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12A Registration - Tax Exemption for NGOs in India

Reviewed by CA and CS Team, Patron Accounting LLP ICAI & ICSI Registered| 15+ Years Experience| Last Updated: 15 April 2026 Verify Credentials →

Tax Exemption: Registration under Section 12AB exempts charitable trusts, societies, and Section 8 companies from income tax on surplus income

Online Process: Filed via Form 10A on the Income Tax e-filing portal - provisional registration valid for 3 years, regular for 5 years

Prerequisite: Mandatory for 80G registration, government grants, CSR funding, and FCRA eligibility

CA-Managed: End-to-end service from trust deed review to PCIT(E) scrutiny handling across 8 cities in India

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Real Stories from Real People

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Patron Accounting handled our 12A and 80G registration seamlessly. Their CA team reviewed our trust deed, filed Form 10A, and followed up with PCIT(E) until we received the order. Highly professional service.
RS
Rajendra Singh
Trustee, Education Trust, Pune
★★★★★
2 months ago
We had missed our renewal deadline and were worried about losing our tax exemption. Patron's team filed a condonation application and got our 12AB renewed within 3 months. Excellent support throughout the process.
AM
Aisha Malik
Secretary, Charitable Society, Mumbai
★★★★★
1 month ago
Outstanding work on our Section 8 company's 12A registration. The CA team identified the correct section code and handled the entire PCIT(E) process. Also helped us with CSR-1 registration for CSR funding eligibility.
PK
Prashant Kumar
Director, Section 8 Company, Delhi
★★★★★
3 months ago
Patron Accounting made our 12A + 80G registration smooth and stress-free. They reviewed our trust deed for Section 2(15) compliance, handled all the documentation, and we got provisional registration in just 20 days.
SG
Sunita Gupta
Founder, Healthcare Trust, Bangalore
★★★★★
2 months ago
Very professional and prompt service for our society's 12A renewal. The team was very knowledgeable about the new Section 12AB framework and guided us through every step. Highly recommend for NGO compliance work.
VR
Vikram Rao
President, Literary Society, Hyderabad
★★★★★
4 months ago

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12A Registration - Complete Overview for NGOs

📌 TL;DR - 12A Registration Services at a Glance

TL;DR: Every charitable trust, society, and Section 8 company in India must register under Section 12A of the Income Tax Act, 1961 to claim exemption from income tax on surplus income. Without 12A registration, even genuinely charitable organisations are taxed at applicable slab rates on all receipts including donations. The process is fully online via Form 10A on the Income Tax e-filing portal with no government fee.

ParameterDetails
WhatRegistration under Section 12A/12AB of the Income Tax Act granting income tax exemption to NGOs
Who Needs ItCharitable trusts, societies (Societies Registration Act), Section 8 companies
Governing LawSection 12A, 12AB of the Income Tax Act, 1961 (as amended by Finance Act 2020 and 2023)
Application FormForm 10A (new/provisional) or Form 10AB (renewal/final registration)
ValidityProvisional: 3 years | Regular: 5 years (10 years for trusts with income under Rs 5 crore from April 2025)
Government FeeNil - No government fee for filing Form 10A or Form 10AB
Processing Time15-30 days (provisional) | 1-6 months (regular, depends on PCIT(E) scrutiny)

The registration process has been streamlined under Section 12AB since April 2021, with the entire application now filed online through the Income Tax e-filing portal using Form 10A (new registrations) or Form 10AB (renewals). There is no government fee for filing the application, and Patron Accounting's CA team manages the entire process from document preparation to PCIT(E) order follow-up.

The Finance Act 2025 (Budget 2025) extended validity to 10 years for trusts with income under Rs 5 crore in each of the preceding 2 years, significantly reducing the renewal burden for smaller NGOs. All registrations are processed by the Principal Commissioner of Income Tax (Exemptions) - PCIT(E) - based on the registered office location of the NGO.

Content is reviewed quarterly for accuracy.

What Is 12A Registration?

12A registration is a tax exemption registration granted by the Income Tax Department to charitable trusts, societies, and Section 8 companies under Section 12A of the Income Tax Act, 1961. It enables eligible non-profit organisations to claim exemption from income tax on income applied for charitable or religious purposes under Sections 11 and 12 of the Act.

The registration process is now governed by Section 12AB, introduced by the Finance Act 2020 (effective 1 April 2021), which replaced the earlier Section 12AA. All new and existing NGOs must register or re-register under the 12AB framework. The Principal Commissioner of Income Tax (Exemptions) - PCIT(E) - processes all 12A applications filed online through Form 10A or Form 10AB.

Upon successful registration, the PCIT(E) issues a Form 10AC order containing a 16-digit alphanumeric Unique Registration Number (URN) that must be quoted in all income tax returns (Form ITR-7), 80G applications, and compliance filings.

Key Terms for 12A Registration:

  • Charitable Purpose (Section 2(15)): Relief of the poor, education, yoga, medical relief, preservation of environment and monuments, and advancement of any other object of general public utility. If receipts from trade or commerce exceed 20% of total receipts, charitable status is restricted.
  • Section 12AB: The current operative section (replacing 12AA) that prescribes the procedure for registration of trusts and institutions for claiming tax exemption. All registrations since 1 April 2021 are processed under this section.
  • Form 10A: The prescribed online application form for new/provisional registration under Section 12AB. Also used for re-validation of existing registrations.
  • Form 10AB: The prescribed online application form for conversion from provisional to regular registration, renewal after 5 years, or re-registration after change in objects.
  • PCIT(E): Principal Commissioner of Income Tax (Exemptions) - the designated authority that processes and approves 12A registration applications. Jurisdiction is based on the registered office location of the NGO.
APL-05 12A Registration
NGO Compliance Tax Exempt

Who Needs 12A Registration?

12A registration is mandatory for every non-profit organisation in India that wants to claim income tax exemption on surplus income. Without it, all receipts - including donations, grants, and fees - are taxed at applicable rates under the Income Tax Act.

Eligible Entities:

  • Charitable trusts registered under the Indian Trusts Act, 1882 or relevant state trust acts
  • Societies registered under the Societies Registration Act, 1860 or state equivalents
  • Section 8 companies (not-for-profit) registered under the Companies Act, 2013
  • Religious trusts with charitable activities (eligible for 12A but 80G only if activities are open to all religions)

Not Eligible:

  • Private or family trusts
  • Organisations with profit distribution to members or stakeholders
  • Entities engaged primarily in commercial activities (trade/commerce receipts exceeding 20% of total receipts under Section 2(15) proviso)

When to Apply: New NGOs should apply immediately after incorporation - at least one month before the commencement of the previous year from which exemption is sought. For renewals, apply at least 6 months before expiry of current registration. For change in objects, apply within 30 days of the modification.

Patron Accounting's 12A Registration Services

ServiceWhat We Do
Trust Deed / MOA ReviewCA team reviews your trust deed (for trusts), MOA and rules (for societies), or MOA and AOA (for Section 8 companies) to confirm objects qualify as 'charitable purpose' under Section 2(15)
Form 10A / 10AB FilingComplete preparation and online filing of Form 10A (provisional registration) or Form 10AB (regular registration / renewal) on the Income Tax e-filing portal
Document PreparationSelf-certification, formatting, and uploading of all required attachments including registration certificates, PAN, activity reports, and financial statements
PCIT(E) Scrutiny HandlingEnd-to-end management of queries, additional document requests, and hearings before the Principal Commissioner of Income Tax (Exemptions)
Bundled 80G + NGO Darpan + CSR-1Optional bundled service covering 80G registration, NITI Aayog NGO Darpan enrolment, and CSR-1 registration on MCA portal
Post-Registration ComplianceGuidance on annual ITR filing (Form ITR-7), audit requirements (if income exceeds basic exemption limit), and accumulation rules under Section 11
Our Process

8-Step Process for 12A Registration Online

The entire registration process is online through the Income Tax e-filing portal. No physical office visit is required. Patron Accounting's CA team manages each step end-to-end.

Step 1

Incorporate the NGO

Register your organisation as a charitable trust (under the Indian Trusts Act, 1882), society (under the Societies Registration Act, 1860), or Section 8 company (under the Companies Act, 2013). Obtain PAN in the name of the organisation.

Trust/Society/Section 8 formation PAN obtained
NGO Registered 01
Step 2

Verify Objects Clause

Ensure the trust deed, MOA, or AOA contains objects that fall within 'charitable purpose' as defined in Section 2(15) of the Income Tax Act, 1961 - relief of the poor, education, yoga, medical relief, preservation of environment and monuments, or advancement of general public utility.

Section 2(15) compliance Objects clause reviewed by CA
Objects Verified 02
Step 3

Register on IT E-Filing Portal

Visit incometax.gov.in and register the organisation using its PAN. Create login credentials and activate the account. Ensure the authorised signatory's mobile number and email are updated for OTP verification.

Portal account created Signatory details updated
Portal Ready 03
Step 4

Prepare and Upload Documents

Compile all required documents as self-certified PDF copies. Each file should be under 5 MB and named clearly (e.g., TrustDeed.pdf, PAN_Card.pdf). Includes trust deed, PAN, registration certificate, accounts, and activity report.

Self-certified documents Files under 5 MB limit
Docs Compiled 04
Step 5

File Form 10A Online

Navigate to e-File > Income Tax Forms > select Form 10A > choose the relevant Assessment Year. Select the correct Section Code under Section 12AB clause. Fill in all mandatory fields including nature of activities, details of trustees/directors, and financial information.

Correct section code selected All fields completed
Form 10A Filed 05
Step 6

Submit with DSC or EVC

Submit the completed Form 10A using Digital Signature Certificate (DSC) of the authorised signatory or Electronic Verification Code (EVC) via Aadhaar OTP. Save the acknowledgement number for tracking.

DSC or Aadhaar OTP verified Acknowledgement saved
Form Submitted 06
Step 7

Await PCIT(E) Order

The Principal Commissioner of Income Tax (Exemptions) reviews the application. For provisional registration, the order in Form 10AC is typically issued within 1 month from the end of the month of application under Section 12AB(3). For regular registration, the timeline is 6 months.

Provisional: 1 month timeline Regular: up to 6 months
Under Review 07
Step 8

Download Registration Certificate

Once the order is passed, download the Form 10AC order and the 16-digit URN from the e-filing portal. This confirms your 12A registration status. Quote this URN in all future ITR-7 filings and 80G applications.

Form 10AC order received 16-digit URN assigned
12A Granted 08

Documents Required for 12A Registration

The following documents must be self-certified and uploaded as PDF attachments with Form 10A / Form 10AB:

  • For Trusts: Self-certified copy of Trust Deed / Instrument of Creation
  • For Societies: Self-certified copy of MOA and Rules / Bye-laws
  • For Section 8 Companies: Self-certified copy of MOA and AOA with Certificate of Incorporation
  • For All: PAN Card of the organisation
  • For All: Registration Certificate (from Sub-Registrar / Registrar of Societies / RoC)
  • Existing NGOs: Self-certified copy of existing 12A / 12AA / 12AB order (if renewal)
  • If applicable: Self-certified copy of existing 80G registration order
  • If applicable: Self-certified copy of FCRA registration (under FCRA 2010)
  • Existing NGOs: Audited annual accounts for the last 3 years
  • For All: Activity report / note on activities since inception or last 3 years
  • For All: List of all trustees / directors / governing body members with PAN, Aadhaar, and address
  • For All: Bank account details (account number, IFSC, bank name)

All documents must be in English. If the original is in a vernacular language, get it translated and notarised before uploading.

Common Challenges in 12A Registration

ChallengeImpactHow Patron Accounting Solves It
Objects Clause Non-ComplianceTrust deeds with vague or overly broad objects get rejected by PCIT(E)CA team reviews and recommends supplementary deed amendments to align objects with Section 2(15) before filing Form 10A
Missed Renewal DeadlineForm 10AB not filed 6 months before expiry - registration lapses and NGO loses tax-exempt statusUrgent remediation with condonation-of-delay applications and supporting representations to PCIT(E)
PCIT(E) Scrutiny QueriesCommissioner requests additional documents, seeks clarifications on fund utilisation, or questions genuineness of activitiesCA team prepares detailed responses, compiles supporting evidence, and represents the NGO during hearings
Portal Technical IssuesIncorrect PAN-based registration, auto-filled fields not populating, file upload size limits exceededPortal credentials correctly configured, files formatted within 5 MB limit, OTP verification completed before submission

Fees and Costs for 12A Registration

Fee ComponentAmount
Government Fee (Form 10A / Form 10AB)Nil - No government fee charged by Income Tax Department
Patron Accounting Professional Fees (12A Standalone)INR 7,499 (Exl GST and Govt. Charges)
12A + 80G Registration (Bundled)From INR 9,999 (Exl GST and Govt. Charges)
12A + 80G + NGO Darpan + CSR-1 (Complete Package)From INR 14,999 (Exl GST and Govt. Charges)
12A Renewal (Form 10AB)INR 7,499 (Exl GST and Govt. Charges)

All fees and charges listed are indicative only and do not constitute a binding offer. Final amounts may vary depending on the volume of work and the complexity involved.

Professional service charges for drafting, filing, and representation are separate from the statutory fees. The exact fee depends on the complexity of the case, disputed amount, and number of hearings required. Contact us for a detailed quote.

Get a free 12A Registration consultation - Call +91 945 945 6700 or WhatsApp us. No-obligation assessment.

Timeline for 12A Registration

StageEstimated Timeline
Trust deed / MOA review and document preparation2-5 working days
Form 10A filing on IT portal1-2 working days
PCIT(E) order for provisional registrationUp to 1 month from end of month of application (Section 12AB(3))
PCIT(E) order for regular registrationUp to 6 months from end of month of application
Total (Provisional - New NGO)15-45 days typically
Total (Regular - Existing NGO)1-6 months depending on scrutiny

Fast-Track Tip: Provisional registration (Form 10A for new NGOs) is typically the fastest route - often completed within 15-30 days when documentation is complete. Patron Accounting ensures first-time-right filing to minimise delays. Call +91 945 945 6700 for a timeline estimate for your NGO.

Key Benefits

5 Benefits of Professional 12A Registration Assistance

Objects Clause Compliance

CA team ensures trust deed objects align with Section 2(15) charitable purpose definition before filing, preventing rejection at the PCIT(E) stage.

Correct Section Code Selection

Multiple section codes exist under Section 12AB clause (ac). Selecting the wrong code leads to rejection. Our team identifies the correct clause based on your NGO's registration history.

PCIT(E) Representation

If the Commissioner raises queries or requests hearings, our CA team prepares responses and represents the NGO professionally throughout the scrutiny process.

Bundled NGO Compliance

12A alone is insufficient for full NGO operability. We bundle 80G, NGO Darpan, and CSR-1 registration to make your NGO grant-ready and CSR-ready from day one.

Post-Registration Compliance

Annual ITR-7 filing, audit coordination when income exceeds the basic exemption limit, and accumulation tracking under Section 11 - all managed by our team.

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Patron Accounting has helped hundreds of charitable trusts, societies, and Section 8 companies obtain and maintain their 12A registration across India. From education trusts in Pune to charitable societies in Delhi and Section 8 companies in Bangalore, our CA and CS team delivers end-to-end NGO compliance services.

DIY Filing vs Professional 12A Registration

ParameterDIY (Self-Filing)With Patron Accounting
Trust Deed ReviewSelf-assessment - risk of non-compliant objects clauseCA-reviewed for Section 2(15) compliance
Section Code SelectionManual selection - common error leading to rejectionCorrect clause identified based on NGO history
Form 10A PreparationSelf-filled onlineCA-prepared with all fields verified
Document CompilationSelf-managedProfessional compilation with self-certification guidance
PCIT(E) Query ResponseSelf-managed - risk of inadequate responsesCA-prepared responses with supporting evidence
TimelineVaries - depends on errors and resubmissions15-45 days (provisional) with first-time-right filing
CostNil (government fee is zero)From INR 7,499 (professional fee)
Post-Registration GuidanceNoneITR-7 filing, audit, accumulation compliance

Related Services for NGO Compliance

If you are registering for 12A, you may also need these complementary services from Patron Accounting:

  • 80G Registration - Enables donors to claim tax deductions under Section 80G on donations to your NGO. 80G can only be applied after obtaining 12A registration.
  • NGO Registration - Register your organisation as a Trust, Society, or Section 8 Company before applying for 12A.
  • Section 8 Company Registration - Incorporate a not-for-profit company under the Companies Act, 2013.
  • FCRA Registration - Register under the Foreign Contribution (Regulation) Act, 2010 to receive foreign donations. Requires prior 12A registration.
  • Society Registration - Register a society under the Societies Registration Act, 1860 for charitable, literary, or scientific purposes.
  • Income Tax Return (ITR) Filing - Annual ITR-7 filing is mandatory for all 12A-registered trusts and institutions.

Legal Framework for 12A Registration

Section 2(15): Defines 'charitable purpose' - relief of the poor, education, yoga, medical relief, preservation of environment and monuments, advancement of general public utility. Trade/commerce receipts must not exceed 20% of total receipts.

Section 11: Income from property held for charitable or religious purposes is exempt if applied to such purposes. Up to 15% of income may be accumulated for future application. From FY 2022-23, unapplied income beyond 85% is taxable in the same year.

Section 12: Voluntary contributions received by charitable trusts are treated as income but eligible for exemption under Section 11 if applied for charitable purposes. Corpus donations are exempt under Section 11(1)(d).

Section 12A: Prescribes conditions for registration - mandates that trusts/institutions must register to claim exemption under Sections 11 and 12.

Section 12AB: Procedure for registration - introduced by Finance Act 2020, effective 1 April 2021. Prescribes Form 10A (provisional), Form 10AB (regular/renewal), timelines for PCIT(E) orders, and grounds for cancellation.

Section 13: Denial of exemption - income not exempt if applied for private religious purposes, benefits a particular religion/caste, income/property used for benefit of specified persons, or funds invested in prohibited modes under Section 11(5).

Section 115TD: Exit tax - if registration is cancelled, accreted income (fair market value of assets minus liabilities) is taxed at maximum marginal rate.

Key Amendments: Finance Act 2020 introduced Section 12AB and mandatory re-registration. Finance Act 2023 treated donations to other trusts as application only to extent of 85%. Finance Act 2025 (Budget 2025) extended validity to 10 years for trusts with income under Rs 5 crore.

Consequences of Non-Registration: All income taxed at applicable slab rates. No exemption under Sections 11 and 12. Donors cannot claim 80G deductions. NGO ineligible for government grants, CSR funding, and FCRA registration. Penalty under FEMA Section 13 of Income Tax Act applies - up to 3 times the amount involved for specified violations.

Frequently Asked Questions - 12A Registration

Expert answers from our CA team on 12A registration under Section 12AB, Form 10A filing, renewal deadlines, and NGO tax exemption compliance.

Quick Answers

12A registration kya hai? 12A registration is a tax exemption registration for NGOs (trusts, societies, Section 8 companies) under the Income Tax Act. It allows your NGO's income used for charitable purposes to be exempt from income tax.

12A registration kitne din mein hota hai? Provisional registration takes 15-30 days. Regular registration takes 1-6 months.

12A aur 80G mein kya fark hai? 12A exempts the NGO's own income from tax. 80G allows donors to claim tax deductions on donations to the NGO. 12A is a prerequisite for 80G.

Can Section 8 company get 12A? Yes. Section 8 companies incorporated under the Companies Act, 2013 are eligible for 12A registration if their objects qualify as charitable under Section 2(15).

Is 12A registration permanent? No. Provisional registration is valid for 3 years and regular registration for 5 years (10 years for trusts with income under Rs 5 crore from April 2025). Renewal via Form 10AB must be filed before expiry.

Renewal Deadline Alert - Act Now

If your NGO received 12A/12AB registration in 2021 (5-year validity), your registration expired on 31 March 2026. The deadline for filing Form 10AB was 30 September 2025 (6 months before expiry). If you missed this deadline, your NGO's tax-exempt status has lapsed.

Patron Accounting provides urgent remediation for lapsed registrations with condonation-of-delay applications and PCIT(E) representations. Under Section 115TD, accreted income of a trust that loses 12AB status may be taxed at the maximum marginal rate.

Contact us immediately - Call +91 945 945 6700 or WhatsApp us to restore your 12A status before your NGO incurs tax liability.

Start Your 12A Registration Today

12A registration is the foundational tax compliance step for every charitable trust, society, and Section 8 company in India. Under the current Section 12AB framework, the process is fully online through Form 10A (provisional) or Form 10AB (regular/renewal), with no government fee. The Finance Act 2025 amendment extending validity to 10 years for smaller trusts further reduces the compliance burden.

However, the registration involves technical nuances - correct section code selection, objects clause compliance with Section 2(15), and PCIT(E) scrutiny handling - where professional CA guidance makes a material difference. Patron Accounting's CA and CS team manages the entire process end-to-end, from trust deed review to post-registration compliance, across 8 cities in India.

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Content Created: 15 April 2026  |  Last Updated: 15 April 2026  |  Next Review: 15 July 2026  |  Reviewed By: CA & CS Team, Patron Accounting LLP

This page is reviewed quarterly (Freshness Tier 1) by Patron Accounting's CA and CS team to reflect 12A/12AB amendments, Form 10A/10AB deadline changes, PCIT(E) procedural updates, Budget announcements affecting NGO taxation, and validity period changes.

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