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Section 8 company. Consider forming a section 8 company if you want reliability and credibility for your organization as it is licensed by the central government. Definition of section 8 company. Section 8 of the companies act 2013 provides for the formation of the companies with charitable objects etc.
Section 8 company earlier section 25 company of the companies act 1956 is a legal entity for non government or non profit organizations. Section 25 company in old companies act companies act 1956 trusts. The companies act defines a section 8 company as one whose objectives is to promote fields of arts commerce science research education sports charity social welfare religion environment protection or other similar objectives.
Section or any of the conditions subject to which a licence is issued or the affairs of the. The primary objective of the company is working for the development of the society protection of the earth and environment working in the field of art commerce literature sports all living creatures protection research and development etc. A section 8 company is registered as a limited company under section 8 of companies act 2013 and holds the licence from central government having the following features.
The provisions of this section shall apply to that company. Section 8 company registration procedure. A public charitable trust is usually floated when there is a property involved especially in terms of land and building.
Section 8 company under companies act 2013 it was earlier section 25 under companies act 1956 special licensing. Trusts formed under indian trusts act 1880. Societies registered under section 20 of the societies registration act 1860.
Registered under this section if the company contravenes any of the requirements of this. Has in its objects the promotion of commerce art science sports education research social welfare religion charity protection of environment or any such other object. Section 8 company registered under companies act 2013 for social activity without having any intention for earning a profit.
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