12A and 80G Registration

Overview

Registration under Section 12A of the Income Tax Act, 1961, allows a charitable trust, society, or Section 8 company to claim exemption on its income, provided it is applied to charitable purposes. Section 80G registration lets donors claim a deduction on the donations they make to the organisation, which makes giving more attractive. Both approvals are granted by the income tax authorities and are now applied for through Form 10A or Form 10AB, with registrations issued on a provisional and then a regular basis.

Objective

To obtain 12A and 80G approval under the Income Tax Act so the organisation's income is exempt and its donors can claim tax deductions.

Characteristics

• 12A grants income tax exemption to the organisation on income applied to charity
• 80G allows donors to claim a deduction on eligible donations
• Applied for through Form 10A or Form 10AB on the income tax portal
• Issued first on a provisional basis and later renewed as regular registration
• Subject to periodic renewal and ongoing compliance

Eligibility

• A registered trust, society, or Section 8 company
• Charitable or religious objects as defined under the Income Tax Act
• Proper books of account and records of activities
• Income and property applied only towards the organisation's objects
• PAN of the organisation and an active income tax portal account

Governing law

• Section 12A and Section 12AB of the Income Tax Act, 1961
• Section 80G of the Income Tax Act, 1961
• Income Tax Rules, 1962 (Form 10A and Form 10AB)
• Income Tax Department, Commissioner of Income Tax (Exemptions)

The process

1. 1
   Review eligibility and records

   We check the registration, objects, and financial records to confirm the organisation qualifies for 12A and 80G.

2. 2
   Prepare and file the application

   Our experts complete Form 10A or Form 10AB with the required attachments and file it on the income tax portal.

3. 3
   Respond to departmental queries

   We address any clarifications or documents sought by the Commissioner of Income Tax (Exemptions) during processing.

4. 4
   Receive the approval order

   On approval, we provide the order granting 12A and 80G registration along with the applicable validity details.

Documents required

• Registration certificate and trust deed, memorandum, or incorporation documents
• PAN of the organisation
• Financial statements and accounts for the relevant years
• Details of activities and projects carried out
• List and details of trustees, members, or directors
• Registered office address proof

Benefits

• Income tax exemption on income applied to charitable purposes
• Tax deduction benefit that encourages donors to give
• Stronger eligibility for grants, CSR funds, and government schemes
• Greater credibility with donors and institutions
• A recognised compliant status under the Income Tax Act

Frequently asked questions