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Secretarial Audit Csr Compliance Review
Companies Act compliance

Expert brief on Secretarial Audit Csr Compliance Review for businesses, promoters, and individuals. Reconcile with latest notifications before filing.

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Last fact-checked: 2026-06-22
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Registration

What this page helps you decide

  • Determine if your NGO requires registration under Section 12AB (for income tax exemption) or Section 80G (for donor tax deduction).
  • Check the validity and renewal deadlines for provisional registrations (valid for 3 years) vs regular registrations (valid for 5 years).
  • Assess if the NGO qualifies to receive foreign donations under the Foreign Contribution Regulation Act (FCRA).
  • Confirm the annual compliance checklist (filing Form 10BD, audit reports in Form 10B/10BB, and ITR-7).
Fact check

Accuracy notes before you act

  • NGOs must apply for renewal of 12AB and 80G registrations at least 6 months before their 5-year validity expires.
  • To claim tax exemption under Section 11, the trust must apply at least 85% of its income to charitable/religious purposes in India.
  • Form 10BD (statement of donations) must be filed online on or before May 31st of the following financial year.
  • Anonymous donations exceeding ₹1 lakh or 5% of total donations (whichever is higher) are taxed at 30% under Section 115BBC.
  • Donations made to other trusts towards their corpus funds do not qualify as application of income under recent amendments.
Documents

Documents and facts to keep ready

  • Trust Deed, Society Registration Certificate, or Section 8 Company Certificate of Incorporation.
  • PAN and Aadhaar cards of the trustees, directors, or governing body members.
  • Form 10A/10AB registration orders issued by the Income Tax Department.
  • Books of accounts, donation receipts, and bank account statements.
  • Donor details (PAN, name, address, donation amount) for Form 10BD filing.
Care points

Common mistakes to avoid

  • Failing to file Form 10BD by May 31st, which attracts a late fee of ₹200 per day u/s 234G and prevents donors from claiming 80G deductions.
  • Delaying the submission of the audit report (Form 10B/10BB) beyond September 30th, resulting in the loss of tax exemptions for that year.
  • Receiving foreign contributions in a non-designated bank account, violating FCRA guidelines.
  • Failing to file Form 10 online to accumulate unapplied income (up to 15%) before the ITR filing due date.
  • Filing a standard ITR-5 instead of ITR-7, leading to defective return notices.
Questions People Ask

Frequently Asked Questions

1. What are the key registration and compliance requirements for an NGO or trust involved in Secretarial Audit Csr Compliance Review?

Charitable trusts or societies working on Secretarial Audit Csr Compliance Review must obtain registrations under Section 12AB (for income tax exemption) and Section 80G (for donor tax deductions) from the Income Tax Department.

2. What annual filings are mandatory for trusts working with Secretarial Audit Csr Compliance Review?

NGOs dealing with Secretarial Audit Csr Compliance Review must file their annual statement of donations in Form 10BD by May 31st, submit audit reports in Form 10B/10BB, and file their annual return in Form ITR-7 by October 31st.

3. What is the validity period of Section 12AB and 80G registrations?

Both Section 12AB and 80G registrations are granted for a block of 5 years. NGOs must apply for renewal of registrations at least 6 months before the expiry of the 5-year period. Provisional registrations are granted for 3 years.

4. What is Form 10BD, and when is it filed?

Form 10BD is the annual statement of donations that registered NGOs must file on the e-filing portal. It lists details of all donors (PAN, name, donation amount) and must be filed on or before May 31 of the following financial year.

5. What is a Section 8 Company?

A Section 8 Company is a non-profit organization incorporated under the Companies Act, 2013, to promote art, science, sports, education, charity, or environment. Its profits must be applied solely to its objectives, and no dividends can be paid to members.

6. What is FCRA registration, and who needs it?

FCRA (Foreign Contribution Regulation Act) registration is mandatory for any NGO that intends to receive foreign donations or contributions. It is regulated by the Ministry of Home Affairs (MHA) and is valid for 5 years.

7. What are the conditions for tax exemption under Section 11 & 12?

To claim exemption, the NGO must apply at least 85% of its income toward charitable or religious purposes in India during the financial year. If it cannot apply 85%, it can accumulate the income for up to 5 years by filing Form 10 online.

8. What is the CSR spend obligation under the Companies Act?

Under Section 135 of the Companies Act, 2013, companies with a net worth of ₹500 crore or more, turnover of ₹1,000 crore or more, or a net profit of ₹5 crore or more must spend at least 2% of their average net profits of the preceding 3 years on Corporate Social Responsibility (CSR).

9. Can an NGO carry out commercial or business activities?

Yes, under the proviso to Section 2(15), an NGO can carry out activities in the nature of trade or business, provided the activities are incidental to the main objectives, and the aggregate receipts from such business do not exceed 20% of the total receipts of the NGO in that FY.

10. What is the due date for filing ITR for trusts and NGOs?

Trusts and NGOs registered under Section 12AB must file their ITR in Form ITR-7 by October 31 of the Assessment Year. If audit is required, the audit report in Form 10B/10BB must be submitted by September 30.

11. What is the difference between Form 10B and Form 10BB audit reports?

Form 10B is the audit report required if the trust's total income exceeds ₹5 crore, or if it receives foreign contributions, or if it applies income outside India. Form 10BB is used by other trusts that do not meet these conditions.

12. What is the tax rate on anonymous donations received by a trust?

Under Section 115BBC, anonymous donations received by a religious or charitable trust are taxed at a flat rate of 30% on amounts exceeding ₹1 lakh or 5% of total donations received, whichever is higher.

13. Can an NGO make donations to another NGO?

Yes, an NGO can donate to another registered NGO out of its current year's income. However, such donations cannot be made out of accumulated funds, and donations towards corpus funds of another trust are not allowed as application of income.

14. What is NGO Darpan registration?

NGO Darpan is a portal maintained by NITI Aayog. It provides a unique ID to NGOs, which is mandatory to apply for government grants, schemes, and to file for FCRA registrations.

15. What happens if an NGO fails to file its ITR on time?

If the ITR-7 is not filed before the due date, the NGO loses its tax exemption under Section 11 & 12 for that financial year, and its entire income will be taxed at maximum marginal rates. Late filing fees and interest also apply.