Brief of Society Registration
The "society" piece of equipment arose to meet the demand for a non-profit organisation to ensure the long-term viability of charitable activities such as education, art, religion, culture-music, and sport, among others. Because they are non-profit, associations or societies are formed to aid in the advancement of these causes. These acts have resulted in a request for a legal entity to own, possess, and manage funds and assets for the attainment of charitable or promotional goals set forth by donors. Furthermore, a society can be formed to achieve this goal.
Importance of a Society's Registration
A society is an organisation of people who get together for a specific purpose and work together on mutual consent to achieve a common goal. The Society Registration Act of 1860 regulates the actions of a society registered in India. Members of the community must maintain mutual consideration and abide by the provisions of this Act in order to maintain harmony and contribute to social welfare.
- Grant money for philanthropic purposes.
- Military orphan funds are being established.
- Societies that have been recognised by India's General Presidencies.
- Science's endorsement.
- Fine arts are a type of art.
- Instructions or the dissemination of useful information
- Political education dissemination.
- Groundwork for libraries or reading rooms, as well as their upkeep.
- Painting galleries and a public museum.
- Works of Act.
- Inventive history collections.
- Inventions in both mechanical and intellectual fields.
Profit Motives are Prohibited
Profit motive for personal use is forbidden for a society registered under the Societies Registration Act, 1860. The money made by such a society must always be used to benefit the organization's operations.
Advantages of Joining the Society Registration
- Each certified society obtains legal recognition.
- A lawfully registered society can open a current account.
- Under the Income Tax Act, you might receive delegation and respect.
- The legal status of a certified society is obtained, which is required for the statutory vesting of society's riches.
- Before all forums and authorities, a registered society receives legal identification.
- Members of the registered society are legally obligated in the same way as they would be if they signed the Memorandum.
- A certified society has the ability to sue or be sued.
Registration and Non-Registration of Societies: Integrity and Non-Registration
The Societies Registration Act of 1860 establishes the procedure for registering societies for a variety of legitimate purposes. The listing provides the society with legal standing and is required.
- To open a bank account.
- Obtaining certification and tax benefits under the Internal Revenue Code.
- Societies' properties are legally vested.
- At all gatherings and in front of all jurisdictions, provides identity to the society.
As if each member had supported the memorandum, the society and its members are bound to the same territory after registration. The actions of a society enrolled under this Act must be limited to the sphere covered by its objects. Any tax imposed on society is one that is imposed on society rather than on its members. Furthermore, any society registered under the Act has the legal status of a legal organisation apart from its members.In the event of a loss of registration, all of the capital trustees have their own legal position, whereas the society has none, and so cannot sue or be sued. In practise, a non-registered society may exist, but not in law. The Income-tax Act does not allow an unregistered society to claim benefits.
Eligibility for Society Registration
A partnership firm is equivalent to a Registered Society. Furthermore, the merits of these societies differ from those of an unregistered group. For a community to be formed, there must be at least 7 members. The following members are eligible to join the society's Memorandum: Aside from individuals, the following entities are eligible to form an organisation by donating to the society's Memorandum:
- Registered society
- Partnership firm
- Other registered society
- Minors not eligible
- Limited company
- Indian companies
- Foreign companies
Checklist Glossary for Society Registration
- Covering letter requesting society registration, with numerous records annexed in the body of the communication.
- Copy of the Memorandum of Association, as well as a certified copy.
- In the case of existing places of worship, such as a temple, masjid, or gurdwara, sufficient documentary proof certifying the applicant society's legal competence and control over such locations should be filed.
- The President or Secretary of the Service will value the affidavit.
- Documentary proof of a house tax receipt, a rent receipt for a society's registered office, or a 'No Objection Certificate' from the society's keeper.
- PAN All members of the society are identified.
- Members' evidence of residency, such as an Aadhar card, an electricity bill, a bank statement, or a gas bill.
- A list of all the members, including their names, addresses, and contact information.
- Copies of society's norms and regulations.
- The minutes of the society's prior meeting confirming the society's registration.
- The president of the society makes a declaration indicating his readiness and ability to serve as president.
Procedure for Registering a Society Online
As the state executives deal with society registration, connect to the relevant state authority for society registration online.
- According to the Indian Society Act, the name of the society must be different and distinct from that of the certified society. The name must be decided upon and accepted by all members. No title shall be prohibited by statutory requirements of any act, nor shall it be in violation of any legal obligation.
- The society must have a memorandum of association after agreeing on a title that describes the rules and regulations that must be followed by the group and its members. The members must sign and certify the protocol, which will be witnessed by an oath commissioner, notary, and first-class magistrate who will stamp it and provide their complete address.
- Apply to the Registrar of the Society of the relevant state with authority for society registration, accompanied by the documents listed below (two copies of each document). The first copy will be signed by the authority as confirmation, and the second copy will be returned to the applicant once permission has been granted. Following receipt of the request, the Registrar will review it for accuracy and, if approved, will issue a Certificate of Registration with a registration number.
Registration of Societies in India
The Societies Registration Act should be in effect for society certification. After the people who want to form a society have decided on a name and drafted a memorandum and rules and regulations for the society, the following means for manifesting the society must be chosen:
Memorandum of Association Manifestation
The Memorandum of Association, or MOA, is a document that represents and describes the goal of the organization's continued existence and operation. It establishes the authorised range of force and capability. In order to design this document, which will primarily be necessary for the overall fulfilment of the objectives, supervision is quite important. Each page of the memorandum should be signed by all subscribers, and the signatures should be witnessed by an Oath Commissioner, Notary Public, Gazetted Officer, Advocate, Chartered Accountant, Magistrate First Class, and their rubber/official stamp and complete address.
Memorandum of Association Designation of Society Format and Guidelines
- Alternative names for the Registrar of Society can be used to see if it's not flawed and if it's not already in use by other societies.
- It should not imply immorality or a lack of honour.
- It should not be likely to cause discord, antagonism, or hatred among members of the community or associations.
- It should not be the same as the name of a still-existing enrolled society.
- It might be accomplished by using the word 'trust.'
- The title should be written in such a way that it does not call attention to the images and names that are required under the 'Prevention of Improper Use' Act of 1950.
- It should not be construed as implying or calculating the Government of India's patronage or acting as a middleman with the local authority or any company or body appointed by the government in accordance with any law in existence at the time.
- If the name does not comply with these requirements, the Registrar has the authority to refuse registration.
The Society's Registered Office
The main Act does not need the certified office address to be included in the society's Memorandum of Association; nonetheless, it is usually preferable to include the registered office address in the Memorandum so that letters and notices can be sent to the society.
The Society's Aspirations
Once constituted, the society must act within the 'object clause' structure. Any unfolding of the society that is not within the scope of the object clause may be considered NULL & VOID, as well as being outside the permissible scope of the society. Nonetheless, the object clause should be written with great care and attention.
Governors, Councils, and Committee Directors' Names and Addresses
The Act mandates that the Memorandum include the names, residences, and occupations of the individuals listed above. It makes no difference if a member is referred to as a governor, director, or president. Individual members are not aware of the existence of these office bearers. The society's board and administration are both interested in them.
The Society's Rules and Regulations
The standards assist the authority in carrying out the society's goals. They are required of all members of society. At least three members of the regulatory body must approve the rules.
Accountancy and auditing
The societies have their own funds and possessions, which were given to them by members or other individuals (by way of donation, etc.). The funds and resources are used to achieve the goals for which the society is created. The governors who apply the are members of the regulating body.It is a guarantee that the societies keep adequate account books, have them audited, present them to the members at the annual general meeting, and submit them with the Registrar for examination. Every society should have its financial statements audited and a balance sheet prepared by a qualified auditor once a year. The auditor shall present a report detailing the society's business activity as of a specific date.
AOA (Articles of Association)
- Rules and ordinances that control the functioning of society and the preservation of day-to-day activities.
- It will incorporate the regulations for putting the society's membership into practise.
- The characteristics of the society's meetings, as well as the frequency with which they will be held, should be noted.
- Information on the Auditors.
- Forms of Arbitration in the event of a disagreement among society members.
- Methods for society's dismissal should be given.
Decree against Societies is being carried out
Any decree relating to any individual or officer of the society who represents the society in a legal procedure cannot be enforced against such person's personal property. The association's capital is only obliged to pay for the decree issued against a society. Under the main Act, this assurance is offered to the association's office-bearers.
Litigations and Prosecutions
Because each society is a different legal entity from its members, it is capable of bringing legal action against any individual or member. Similarly, society can be affected by the clothing. Even though it is not registered in that state, a registered society can launch a lawsuit anywhere in India and in any state.
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Frequently Asked Questions
Individuals, foreigners, corporations, partnership firms, and other accredited organisations are all eligible.
No, members of society do not have any right to profit from the organisation in any way.