Meaning of Section 8 Company and Procedure of Formation of Section 8 Comapany

Vandana Sharma , Last updated: 08 July 2025  
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A Section 8 Company is formed to promote charitable or not-for-profit objectives such as:

  • Commerce, art, science, sports, education, research, social welfare, religion, environmental protection, etc.

Unlike other companies, profits or income cannot be distributed among members. Instead, it must be reinvested to achieve its stated objectives.

Meaning of Section 8 Company and Procedure of Formation of Section 8 Comapany

Procedure for Incorporation of Section 8 Company

Step 1: Obtain DSC (Digital Signature Certificate)

  • btain DSCs for all proposed directors and subscribers from a licensed certifying authority.

Step 2: Apply for Name Approval via SPICe+ Part A

  • File SPICe+ Part A through the MCA V3 portal.
  • Prefix/suffix not required (e.g., Foundation, Association, Forum can be used).
  • Attach brief description of proposed activities.

Step 3: File for License under Section 8

  1. File Form INC-12 for license under Section 8.
  2. Attach the following key documents:
  • Draft MOA (INC-13) and AOA
  • Declaration by professional (INC-14)
  • Declaration by subscribers (INC-15)
  • Estimated statement of income & expenditure for 3 years
  • Detailed description of activities
  • List of proposed promoters/directors

Step 4: File SPICe+ Part B and Linked Forms

After license approval:

  1. Fill SPICe+ Part B
  2. Attach the required documents
  3. Auto-generate linked forms:
 
  • AGILE-PRO-S (for PAN, TAN, GST, EPFO, ESIC, bank)
  • eMOA (INC-33) and eAOA (INC-34)
  • INC-9 (declaration by directors)
  • URC-1 (if applicable)

Step 5: Certificate of Incorporation

Upon verification, Registrar of Companies (ROC) issues:

  • Certificate of Incorporation
  • PAN & TAN
  • Section 8 license (Form INC-16)

List of Documents Required

For Name Approval (SPICe+ Part A)

  • Proposed name and objective

For License Application (Form INC-12)

  • Draft MOA (INC-13)
  • Draft AOA
  • Declaration by practicing professional (Form INC-14)
  • Declaration by each subscriber (Form INC-15)
  • Statement of income & expenditure (3-year estimate)
  • List of directors & promoters
  • Brief description of proposed work
 

For Incorporation (SPICe+ Part B & linked forms)

  • Address proof of registered office (utility bill)
  • NOC from the owner (if rented premises)
  • ID & address proof of directors/subscribers
  • Passport-size photos
  • INC-9 declarations (auto-generated)
  • Consent to act as director (DIR-2)
  • Mobile no and email ID of directors
  • Mobile no and email ID of the company

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Published by

Vandana Sharma
(Practising company secretary)
Category Corporate Law   Report

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