For any charitable organisation in India, two income-tax approvals do most of the heavy lifting: 12A/12AB and 80G. They are often spoken of in the same breath, but they do different jobs — one protects the organisation’s own income from tax, the other rewards the people who fund it. Getting both, and keeping both current, is what separates a credible, fundable non-profit from one that quietly leaks money and donor goodwill.
This guide explains what each registration does, how the post-2021 regime works, the forms and deadlines you actually need to track, and the ongoing compliance — including the donation-reporting step that many organisations still overlook.
What These Two Approvals Actually Do
Think of them as a pair that work from opposite ends of a donation.
12A / 12AB is the approval that lets the organisation itself claim exemption on its income under Sections 11 and 12 of the Income Tax Act, provided that income is applied to its charitable objects. Without it, a trust, society, or Section 8 company is taxed broadly like any other entity — surplus and all. This is the foundational registration; almost everything else assumes you have it.
80G works on the donor’s side. An 80G approval lets your contributors claim a deduction on their taxable income for eligible donations. It doesn’t reduce your tax — it makes giving to you more attractive, which in practice makes fundraising materially easier. For most approved institutions the donor’s deduction is 50% of the qualifying donation amount (a limited set of government-notified funds carry 100%).
One blunt reality worth stating early: the 80G deduction is available only to donors who file under the old tax regime. Under the new regime, the deduction is not available — something to keep in mind when you pitch the tax benefit to individual donors.
You can hold 12AB without 80G, but you cannot hold 80G without first being registered under 12AB. The income exemption comes first; the donor benefit rides on top of it.
The Post-2021 Regime: Provisional, Then Regular
Since the Taxation and Other Laws (Relaxation and Amendment of Certain Provisions) Act, 2020 took effect from 1 April 2021, registrations are no longer perpetual. Every organisation — old or new — now moves through a structured, time-bound, fully electronic process on the income-tax e-Filing portal. Two forms carry the load:
- Form 10A — for provisional (first-time) registration and for the revalidation of older registrations that pre-dated the new regime.
- Form 10AB — for converting provisional registration to regular, for renewal at the end of a term, and for reporting a change in objects.
Once an application is examined, the department issues its order in Form 10AC (provisional) or Form 10AD (regular), each carrying a unique 16-digit registration number (URN) that becomes your organisation’s permanent reference.
For a brand-new organisation
A newly formed trust or institution that hasn’t yet started its charitable work applies for provisional registration using Form 10A. Provisional status is granted for three years, and the order is generally passed within about a month of the end of the month in which you apply — a comparatively quick, light-touch stage.
Converting provisional to regular
This is the step organisations most often mishandle. Once activities begin, you must apply for regular registration using Form 10AB, and the timing rule is strict: file within six months of commencing your activities, or at least six months before the provisional registration expires — whichever is earlier. At this stage the department conducts a genuine inquiry into whether your activities are real and compliant before granting the regular registration.
For existing and renewing organisations
Organisations that already hold registration apply for renewal through Form 10AB as their term ends. The same forms also handle a change of objects, which must be reported within 30 days of the modification.
How Long Registrations Last — and the 2025 Change
This is where 12AB and 80G have recently diverged, so track them separately.
Historically both ran for five years, with renewal due at least six months before expiry. The Finance Act, 2025 changed the picture for 12AB: for smaller organisations — broadly, those whose total income (before exemption) did not exceed ₹5 crore in each of the two preceding years — the validity of 12AB registration is extended to ten years. Larger organisations stay on the five-year cycle.
Crucially, 80G approval continues on a five-year cycle for everyone. The ten-year extension was not extended to 80G. So a small trust may find itself renewing its 80G approval twice in the time its 12AB registration runs once. Treating the two as having the same expiry date is a genuine and avoidable mistake.
A practical note on the current cycle: a very large group of organisations that obtained registration in FY 2021–22 reached the end of their first five-year term on 31 March 2026, which made 30 September 2025 the renewal deadline (six months prior). If your registration order shows validity up to 31 March 2026 or earlier, you were squarely in that window — and if you are reading this after the fact, confirm your status urgently, because a lapsed registration is far harder to recover than a renewed one.
The Step Most Organisations Forget: Form 10BD and 10BE
Securing 80G is only half the job. Since FY 2021–22, an 80G-approved institution must also report the donations it receives — and a donor cannot claim the deduction unless the institution does this correctly.
- Form 10BD is the annual statement of donations. The institution files it with the Income Tax Department, listing each donor’s PAN/identification, the amount, and the type of donation.
- Form 10BE is the certificate of donation the institution then downloads from the portal and issues to each donor. This certificate — not a simple receipt — is now what the donor relies on to claim the 80G deduction in their return.
Both are due by 31 May following the financial year in which the donation was received. Because Form 10BE can only be generated after Form 10BD is filed, it’s wise to file 10BD well before the deadline so certificates reach donors in time.
The consequences of slipping here are real and run in both directions. Late filing of Form 10BD attracts a fee of ₹200 per day under Section 234G, plus possible penalties — and, just as damaging to relationships, your donors lose their ability to claim the deduction if the certificate never reaches them. Note that anonymous donations don’t go into Form 10BD, and a NIL statement isn’t filed where no reportable donations were received.
Ongoing Compliance That Protects the Registration
Registration is not a one-time event; it sits on top of annual obligations, and a failure elsewhere can put the exemption itself at risk.
- File the income-tax return. Filing ITR (typically ITR-7) is mandatory for 12A/12AB-registered organisations — the exemption is claimed through the return, not in place of it.
- Get the audit done where required. Once receipts cross the prescribed threshold, an audit report in Form 10B or 10BB must be filed. Missing or late audit reports are a common reason exemptions are denied.
- Apply income correctly. The exemption assumes income is applied to charitable objects; where you need to accumulate income for future use, the proper forms (such as Form 9A/Form 10) and conditions apply.
- Keep your portal profile current. PAN, address, bank details, and authorised signatory should be accurate before you file anything, since forms are e-verified by the authorised person.
A Quick Compliance Snapshot
| Item | Form | When |
|---|---|---|
| Provisional / first-time registration & revalidation | 10A | As applicable (new entities apply early) |
| Convert provisional to regular | 10AB | Within 6 months of starting activities, or 6 months before provisional expiry — whichever is earlier |
| Renewal of 12AB / 80G | 10AB | At least 6 months before expiry |
| Change in objects | 10AB | Within 30 days of the change |
| Registration order issued by department | 10AC / 10AD | — |
| Annual statement of donations (80G) | 10BD | By 31 May |
| Donation certificate to donors | 10BE | By 31 May |
| Audit report (where applicable) | 10B / 10BB | As notified |
| Income-tax return | ITR-7 | As notified |
12AB now runs 10 years for small trusts (income ≤ ₹5 crore) and 5 years otherwise; 80G stays 5 years for all.
Common Mistakes to Avoid
- Assuming the registration is permanent. Nothing has been perpetual since 2021 — every approval has a term and an advance renewal window.
- Tracking 12AB and 80G on the same clock. After the 2025 change their validity periods can differ; diarise them separately.
- Missing the provisional-to-regular conversion. The “six months from commencement of activities” trigger catches organisations that wait passively for the three years to run out.
- Forgetting Form 10BD/10BE. Your donors’ deductions — and ₹200-a-day fees — hang on this.
- Letting the income-tax return or audit slip. The exemption is claimed through the return; a lapse there can cost the exemption regardless of valid registration.
- Pitching the 80G benefit to new-regime donors who can’t actually claim it.
In Short
12A/12AB and 80G are the twin engines of a tax-efficient, fundable non-profit: one shields the organisation’s income, the other turns donors into deduction-eligible supporters. Under the current regime both demand active management — provisional then regular registration, time-bound renewals on now-divergent cycles, annual donation reporting, and clean returns and audits to back it all up. Built into the organisation’s calendar from day one, this is routine. Left to the last quarter before an expiry, it becomes a scramble with real money and credibility on the line.
This article is for general information and reflects the regulatory position as understood in early 2026. The rules around 12A/12AB and 80G — including validity periods and reporting forms — change frequently and depend on your specific facts. Please confirm current requirements, thresholds, and deadlines with a qualified professional before acting.