What is the difference between a trust, society and Section 8 company?

Short answerA trust is simplest and run by trustees; a society is a membership body run by a managing committee; a Section 8 company is a non-profit company with the most structure and credibility (and MCA compliance). Choose based on how formal, fundable and scalable you need the NGO to be.

The three forms

Trust (trustees), society (members + committee), Section 8 company (corporate non-profit).

Which to choose

Section 8 suits larger, grant-funded NGOs; a trust suits a simple, family-run charity.

Talk to CA Vijay R Singh

Deciding which NGO structure to use? You can message him directly, or book a short call to talk through your situation.

This answer is general information for trusts and societies, not tax or legal advice. Tax rates, thresholds and forms change with each Finance Act — please confirm the current position for your own facts, or speak to us, before acting.

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