{"id":5361,"date":"2025-04-16T08:52:43","date_gmt":"2025-04-16T08:52:43","guid":{"rendered":"https:\/\/margbooks.com\/blogs\/?p=5361"},"modified":"2025-12-29T11:28:54","modified_gmt":"2025-12-29T11:28:54","slug":"how-can-you-apply-for-registration-under-12aa-of-income-tax-act","status":"publish","type":"post","link":"https:\/\/margbooks.com\/blogs\/how-can-you-apply-for-registration-under-12aa-of-income-tax-act\/","title":{"rendered":"How Can You Apply for Registration Under 12AA of Income Tax Act?"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_69_1 ez-toc-wrap-left counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #1c6e70;color:#1c6e70\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #1c6e70;color:#1c6e70\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/margbooks.com\/blogs\/how-can-you-apply-for-registration-under-12aa-of-income-tax-act\/#What_is_12AA_of_Income_Tax_Act\" title=\"What is 12AA of Income Tax Act?\">What is 12AA of Income Tax Act?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/margbooks.com\/blogs\/how-can-you-apply-for-registration-under-12aa-of-income-tax-act\/#Who_Can_Apply_for_12AA_Registration\" title=\"Who Can Apply for 12AA Registration?\">Who Can Apply for 12AA Registration?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/margbooks.com\/blogs\/how-can-you-apply-for-registration-under-12aa-of-income-tax-act\/#Benefits_of_12AA_Registration\" title=\"Benefits of 12AA Registration\">Benefits of 12AA Registration<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/margbooks.com\/blogs\/how-can-you-apply-for-registration-under-12aa-of-income-tax-act\/#Step-by-Step_Guide_to_Apply_for_12AA_Registration\" title=\"Step-by-Step Guide to Apply for 12AA Registration\">Step-by-Step Guide to Apply for 12AA Registration<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/margbooks.com\/blogs\/how-can-you-apply-for-registration-under-12aa-of-income-tax-act\/#Step_1_Register_on_the_Income_Tax_E-filing_Portal\" title=\"Step 1: Register on the Income Tax E-filing Portal\">Step 1: Register on the Income Tax E-filing Portal<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/margbooks.com\/blogs\/how-can-you-apply-for-registration-under-12aa-of-income-tax-act\/#Step_2_Fill_Form_10A_for_New_Registration\" title=\"Step 2: Fill Form 10A (for New Registration)\">Step 2: Fill Form 10A (for New Registration)<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/margbooks.com\/blogs\/how-can-you-apply-for-registration-under-12aa-of-income-tax-act\/#Step_3_Upload_Required_Documents\" title=\"Step 3: Upload Required Documents\">Step 3: Upload Required Documents<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/margbooks.com\/blogs\/how-can-you-apply-for-registration-under-12aa-of-income-tax-act\/#Step_4_Submit_and_Verify\" title=\"Step 4: Submit and Verify\">Step 4: Submit and Verify<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/margbooks.com\/blogs\/how-can-you-apply-for-registration-under-12aa-of-income-tax-act\/#Step_5_Follow-up_by_Tax_Department\" title=\"Step 5: Follow-up by Tax Department\">Step 5: Follow-up by Tax Department<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/margbooks.com\/blogs\/how-can-you-apply-for-registration-under-12aa-of-income-tax-act\/#Role_of_Online_Accounting_Software_in_the_12AA_Process\" title=\"Role of Online Accounting Software in the 12AA Process\">Role of Online Accounting Software in the 12AA Process<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/margbooks.com\/blogs\/how-can-you-apply-for-registration-under-12aa-of-income-tax-act\/#Why_Choose_Margbooks_for_NGOs\" title=\"Why Choose Margbooks for NGOs?\">Why Choose Margbooks for NGOs?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/margbooks.com\/blogs\/how-can-you-apply-for-registration-under-12aa-of-income-tax-act\/#Final_Thoughts\" title=\"Final Thoughts\">Final Thoughts<\/a><\/li><\/ul><\/nav><\/div>\n\n<p>Running a charitable trust or an NGO in India involves more than just doing good work it also includes fulfilling legal obligations. One of the key registrations you must obtain is under 12AA of Income Tax Act. This registration allows your organisation to claim tax exemption on its income, giving you more financial room to focus on your mission.<\/p>\n\n\n\n<p>But how exactly do you go about applying for 12AA registration? Is the process complicated? And how can tools like Margbooks or other online accounting software make it easier? Let&#8217;s break it all down in this detailed blog post.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_is_12AA_of_Income_Tax_Act\"><\/span><strong>What is 12AA of Income Tax Act?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Before we get into the application process, it&#8217;s important to understand what Section 12AA is all about.<\/p>\n\n\n\n<p>Section 12AA of the Income Tax Act, 1961, provides tax exemption to charitable trusts, societies, and non-profit organizations. If your organisation is registered under this section, the income you generate (donations, grants, etc.) will not be subject to income tax, provided the money is used for charitable purposes.<\/p>\n\n\n\n<p>This provision is crucial because it helps charitable institutions use their resources more effectively without losing a chunk of it to taxes.<\/p>\n\n\n\n<div class=\"btn-div\">\n\n    <a href=\"https:\/\/me9.in\/MBB\" class=\"marg-btn\" target=\"_blank\" rel=\"noopener\">Get Cloud-Based Accounting Software<\/a>\n<\/div>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Who_Can_Apply_for_12AA_Registration\"><\/span><strong>Who Can Apply for 12AA Registration?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The following types of organisations are eligible to apply:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Charitable Trusts (both public and private)<br><\/li>\n\n\n\n<li>Societies registered under Societies Registration Act<br><\/li>\n\n\n\n<li>Non-profit companies registered under Section 8 of the Companies Act<br><\/li>\n\n\n\n<li>NGOs engaged in activities such as education, medical relief, poverty relief, etc.<br><\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Benefits_of_12AA_Registration\"><\/span><strong>Benefits of 12AA Registration<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Here\u2019s why applying for registration under 12AA of Income Tax Act is a smart move:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Tax Exemption:<\/strong> Your income is not taxable if used for the stated charitable purpose.<br><\/li>\n\n\n\n<li><strong>Increased Credibility:<\/strong> It builds trust among donors and funding agencies.<br><\/li>\n\n\n\n<li><strong>Eligible for 80G Registration:<\/strong> After 12AA, your NGO can apply for 80G, allowing donors to claim tax deductions.<br><\/li>\n\n\n\n<li><strong>Government Tenders &amp; Grants:<\/strong> Most government departments prefer working with registered NGOs.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Step-by-Step_Guide_to_Apply_for_12AA_Registration\"><\/span><strong>Step-by-Step Guide to Apply for 12AA Registration<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Let\u2019s walk through the steps involved in applying for registration under this section.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Step_1_Register_on_the_Income_Tax_E-filing_Portal\"><\/span><strong>Step 1: Register on the Income Tax E-filing Portal<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Visit https:\/\/www.incometax.gov.in<a href=\"https:\/\/www.incometax.gov.in\" target=\"_blank\" rel=\"noopener\"><br><\/a><\/li>\n\n\n\n<li>Create an account if you don\u2019t have one<br><\/li>\n\n\n\n<li>Log in using your credentials<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Step_2_Fill_Form_10A_for_New_Registration\"><\/span><strong>Step 2: Fill Form 10A (for New Registration)<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Go to \u201ce-File\u201d &gt; \u201cIncome Tax Forms\u201d &gt; \u201cFile Income Tax Forms.\u201d<br><\/li>\n\n\n\n<li>Select Form 10A, which is meant for applying for 12AA<br><\/li>\n\n\n\n<li>Fill in the required details of your trust\/NGO, including PAN, address, nature of activities, etc.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Step_3_Upload_Required_Documents\"><\/span><strong>Step 3: Upload Required Documents<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>You\u2019ll need to attach the following:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Trust Deed or Memorandum of Association (MOA)<br><\/li>\n\n\n\n<li>Registration Certificate from appropriate authority<br><\/li>\n\n\n\n<li>PAN card of the organisation<br><\/li>\n\n\n\n<li>Address proof<br><\/li>\n\n\n\n<li>Financial statements of the last three years (if applicable)<br><\/li>\n\n\n\n<li>Details of trustees or board members<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Step_4_Submit_and_Verify\"><\/span><strong>Step 4: Submit and Verify<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Once all details are entered and documents uploaded, submit the form<br><\/li>\n\n\n\n<li>Verify using DSC (Digital Signature Certificate) or EVC (Electronic Verification Code)<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Step_5_Follow-up_by_Tax_Department\"><\/span><strong>Step 5: Follow-up by Tax Department<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The Income Tax Department may ask for additional documents or clarifications<br><\/li>\n\n\n\n<li>After reviewing everything, the Commissioner of Income Tax will either approve or reject the application<\/li>\n<\/ul>\n\n\n\n<p>If approved, you\u2019ll receive a formal Order of Registration under Section 12AA, and this remains valid unless withdrawn.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Role_of_Online_Accounting_Software_in_the_12AA_Process\"><\/span><strong>Role of Online Accounting Software in the 12AA Process<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Maintaining accurate books is a vital part of running a non-profit. Without it, getting approval under 12AA of the Income Tax Act becomes quite difficult.<\/p>\n\n\n\n<p>That\u2019s where <a href=\"https:\/\/margbooks.com\/online-accounting-software.html\"><strong>online accounting software<\/strong><\/a> can make your life easier. These tools help you:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Organise financial statements for submission<br><\/li>\n\n\n\n<li>Keep donor records transparent<br><\/li>\n\n\n\n<li>Generate audit-ready reports<br><\/li>\n\n\n\n<li>Track income, expenses, and fund usage in real time<br><\/li>\n<\/ul>\n\n\n\n<p>One such tool that is tailored for Indian organisations is Margbooks, a modern cloud based billing software that also includes accounting functionalities. Whether you&#8217;re an NGO or a small business, Margbooks ensures your financial data is secure, easily accessible, and compliant with Indian tax laws.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Why_Choose_Margbooks_for_NGOs\"><\/span><strong>Why Choose Margbooks for NGOs?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Here\u2019s how Margbooks stands out:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Easy-to-use dashboard with accounting &amp; billing features<br><\/li>\n\n\n\n<li>Customised solutions for non-profits<br><\/li>\n\n\n\n<li>Automated TDS, GST, and Income Tax reports<br><\/li>\n\n\n\n<li>Cloud-based access \u2014 perfect for remote teams<br><\/li>\n\n\n\n<li>Budget-friendly pricing for small and mid-sized organisations<\/li>\n<\/ul>\n\n\n\n<p>Having a reliable tool, Margbooks, by your side during the 12AA application process means fewer errors and more confidence when submitting financial details.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Final_Thoughts\"><\/span><strong>Final Thoughts<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Applying for registration under 12AA of Income Tax Act may seem like a lengthy process, but it&#8217;s completely manageable with a bit of planning \u2014 and the right tools. Once registered, your organisation can enjoy tax benefits and gain more trust from donors and partners.<\/p>\n\n\n\n<p>Don\u2019t forget, keeping your finances organised is half the battle won. So whether you\u2019re just starting or running a well-established NGO, using various tools such as online accounting software or cloud based billing software, <a href=\"https:\/\/margbooks.com\/\"><strong>Margbooks<\/strong><\/a> can save time, reduce stress, and keep you ready for any scrutiny.<\/p>\n\n\n\n<p>If you found this post useful, share it with others who might be navigating the same journey \u2014 let\u2019s help more changemakers thrive in India!<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Running a charitable trust or an NGO in India involves more than just doing good work it also includes fulfilling legal obligations. One of the key registrations you must obtain is under 12AA of Income Tax Act. This registration allows your organisation to claim tax exemption on its income, giving you more financial room to [&hellip;]<\/p>\n","protected":false},"author":7,"featured_media":5362,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"rank_math_lock_modified_date":false,"footnotes":""},"categories":[1948],"tags":[57,86,1229,2094,54,1065],"class_list":["post-5361","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-income-tax","tag-cloud-based-accounting-software","tag-gst-billing-software","tag-gst-return-filing","tag-income-tax","tag-online-accounting-software","tag-tax-compliance"],"blocksy_meta":[],"blog_post_layout_featured_media_urls":{"thumbnail":["https:\/\/margbooks.com\/blogs\/wp-content\/uploads\/2025\/04\/12aa-of-income-tax-act-150x150.png",150,150,true],"full":["https:\/\/margbooks.com\/blogs\/wp-content\/uploads\/2025\/04\/12aa-of-income-tax-act.png",1200,576,false]},"categories_names":{"1948":{"name":"Income Tax","link":"https:\/\/margbooks.com\/blogs\/category\/income-tax\/"}},"tags_names":{"57":{"name":"cloud based accounting software","link":"https:\/\/margbooks.com\/blogs\/tag\/cloud-based-accounting-software\/"},"86":{"name":"gst billing software","link":"https:\/\/margbooks.com\/blogs\/tag\/gst-billing-software\/"},"1229":{"name":"GST return filing","link":"https:\/\/margbooks.com\/blogs\/tag\/gst-return-filing\/"},"2094":{"name":"Income Tax","link":"https:\/\/margbooks.com\/blogs\/tag\/income-tax\/"},"54":{"name":"online accounting software","link":"https:\/\/margbooks.com\/blogs\/tag\/online-accounting-software\/"},"1065":{"name":"tax compliance","link":"https:\/\/margbooks.com\/blogs\/tag\/tax-compliance\/"}},"comments_number":"0","wpmagazine_modules_lite_featured_media_urls":{"thumbnail":["https:\/\/margbooks.com\/blogs\/wp-content\/uploads\/2025\/04\/12aa-of-income-tax-act-150x150.png",150,150,true],"cvmm-medium":["https:\/\/margbooks.com\/blogs\/wp-content\/uploads\/2025\/04\/12aa-of-income-tax-act.png",300,144,false],"cvmm-medium-plus":["https:\/\/margbooks.com\/blogs\/wp-content\/uploads\/2025\/04\/12aa-of-income-tax-act.png",305,146,false],"cvmm-portrait":["https:\/\/margbooks.com\/blogs\/wp-content\/uploads\/2025\/04\/12aa-of-income-tax-act.png",400,192,false],"cvmm-medium-square":["https:\/\/margbooks.com\/blogs\/wp-content\/uploads\/2025\/04\/12aa-of-income-tax-act.png",600,288,false],"cvmm-large":["https:\/\/margbooks.com\/blogs\/wp-content\/uploads\/2025\/04\/12aa-of-income-tax-act.png",1024,492,false],"cvmm-small":["https:\/\/margbooks.com\/blogs\/wp-content\/uploads\/2025\/04\/12aa-of-income-tax-act.png",130,62,false],"full":["https:\/\/margbooks.com\/blogs\/wp-content\/uploads\/2025\/04\/12aa-of-income-tax-act.png",1200,576,false]},"_links":{"self":[{"href":"https:\/\/margbooks.com\/blogs\/wp-json\/wp\/v2\/posts\/5361","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/margbooks.com\/blogs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/margbooks.com\/blogs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/margbooks.com\/blogs\/wp-json\/wp\/v2\/users\/7"}],"replies":[{"embeddable":true,"href":"https:\/\/margbooks.com\/blogs\/wp-json\/wp\/v2\/comments?post=5361"}],"version-history":[{"count":4,"href":"https:\/\/margbooks.com\/blogs\/wp-json\/wp\/v2\/posts\/5361\/revisions"}],"predecessor-version":[{"id":8501,"href":"https:\/\/margbooks.com\/blogs\/wp-json\/wp\/v2\/posts\/5361\/revisions\/8501"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/margbooks.com\/blogs\/wp-json\/wp\/v2\/media\/5362"}],"wp:attachment":[{"href":"https:\/\/margbooks.com\/blogs\/wp-json\/wp\/v2\/media?parent=5361"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/margbooks.com\/blogs\/wp-json\/wp\/v2\/categories?post=5361"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/margbooks.com\/blogs\/wp-json\/wp\/v2\/tags?post=5361"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}