Step-by-Step Procedure to Start a NGO in India

Starting a Non-Governmental Organization (NGO) is a responsible and fulfilling journey. It begins with a clear purpose to serve the public. I work with NGO Experts, a legal company that guides individuals in setting up NGOs legally and efficiently. Here’s a practical guide to understand the procedure to start a NGO in India.

Jul 2, 2025 - 12:37
 1
Step-by-Step Procedure to Start a NGO in India

Define Your NGO's Purpose and Objectives

Before anything else, I identify the cause. This step helps in shaping the mission and vision of the NGO. Whether it's education, healthcare, environment, or women's empowerment, the goal must be specific.

Once I fix the objective, I prepare a plan of action. I consider the beneficiaries, the area of operation, and how the NGO will deliver its services.

Choose the Right Legal Structure

To start an NGO, I must choose a legal structure. India offers three main options:

  • Trust (under Indian Trusts Act)

  • Society (under Societies Registration Act)

  • Section 8 Company (under Companies Act, 2013)

Each has its own benefits. I often suggest Section 8 Company for professional and organized operations. At NGO Experts, we assist with documentation and compliance for all these types.

Name Approval and Drafting the Legal Documents

The name of the NGO must be unique. I always check that it's not already in use. After finalizing the name, I move forward to draft legal documents. These include:

  • Memorandum of Association (MOA)

  • Rules and Regulations

  • Trust Deed or Articles of Association (AOA)

The documents must reflect the purpose, powers, and structure of the NGO. Signatures of founders and witnesses are also required.

NGO Registration Process

Now, I proceed with the official registration. This step differs depending on the type of NGO:

  • Trust Registration is done at the Sub-Registrar’s office.

  • Society Registration is done at the Registrar of Societies.

  • Section 8 Company Registration is done through the Ministry of Corporate Affairs (MCA).

All documents must be submitted with required fees. At NGO Experts, we take care of form filling and tracking approvals.

Darpan Registration for NGO

After legal registration, the next step is Darpan Registration. It is a mandatory process if I want to receive government grants.

I registered with the NGO Darpan Portal run by NITI Aayog. This includes providing details like:

  • PAN card

  • Registration certificate

  • Office address

  • NGO objectives

Darpan Registration also helps establish the credibility of the NGO. It creates transparency in operations.

Open Bank Account in NGO's Name

Once registration is done, I open a bank account in the name of the NGO. This account is used for all donations, grants, and operational expenses. I ensure that the account is operated by authorized signatories only.

The NGO’s PAN and registration documents are required for this step.

Apply for PAN and TAN

Every NGO needs a Permanent Account Number (PAN) and Tax Deduction and Collection Account Number (TAN). I apply for these after registration.

These are essential for filing returns and dealing with donors. Without PAN and TAN, the NGO cannot function financially.

Income Tax Filing for NGO

Just like any business or organization, NGOs must follow income tax rules. Even though NGOs work for charitable purposes, Income Tax Filing is mandatory.

At NGO Experts, we help with:

  • Filing annual returns

  • Maintaining account books

  • Avoiding penalties

  • Ensuring compliance under section 12A and 80G (if applicable)

Filing taxes improves the transparency and accountability of the NGO.

Obtain 12A and 80G Registration

For tax exemptions, I always apply for 12A and 80G registrations.

  • 12A registration gives income tax exemption to the NGO.

  • 80G registration allows donors to get tax deductions.

These benefits attract donors and build trust. Our team at NGO Experts guides clients through these legal processes smoothly.

 

Build a Core Team and Start Operations

With the legal and financial setup complete, I recruit a core team. This includes volunteers, program managers, and field staff. I also begin awareness campaigns and fundraising drives.

A solid team helps the NGO grow and create real impact.

Maintain Regular Compliance

Starting an NGO is not the end. Maintaining it is the real job. I make sure that:

  • Financial records are updated

  • Meetings are held regularly

  • Annual returns are filed

  • Audit reports are prepared

We offer continued support through NGO Experts to handle compliance and legal matters.

Conclusion

The procedure to start a NGO in India is straightforward if followed step-by-step. From choosing the structure, Darpan Registration, to Income Tax Filing, every stage is important.

I make sure everything is done legally and correctly. With the right guidance, your NGO can grow and make a lasting difference. If you're ready to begin this journey, reach out to us at NGO Experts. We’re here to support your vision for social change.

ngoexpertsca I’m Komal Ahuja, a legal advisor associated with NGOExperts, where we specialize in guiding NGOs through the legal process of obtaining 12A registration. With years of experience in NGO compliance and tax exemption services, I help organizations secure their 12A certificate to ensure income tax exemption benefits. At NGOExperts, my focus is on simplifying legal complexities and providing step-by-step assistance to NGOs across India. I am committed to offering reliable legal support, ensuring every organization can operate with financial transparency and legal credibility. My goal is to empower NGOs to focus on their mission while we handle the legal side.