What is Society?
If you are looking to start a School in India, the first and foremost thing is to form a TRUST, SOCIETY or a SECTION 8 Company. but mandatory requirement is it that they should be of Not-For-Profit and Non- Proprietary in nature.
Here I am going to write about the Society Registration Act, 1860 was introduced in India 21 May 1860. Society Registration Act was enacted under the British Rule in India but is largely still in force in India today. The Societies Registration Act, 1860 lays down laws and regulations regarding the procedure for registration of societies in India and its operation in India. According to the Society Registration Act,1860 defines “A society as an association of persons united together by mutual consent to deliberate, determine and act jointly for some common purpose. Societies are usually formed for the promotion of charitable activities like education, religion, art and culture, music and sports activities etc”.
The act also lays down some features of a society as follows:
- A Society can be formed by a minimum of seven or more than seven persons.
- People, companies and other registered societies which are not based in India or are in a foreign location can subscribe to the Memorandum of a society in India.
- Societies can be registered or unregistered. However, only registered Societies can be legally protected and can take advantage of benefit given by the government.
Societies Act, 1860
The Societies Registration Act, 1860 was introduced with the aim of improving the legal conditions of societies registration for promotion of literature, science or fine arts or for diffusion of useful knowledge for charitable purposes. The Societies Registration Act, 1860 has been adopted by most of the State Governments with/without further amendments.
Society Registration – Purposes
A Society can be formed for the promotion of literature, science or fine arts or the diffusion of useful knowledge or political education or for charitable purposes. As per Section 20 of the Societies Act, 1860, a Society can be registered for the following purposes:
- Grant of charitable assistance.
- Creation of Military Orphan funds.
- Promotion of Science.
- Promotion of Literature.
- Promotion of Fine Arts.
- Promotion or Instruction or Diffusion of useful Knowledge.
- Diffusion of Political Education.
- Foundation or maintenance of libraries or reading rooms.
- Foundation or maintenance of Public Museum or Galleries.
In addition to the above purposes specified by the Societies Act, 1860, a Society can also be registered for other purposes based on the amendment that has been enacted to the Societies Act, 1860 by the concerned State Government.
Society Registration in India
A Society can be formed by a minimum of seven or more persons. Besides persons from India, foreigners, companies and other registered societies can subscribe to the Memorandum of a society. Like Partnership Firms, Societies can also be registered or unregistered. However, only registered Societies can hold vested properties and/or have a suit filed by or against the Society.
Society registration is managed by State Governments. Therefore, the application for registration of society must be made to the concerned authority in the State, in which the registered office of the Society will be situated.
To register a Society, the founding members must first agree on a name for the Society and prepare the Memorandum and Rules and Regulations of the Society.
Documents Required to register a society In India
Following are the documents required for the Society Registration in India:
- PAN Card (all members)
- The Residence Proof (all members)
- Memorandum of Association (MOA)
- Articles of Association
- Covering Letter
- Address Proof (Of all Members)
- Governing Body List
- A Declaration signed by all members
PAN Card:
The PAN card of all the members of the proposed society will have to be submitted along with the application.
Residence Proof:
Residence proof of all the members of the society will also have to be submitted. The following can be used as valid residence proof:
- Bank Statement
- Aadhaar Card
- Utility Bill
- Driving License
- Passport
Memorandum of Association (MOA)
A memorandum of association is to be prepared with the following sections and information:
- The Functions and Purpose of the society for which it is being established.
- Details of the members who constitute the society
- It must have the address of the registered office of the society.
Articles of Association
Articles of the association will also have to be prepared which will contain the following information:
- Rules and Laws by which the functioning of the society will be regulated and the activities of the day shall be maintained
- There will be rules for membership in the society.
- Details about the meetings of the society and the frequency they occur are to be mentioned.
- Information about auditors
- Form of arbitration in case of any dispute between members of society
- Methods of the disintegration of society will also be mentioned
Once the rules are made, they can be changed, but the new set of rules will be signed by the society’s Secretary, Chairman, President and Vice president.
Covering Letter
A covering letter mentioning the objective or purpose for which the society is being formed will be attached at the beginning of the application. It will be signed by all the founding members of the NGO society.
Address proof
A copy of the address proof where the registered office of the society will be located with the NOC from the landlord if any is to be attached.
Governing Body
All members of the governing body should be given a list with their signature.
Declaration Form
An announcement is to be made by the president of the proposed society that he is willing and able to hold the said post.
All the above documents have to be submitted to the Registrar of Societies with the requisite fee in 2 copies. On receipt of the application, the registrar will sign the first copy as acknowledgement and return it, keeping the second copy for approval. On proper delivery of documents, the registrar will issue a certificate of incorporation by allocating the registration number.
The signed rules and laws and the memorandum have to be filed with the Registrar of the concerned society or state with a specified fee. Suppose the registration of the Registrar Society is complete with the application. So they will certify that the organisation is registered.
Procedure to Society Registration
Societies are registered and acclaimed by state governments through registrations overseen by the Registrar of Societies of every state.
The registration or constitution of a society is completed in 2 parts:
a. Memorandum of Association
b. Rules and Regulations of the society
Memorandum of Association
The Memorandum of Association includes many clauses like the name of the society, the address of the registered office, an object for the formation of society and details of the overall body. Memorandum of Association includes various Clauses such as Name Clause, Registered Office, Clause Object Clause, General and Body Member Clause.
A Society needs a minimum of seven managing committee members; there is no upper limit to the number of managing committee members. The Board of Management is in the form of a governing body or council or a managing or executive committee. The society has a Chairman, Treasurer, Secretary and ordinary members. There will be some permanent members and some temporary members.
Now most of the States in India has Online details available on website, one can check the details.
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