NGO REGISTRATION IN KARACHI

Pakistan is recognized to be the only country whom name is involved in vast charitable campaigns. Among other reasons one is that Pakistan is under-progress country and it is growing fast. The non-profit sector in Pakistan is expanding with each passing decade to meet the growing challenges in the country. The Government of Pakistan realizes the importance of Non-Governmental Organizations (commonly referred as NGOs) and their role in the country for its betterment and growth. There are many NGOs and other community-based organizations working in Pakistan.

NGO Registration

NGO Registration

The NGOs with formal structure usually become societies or voluntary welfare organizations and a large proportion of the non-profit sector does not get registered with any government body.

AN OVERVIEW OF NON-PROFIT SECTOR IN PAKISTAN

The recent times witnessed a great expansion in the development sector. According to the study, there are over 45,000 functional non-profit organizations operating in Pakistan. It is also estimated that the non-profit sector generates income of over PKR 16,400 million.

The NGO registration in Karachi and throughout Pakistan takes place for the specific purpose to conduct multiple activities in the areas of education, health, poverty eradication, women and children rights and other social issues at the provincial as well as national level.

HOW NGOs ARE GOVERNED IN KARACHI, PAKISTAN

NGO registration in Karachi is not very different from NGO registration in any other city in Pakistan. The legal Procedures which permits NGOs to function, is different from for-profit organizations. There exist certain laws in the country for the NGO registration and keeping them operational as per the defined regulations.

The Voluntary Social Welfare Bodies (Registration & Handle) Ordinance, 1961:

The NGO registration in Karachi, Pakistan can be done under the Voluntary Social Welfare Agencies (Registration and Control) Ordinance 1961. The legislation outlines approved purposes that lie within social welfare scope. The NGO registration under this ordinance is compulsory if the organization wishes to take funding from the government.

The Societies Registration Act, 1860:

Another way of NGO registration in Karachi is the formation under The Societies Registration Act 1860. The act is applicable to the charitable societies formed on the basis of public benefit at a larger scale. Almost 66% of NGOs in Pakistan are registered under the Societies Registration Act, 1860. This implies great significance of the regulation.

Income Tax Ordinance, 2001:

According to the Income Tax Ordinance 2001, the eligible NGOs are exempted from the income tax.

NGO REGISTRATION IN KARACHI, PAKISTAN – PROCESS GUIDE

The Pakistan government engages in establishing policies to run the federal system. Therefore, the state evaluates how much power is to be given to NGOs to stay them operational and support them play the significant role in the country.

For the NGO registration in Karachi, there are two departments which administer and monitor the organizations under Voluntary Social Welfare Agencies (Registration and Control) Ordinance 1961. These departments include:

• Ministry representing Special Education and Social Welfare

• The Provincial Social Welfare Department – Sindh Government

Furthermore, the NGO registration in Karachi, Pakistan under the Societies Registration Act 1860 is approved through the District Offices of the Industry Department.

Securities and Exchange Commission (SEC) is accountable for issuing a license for the NGO registration in Karachi. However, there are certain terms applied in order to grant the license. The Not-for-profit companies are required to apply for a license from the Securities and Exchange Commission (SEC). Certain terms must be fulfilled before the SEC will grant a License.

BENEFITS OF NGO REGISTRATION IN KARACHI, PAKISTAN

Karachi is the hub of opportunities with challenges and there has always been a vision of development. Although there exist many unregistered NGOs running in Karachi and throughout Pakistan but there are legitimate benefits offered to the registered NGOs which have increased the worth and significance of NGO registration in the country.

To begin with, all the registered NGOs (including international NGOs) may be qualified for exemptions of certain taxes. However, there are conditions applied to this regulation. Registered charity organizations can get exempted from income tax on the major part of their income if the funds granted to the non-profit organization are solely used for the defined charity objectives and goals. Here, it is important to mention that any kind of exemption is not granted for income earned from property or any monetary gains from business activities. In order to receive the tax exemption and other benefits associated with NGOs, the organization must get registered with the Central Board of Revenue. The approval will be given for a period of three years, and after that, a new application will be submitted for this purpose.

REQUIREMENTS FOR REPORTING TO REGULATORY BODIES

According to the regulations, the non-profit organizations in Karachi which are registered under the Voluntary Social Welfare Agencies (Registration and Control) Ordinance 1961 must maintain proper accounts and submit the annual audit report to the relevant District Officers in the city. The content of the submitted report should highlight the details of the organization’s members, the organization’s past activities and the objectives & plans for the upcoming year. These accounts and reports which are provided by NGO can be accessible by the stakeholders and the general public for scrutiny.

In addition to the above requirements of NGO registration in Karachi, the registered Societies are required to submit a list of its members each year.

The charity organizations, which are eligible for any benefit from tax exemptions, will submit a copy of audited annual accounts along with other financial information like a list of fund donors and its beneficiaries, to the Central Board of Revenue. This procedure is untaken to monitor the consumption of funds and to maintain transparency.

THE GOVERNMENT OF SINDH POLICY FOR NGO REGISTRATION IN KARACHI

The Social Welfare Training Institute has been assigned the duty to train the NGOs after getting registration under The Voluntary Social Welfare Agencies Registration Ordinance 1961. The training duty is assigned by the Ministry of Social Welfare and Special Education in Sindh Province of Pakistan. The training by Social Welfare Training Institute is conducted in its premises in Karachi. The institute also conducts mobile training sessions in other parts of the province.

DOCUMENTS REQUIRED FOR NGO REGISTRATION IN KARACHI UNDER SOCIETIES ACT 1860

• The Memorandum of Association signed copies (Qty 02),

• The Article of Association signed copies (Qty 02),

• Attested CNIC copies of all the organization’s members (Qty 02),

• The Office Bearers list with mobile number – signed copies (Qty 02),

• The General Body members list,

• The Meeting of Minutes of the society’s 1st Meeting of the Members,

• Office location address, contact number, authenticate email address, letterhead, and website URL,

• Papers of property or Lease agreement of the office premises,

• Contact numbers and authenticate email addresses of all the Members.

DOCUMENTS REQUIRED FOR NGO REGISTRATION IN KARACHI UNDER VOLUNTARY SOCIAL WELFARE AGENCIES (REGISTRATION & CONTROL) ORDINANCE, 1961

• The Constitution of the NGO signed copies (Qty 02)

• Form B signed copies (Qty 02)

• Attested copies of CNIC of all the Members

• The Office Bearers list with mobile number – signed copies (Qty 02)

• The General Body members list

• The Meeting of Minutes of the society’s 1st Meeting of the Members

• Office location address, telephone number, valid email address, Letterhead, website URL,

• Papers of property or Lease agreement of the office premises

• Contact numbers and authenticate email addresses of all the Members

Taxocrate is comprised of seasoned legal consultants who have developed expertise in NGO registration in Karachi by working with many NGOs who are currently operating in the city. The NGO registration requires a lot of effort and we understand that it is not an easy task. Therefore, we take the responsibility to do all the work required for NGO registration in Karachi. Call us now to discuss your requirement and we are here to guide you with our expert advice and unmatched consultancy services.