The Ultimate Checklist for Section 12AB (12A) Registration in 2026

The importance of Non-Profit Non-Governmental Organisations in Indian society is beyond doubt because they actively bridge the gap between corporate welfare and grassroots needs. However, since donors tend to restrict funds to direct programs, these NGOs struggle a lot with generating their own revenues. So, to encourage more unconditional contributions to these NGOs and assist them in sustaining their operations, the Indian Government provides them with tax exemption on their eligible income through 12A (12AB) registration. Also, this is the first essential step that unlocks 80G certification benefits for the donors through which they can also claim tax deductions. Check out this guide to know more about it. 

What is 12A Registration?

Before we start with this, let us clarify one thing first. The one-time registration under Section 12A or 12AA of the Income Tax Act has now been replaced by a new time-bound, renewable system under Section 12AB, which was effective since June 1, 2020. Registration under Section 12AB enables eligible charitable or religious institutions to claim exemption under Sections 11 and 12 of the Income-tax Act, subject to prescribed conditions.

As a result, the eligible NGOs will be able to utilise their income for charitable purposes while claiming tax exemption under the Income-tax Act. However, without 12A registration, NGOs would be taxed just like a regular commercial business, and they would not be eligible for these tax exemption benefits.

Of course, there are a few basic conditions they need to adhere to. First of all, they need to use the donation funds for charitable activities, must apply at least 85% of their income towards charitable or religious purposes during the relevant financial year (the NGOs are allowed to save the rest of the 15% [not more than that] for future projects), and must file their ITR every year on time. 

4 Benefits of 12A Registration for Your NGO

1. The income received through donations may qualify for income-tax exemption subject to the Income-tax Act.
2. 12AB registration is generally a prerequisite for obtaining approval under Section 80G, which enables eligible donors to claim deductions. 
3. Many government departments and grant-making agencies prefer or require 12AB registration for approving funding schemes. 

Now that you know how important 12A registration is for your NGO, let’s quickly have a look at its validity and renewal-related rules.

12A Registration: Validity & Renewal

• From 1st April, 2021, the registration is granted under Section 12AB, which replaced the old 12A or 12AA registration regime. 
• The NGOs and trusts previously registered under Section 12A or Section 12AA had to migrate to the Section 12AB regime using the Income Tax Form 10A on the e-filing portal.
• Regular 12AB registration is valid for 5 years.
• Newly formed NGOs will get a provisional registration which is valid for 3 years.
• Renewal timelines vary depending upon whether the application relates to provisional registration, renewal, or modification of objects. So, applicants should follow Rule 17A and the applicable provisions while filing Form 10AB. 

Before we get deeper into the eligibility criteria and the steps of 12A registration, let’s quickly have a look at the importance of the 80G certificate and the documents required to file the application. 

What is an 80G Certificate?

The objective behind this is to encourage more donors to donate funds to non-profit organisations, NGOs, charitable trusts, or Section 8 companies because most donations qualify for a 50% deduction (subject to a qualifying limit).

80G Registration Process

Your donors will only get this tax exemption benefit if your NGO holds an active Section 12AB (formerly 12A/12AA) registration for income tax exemption. 

The NGO applies for approval under Section 80G following these steps:

• Log in to the Income Tax India E-Filing Portal
• File either Form 10A or Form 10AB
• Upload the necessary self-certified documents (will discuss them in the next section)

Next, the Income Tax Department will carefully check your submitted documents. In a few cases, they might ask you to explain certain details or provide a few more papers. Once the verification process is over, they will officially approve your application and send you the 80G certificate, known as Form 10AC. 

Also, you can track your status or download this form after approval by logging into your account on the official Income Tax Department portal.

Documents Required for 80G Registration

Below are the photo-scanned documents required for an NGO's 80G registration application to get these tax exemption benefits. 

• Form 10A or Form 10AB (as applicable)
• Trust deed/MOA/AOA/Society Registration Certificate
• PAN card of the NGO
• Address proof of the registered office (electricity/water bill/NOC from the landlord)
• Audited books of accounts, balance sheets, ITR for the past 1 to 3 years
• Detailed activity reports of the past three years
• Detailed list of the board of trustees (identity & address proofs)
• Bank statements for the past 3 years
• A list containing the details of the major donors. (Only if applicable)
• NGO Darpan Registration ID from NITI Aayog (Required mainly for certain Government grant-related purposes.)

So, in a nutshell, 12A registration not only makes NGOs eligible for specific tax exemption benefits but also provides the donors with similar benefits, encouraging more donations.

Now, let’s come back to the topic again!

Previously, we discussed 12A registration, its validity & renewal deadline, and its importance in brief.

But it’s also important to learn whether your NGO is eligible for this tax-exempt status or not.   

Eligibility Criteria for 12A Registration

Your NGO is eligible for this if: 

• It is a registered Trust, Society, or Section 8 Company
• Your organisation's main objective must be charitable, religious, or educational
• You maintain the books of accounts properly

If your NGO meets all these parameters, you can apply for 12A Registration. So, let’s now discuss the step-by-step 12A registration process. 

Step-by-Step 12A Registration Process

Step 1: Gather all necessary incorporation and financial documents (will talk about it in the next section)

Step 2: File Form 10A/10AB online through the official Income Tax e-filing portal

Step 3: Respond to any clarifications or document requests raised by the Income Tax Department

Step 4: Receive the provisional or final registration certificate

Essential Documents Required for 12A Registration

You need largely the same documents to apply for 12A registration that you need for filing an 80G registration application. 

The required documents include:

• Copy of the Trust Deed, Society Registration Certificate, Section 8 license, or MoA
• PAN card of the NGO
• Details of the managing committee or trustees (PAN and Aadhaar)
• Financial statements and Audit reports of the last 1 to 3 years (if the NGO has been operating previously)
• Proof of welfare activities conducted (annual reports, utility bills)

Safeguard Your NGO’s Financial Future Today with 12A Registration

NGOs are the backbone of Indian social development, driving grassroots change in multiple sectors like education, healthcare, and rural empowerment. So, it’s high time that you safeguard the financial future of your NGO by officially claiming tax exemption on its eligible income. This way, you can spend all your operational revenues for social and charitable initiatives.

Frequently Asked Questions

Q1. Is 12A registration permanent?

Ans: No. Under the current Income Tax Act, NGOs and charitable trusts must periodically renew their registration. The provisional registration is valid for 3 years, and the regular registration is valid for 5 years. 

Q2. Can an NGO’s 12A registration be cancelled?

Ans: Yes, it can be revoked by the Principal Commissioner or Commissioner at the Income Tax Department under Section 12AB of the Income Tax Act if the NGO violates compliance requirements.

Q3. After how many days of establishment or functioning an NGO should apply for 12A registration?

Ans: New NGOs should formally apply for the provisional certificate after incorporation or before commencing activities, as applicable, and after that, they will be granted a provisional certificate via Form 10A, which is valid for 3 years. However, before the expiry of the provisional registration, they need to apply for regular registration within the prescribed time.