What is Section-8 Company?
A Section 8 company is a non-profit organization formed with the objective of promoting commerce, arts, science, sports, education, research, social welfare, and protection of the environment.
An individual or group of individuals can apply for Section 8 Company Registration if it holds the below-mentioned intentions.
Compliances for Section 8 Company:
1. Appointment of An Auditor:
It is mandatory for companies to appoint an auditor. The book of accounts and annual returns of the company shall be audited by the statutory auditor who will be appointed for a period of 5 years.
2. Board Meetings:
Section 8 companies are required to have at-least one meeting within every six calendar months.
(Only 2 Meeting within Financials year)
3. DIR 3 KYC
Applicability: Every individual who has been allotted a Director Identification Number (DIN) as on 31st march of a financial year.
All the Directors of the Company shall file this form on or before 30th September every year.
4. Annual General Meeting
Every Company is required to hold an Annual General Meeting on or before 30th September every year during business hours (9 am to 6pm), on a day that is not a public holiday and either at the registered office of the Company or within the city, town or village where the registered office is situated.
5. Notice of AGM:
Section 8 Company can hold a meeting with minimum 14 days’ notice as against 21 days’ notice otherwise applicable under section 101 (1) of Companies Act.
Company is required to file its Balance Sheet along with the Statement of Profit and Loss Account, Cash flow statement, Directors’ Report and Auditors’ Report in this form within 30 days of holding of the Annual General Meeting.
Every Company will file its Annual Return within 60 days of holding of the Annual General Meeting.
Return of deposits
OR Particulars of transactions by a company not considered as deposit as per rule 2 (1) (c) of the Companies (Acceptance of Deposit) Rules, 2014
OR Return of Deposit and Particulars of transactions by a company not considered as deposit.
Every director shall at the first meeting of the Board in which he participates as a director and thereafter at the first meeting of the Board in every financial or changes in his interest.
Declaration in form DIR-8 that director is not disqualified is required to be given in every financial year
11. Company Name Board
Every Company shall paint or affix the name and address of registered office and keep the same painted/affixed, outside every office or place in which its business is carried on, in legible letters.
12. Letter Head of Company
Every Company shall get its name, address of registered office, CIN, telephone, and email printed on all business letters, billheads, letter papers.
Q1. Can Partnership become a member of Section 8 Company
Q.2 Can Company with unlimited liabilities cannot be registered as Section 8 Company?
Q.3 Can Section 8 Company be amalgamated with a company which is not a Section 8 company.
Q.4 How many meetings are required in Section 8 Company?
Q. 5 What is requirement of Quorum in case of Section 8 Company?
Q. 6 What are exemptions for Section 8 Company?
Disclaimer: The entire contents of this document have been prepared on the basis of relevant provisions and as per the information existing at the time of the preparation. In No Event Shall I Shall Be Liable For Any Result Arising Out Of Or In Connection With the Use of the Information.