A founder’s guide
How to start an NGO in India
Nine steps from a first idea to a first corporate partner, by Raghu Vamsi Kadiri, who registered Marpu Foundation at 18. Brought up to date for the Income-tax Act, 2025.
| Legal forms | Trust, society or Section 8 company |
| Registrations | PAN, 12A and 80G, NGO Darpan, CSR-1 |
| Written by | Raghu Vamsi Kadiri, founder of Marpu Foundation |
| Updated | October 2026 |
Nine steps, in order
Most first-time founders spend all their energy on step three. The organisations that last spend it on steps eight and nine.
1
Decide what the NGO is for
Name the cause, the place and the people you will serve, in one sentence. Then look for an organisation already doing it well: joining or partnering can do more good, faster, than registering a new one.
Read his decision guide before you file anything.
2
Choose the legal form
A trust, a society or a Section 8 company. The choice decides who runs the organisation, what you file every year and how companies see you. The comparison below sets them side by side.
3
Register it
A trust registers its deed with the sub-registrar or, in states such as Maharashtra and Gujarat, with the Charity Commissioner. A society files its memorandum and rules with the state Registrar of Societies, under the 1860 Act or the state’s own law, such as Telangana’s Societies Registration Act, 2001. A Section 8 company is licensed and incorporated through the Ministry of Corporate Affairs.
4
Get a PAN, a bank account and a TAN
The organisation needs its own PAN and a bank account in its own name before it takes a single rupee, and a TAN once it deducts tax at source.
5
Apply for 12A and 80G
Under the Income-tax Act, 2025, the 12A registration is now Section 332 and the 80G approval Section 354; donors claim their deduction under Section 133. Start with provisional registration, which lasts three tax years. Regular registration lasts five, or ten when total income stays within ₹5 crore in each of the two previous years, so renewals belong in the calendar from day one.
6
Register on NGO Darpan
A unique ID on NITI Aayog’s portal, asked for by government programmes and many partners.
7
File Form CSR-1 when you are ready for companies
Companies can fund an NGO that is registered under 12A and 80G and has filed Form CSR-1 with the Ministry of Corporate Affairs. Under the CSR rules, an independent NGO also needs a three-year track record in similar work.
His guide: How to get CSR-1 registration for your NGO.
8
Build the compliance calendar
Audit, the income tax return, returns to the registrar, statements of donations received, and every renewal date. Set it up once and keep it current.
Use the NGO compliance calendar for 2026.
9
Earn trust before you scale
Run the first project with volunteers and almost no budget, record everything, and let the second partner hear about the first.
How to get your first corporate partner and how to survive the first two years.
Before you file
The papers to have in hand before anyone drafts a deed or a memorandum. Missing one is the usual reason a registration stalls.
- A name that no registered organisation in your state already uses; a Section 8 company also needs the Registrar of Companies to approve it.
- Objects written to cover the work you plan, including the Schedule VII areas companies fund under CSR.
- Identity and address proof for every trustee, member or director.
- Proof of the registered office address, with a no-objection letter from the owner.
- The trust deed, the memorandum and rules, or the memorandum and articles, drafted for your state.
- For a Section 8 company: digital signature certificates for the first directors.
- A plan for the first bank account, PAN and accounting, ready for the day registration comes through.
Trust, society or Section 8 company
The same goal, three structures. State rules differ, so check yours with a professional before you file.
| Trust | Society | Section 8 company | |
|---|---|---|---|
| Set up under | A trust deed, under state law or the Registration Act, 1908 | The Societies Registration Act, 1860, or the state’s own act | The Companies Act, 2013 |
| Smallest team | One settlor; two or more trustees in practice | Seven members in most states | Two directors and two members |
| Registered with | The sub-registrar, or the Charity Commissioner in states such as Maharashtra and Gujarat | The state Registrar of Societies | The Registrar of Companies |
| Who runs it | Trustees, as the deed sets out | An elected governing body, under its rules | A board of directors, under company law |
| Time and cost to set up | Usually the quickest and cheapest | Moderate | Usually the slowest and costliest |
| Yearly compliance | Lightest | Moderate, with returns to the registrar in many states | Heaviest: filings, board meetings and audit under company law |
| Best when | A small team wants a simple structure | Members should elect who leads | You plan to scale with corporate and institutional partners |
A general guide, not legal advice. See the disclaimer.
Tools for the road
Written for Indian founders. The checklists, glossary and research are free.
The book
How to Start an NGO in India, A Step-by-Step Guide: Inspired by the Marpu Foundation Journey, on Kindle, drawn from Marpu’s early years.
Checklists
The before-you-register checklist and the CSR-readiness pack for NGOs.
The glossary
Every term on this page, from 12A to Schedule VII, explained in the CSR and nonprofit glossary.
The research
The state of India’s nonprofit sector in 2026, in a research brief.
What founders ask first
How much does it cost to register an NGO in India?
Government fees are modest; most of the cost is professional help with drafting and filings, and it varies by state and form. A trust is usually the cheapest to set up and a Section 8 company the costliest. His guide to costs and process goes into detail.
How long does NGO registration take?
Weeks to a few months, depending on the legal form and the state. Tax registration, NGO Darpan and CSR-1 come after.
Can a student start an NGO?
Yes. Raghu registered Marpu Foundation at 18, while studying. Start with his guide for students.
Can a new NGO get CSR funds?
Companies can fund NGOs registered under 12A and 80G that have filed Form CSR-1, and an independent NGO also needs a three-year track record in similar work. Until then, build that record with volunteers and individual donors.
Does a new NGO need FCRA registration?
Only to receive foreign contributions. FCRA registration usually needs about three years of work and a record of spending on it; Marpu Foundation has grown on domestic funding alone.
Which is better: a trust, a society or a Section 8 company?
It depends on who should run the organisation and how far you plan to take it. The comparison above is the short answer; his longer comparison covers each in depth.
If you are starting an NGO this year: start before you feel ready, and build the paperwork as carefully as the programme. I learned both the hard way.
Write to me with your idea and where you are stuck. Advisory sessions for founders and boards are on the advisory page.
Raghu