Prachi Singhadded a note a month ago
How to Get Government Grants for a Section 8 Company
A Section 8 Company is a non-profit organization registered under the Companies Act, 2013, dedicated to social welfare, education, healthcare, and other charitable activities. While these organizations cannot distribute profits, they can receive government grants, CSR funds, and foreign donations to support their mission.
In this guide, we will explore how a Section 8 company can apply for government grants, including eligibility, registrations, and application processes.
1. Eligibility Criteria for Government Grants
To qualify for government funding, a Section 8 Company must meet the following criteria:
•Registered under the Companies Act, 2013.
•Possess a valid NITI Aayog Registration.
•Have 12A and 80G Registration for tax exemptions.
•Maintain proper financial records and audits.
•Engage in activities that align with government schemes (education, rural development, healthcare, etc.).
2. Essential Registrations to Get Government Grants
A. NITI Aayog Registration
•Required for applying for government grants.
•Apply through the NGO Darpan portal (ngodarpan.gov.in).
•Get a Unique ID, mandatory for grant applications.
B. 12A and 80G Registration
•12A Registration: Exempts NGOs from income tax.
•80G Registration: Allows donors to claim tax deductions.
•Apply through the Income Tax e-Filing Portal.
C. CSR-1 Registration
•CSR Full Form: Corporate Social Responsibility.
•Mandatory for receiving CSR funds from corporate companies.
•Apply on the MCA Portal after obtaining NITI Aayog Registration.
D. FCRA Registration (For Foreign Grants)
•FCRA Full Form: Foreign Contribution (Regulation) Act.
•Required to receive foreign donations legally.
•Apply via FCRA Online Services.
3. Types of Government Grants for Section 8 Companies
A. Central Government Grants
•National Health Mission (NHM) – Funding for healthcare projects.
•Ministry of Social Justice & Empowerment – Grants for welfare programs.
•Ministry of Education – Grants for schools and skill development.
B. State Government Grants
•Each state provides specific NGO grants based on local needs.
•Visit the State Government website for available schemes.
C. Grants from Government Departments & PSUs
•Public Sector Undertakings (PSUs) allocate funds to Section 8 companies for social initiatives.
4. How to Apply for Government Grants
Step 1: Identify Suitable Grants
•Research grants available on NITI Aayog & government websites.
•Match your NGO’s objectives with government schemes.
Step 2: Prepare Necessary Documents
•Registration Certificates (NITI Aayog, 12A, 80G, CSR-1, FCRA)
•Financial Reports & Audits
•Project Proposal & Impact Report
Step 3: Submit Grant Application
•Apply via government portals such as NGO Darpan, MCA, and FCRA Online Services.
•Track the status of applications for approvals.
5. Tips to Increase Chances of Getting Grants
•Keep financial records transparent.
•Build strong partnerships with government agencies.
•Apply for multiple grants to increase funding sources.
•Maintain compliance with CSR and FCRA regulations.
Conclusion
Getting government grants for a Section 8 Company requires proper registration, financial transparency, and aligning with government policies. By securing NITI Aayog Registration, 12A & 80G Registration, CSR-1, and FCRA Registration, your NGO can access government funds, CSR donations, and foreign grants. For more information click the link below: