For a charitable organisation, 12A and 80G registrations are essential. 12A exempts the NGO's income from tax, while 80G lets its donors claim a deduction — a major draw for fundraising.
This guide explains both registrations and the current renewal regime.
What is 12A and 80G Registration for NGOs?
12A registration exempts the surplus income of a trust, society or Section 8 company applied to charitable purposes. 80G registration allows donors to claim a 50% (or 100%) deduction on eligible donations.
Both are now granted for a limited period and must be renewed; new entities get provisional registration first.
Benefits
- Income tax exemption on charitable income (12A)
- Donor deduction incentive to raise funds (80G)
- Higher credibility with grant agencies and CSR donors
Frequently asked questions
Can an NGO get 80G without 12A?
In practice 12A is the foundation; an NGO obtains 12A for its own exemption and 80G to benefit donors.
Do 12A and 80G need renewal?
Yes. Under the current regime, registrations are time-bound and must be renewed periodically, with provisional registration for new entities.