicant.
Q8. What are major changes in form 10A and 10AB
1. In case PAN or Aadhaar number of Author/Founder/ Settlor/Trustee/ Member of society/Member of the Governing Council/ Director/ shareholder holding 5% or more of shareholding / Office Bearer is not available they can provide Taxpayer Identification Number of the country where the person resides, Passport number, Elector’s photo identity number, Driving License number or Ration card number.
2. Now applicant need to provide detail of registration on DARPAN Portal or under FCRA Act or any provision of Income-tax Act.
3. Applicants need to confirm if they have filed Income Tax Return of last assessment year.
4. Earlier 10G form for 80G registration has been withdrawn, same can be applied now with Form 10A or 10AB as the case may be.
5. Applicant need to provide detail of Income & Expenditure of Religious Activity
6. Applicant needs to provide following details related to Assets & Liabilities and Income
In case if applicant is already registered u/s 12AA and have filed ITR of last assessment year, above Asset & Liabilities and Income detail is not mandatory. This list of changes in not exhaustive, in case of Form 10AB, there are some other changes.
Q9. While uploading an attachment, what specifications are required to be considered?
Ans. While uploading an attachment, applicant is required to consider following:
a) Attachment should be in pdf format with a scan clarity of 300 DPI.
b) If original document is illegible or it is available in vernacular language, please upload English translated version, neatly typed in A4 sheet with 54cm margin across all sides, along with the original document.
Q10. Whether applicant can select Yes/No in the field “Has return of income been filed for the last assessment year for which the due date has expired”?
Ans. No, applicant is not required to select Yes or No in this field as the field is non-editable and data for this field is pre-filled by the system itself. “Yes” is auto populated if return of income has been filed for the latest Assessment year i.e., AY 2020-21 for the relevant PAN and AY combination. Else, the system will auto-populate “No”.
Q11.: Is it possible to obtain registration under multiple sections such as Section 10(23C) and Section 80G of the Income-tax Act, 1961 by filing a single application in Form 10A?
Ans. No. Applicant needs to file a separate application in Form 10A by selecting the relevant section code from Section Code list.
Q12. When the provisional registration to be issued?
Ans, According to section 12AB, Provisional registration (FORM 10AC) being issued in case of first-time new registration u/s 12A(1)(ac)(i) for 3 years. In all other case registration being issued for 5 years.
Q13. What will be validity of Registration U/s 12AB?
Ans. The validity of the registration granted under section 12AB shall be for five years except in the case of provisional registration which shall be valid for three years. All registrations made under section 12AB are required to be renewed as specified under new scheme of registration.
However, in case if provisional registration if activity is started it will not remain valid for 3 years and in that case normal registration need to be made within 6 months of commencement of its Activities.
Q14. What will be status of our pending application as on 31st March 2021?
Ans, The Finance Act, 2020 prescribes that all pending applications for registration shall be considered as applications under new section 12AB and hence, applicants making such applications are not required to apply again. However, such applications shall be granted provisional registration and technically will not be eligible for exemptions for the year in which the application was made as explained below.
Q15. What is the position if such organisation does not apply for renewal of registration?
Ans. such organisation shall be deemed to have surrendered their registration and forfeited their right to claim the applicability of sections 11 & 12. Therefore, such organisations shall be taxed as an normal assessee and five heads of income of shall apply.
Q16. What are those section in which Application in form 10A and 10AB apply?
- clauses (i), (ii), (iii) and (iv) of first proviso to clause (23C) of section 10
- Ninth proviso to clause (23C) of section 10
- sub-clauses (i) (ii), (iii), (iv), (v) and (vi) of clause (ac) of sub-section (1) of section 12A
- sub-section (3) of section 12AB
- First and fifth proviso to sub-section (1) of section 35
- sub-section (1A) of section 35
- clauses (i), (ii), (iii) and (iv) of first proviso to sub-section (5) of section 80G
- Third proviso to sub-section (5) of section 80G
- clauses (viii) and (ix) of sub-section (5) of section 80G.
Q17. A charitable trust has obtained registration under Section 12A of the Income-tax Act, 1961. Now, it wants to obtain registration under Section 80G of the relevant act. Is it required to file a new application in Form 10A?
Ans. Yes. For each unique section code as specified in section code list in Form 10A, applicant is required to file a separate application in Form 10A
Q18. A trust is already registered under Section 10 (23C) of the Income-tax Act, 1961. It wants to obtain registration under Section 12A of the relevant act. Is it eligible to file Form 10A in such a case?
Ans. No, If the applicant is already registered under Section 10(23C) of the Income-tax Act, 1961, he is not eligible to obtain registration under Section 12A of the relevant act and hence, he will not be allowed to file Form 10A for Section 12A registration.
Q19. Can I file CSR-1 with MCA for getting CSR funding?
Ans. No, you cannot file, if your NGO is new then firstly you have to Enrol under Section 12AB and Section 80G of Income Tax Act.
Q20. What documents are required to file CSR-1?
Ans. Following documents are required for filing Form CSR-1
1. Copy of PAN Card of the NGO
2. Mail ID and Mobile Number
3. Details of Governing Body Members
4. Copy of Registration Certificate
5. Digital Signature of the Authorised Person with his PAN Number
Q21. What is Darpan registration?
Ans. If you want to raise funding from Government departments then it is mandatory to get registration with NGO Darpan portal and after filing the form get there Darpan ID.
Q22. If we have recently registered our NGO, whether we are allowed to register under NGO Darpan?
Ans. Yes, you are allowed to register under NGO Darpan. There is no time limit prescribed. If you have valid PAN Card and registration certificate of NGO then you are allowed to register.
Q23. Whether there is any renewal period under NGO Darpan Registration?
Ans. on date, there is no renewal required, registration under NGO Darpan is one time process.