Table of Contents
What is Society?
A society is an association of persons or groups of people organized for purposes other than for profit. It may be a nonprofit organization, in which case it would not be allowed to distribute profits to its members. A society may also be an informal organization or club, typically when the members contribute money and work jointly on projects. Examples include sports clubs and charitable organizations.
What is Society Registration?
Society registration in India is a legal process of the formation of an association. The society can register under the Societies Registration Act, 1860 or the Societies Registration Act, 1860 (Amended), or the State Societies Act.
A society is an organization or group of people coming together for a common purpose. It may be for social, religious, political, or business purposes. A Society can also be formed as a result of an amalgamation of two or more existing societies. An unregistered society runs the risk of being struck down by a court order under Section 34 of the Indian Partnership Act, 1932.
Purpose of Society Registration
The main purpose of a society registration is to ensure that the institution has formed legally. The registration process ensures that there are no legal issues with your society.
If you want to form a society, you need to submit an application for registration at least 15 days before the date on which you want to form the society.
There are several reasons why you might want to register your organization as a society:
- To protect yourself against personal liability claims;
- Obtain tax advantages;
- To establish a legal identity for your group; and
- To give yourself protection from creditors’ claims
What is the reason for the rejection of the application for registration?
The Registrar may accept or reject your application for registration.
- The Registrar may reject your application for registration if:
- Your proposed name is already in use by another registered society;
- The proposed activities are in conflict with any existing law; or
- You have not disclosed all information required by law.
Why Do You Need A Society Registration?
Society registration is necessary to protect your interests as a member of society. It enables you to take part in all decision-making processes related to your organization. The registration process ensures that there is no undue interference from an outsider and helps you maintain control over your assets. It also helps you keep track of all financial transactions related to your organization by keeping records of all expenditures and profits made by your organization.
The requirement of society registration is as follows:
- A minimum of seven members
- Articles of association (AOA)
- Memorandum and Articles of Association (MOA&A)
- No-objection certificate (NOC) issued by landlord, as well as address verification of society’s registered office.
The following are the documents required to register a society in India:
- Memorandum and Articles of Association (MOA-A)
- Application for registration of the society
- Certificate of Incorporation of the Society/Trust/Company
- Audited Balance Sheet and Profit and Loss A/c for the last Financial Year
- Copy of PAN Card of each member signing the MOA-A
- The resolution passed at a meeting to form the society/trust/company if any
- Registration Fees: As per State Government Rules
- Constitution of the society