*12A and 80G registrations are crucial for non-profit organizations (NGOs) seeking tax exemptions. Here's what they entail:* 12A Registration 1. *Definition*: Section 12A of the Income Tax Act, 1961, provides tax exemption to registered charitable trusts, societies, and section 8 companies. 2. *Benefits*: Exempts the NGO's income from tax, allowing them to utilize their resources more efficiently. 3. *Eligibility*: NGOs must be registered under the Societies Registration Act, 1860, or the Indian Trusts Act, 1882, or as a section 8 company under the Companies Act, 2013. 4. *Registration process*: NGOs must submit an application to the Income Tax Commissioner, providing documents such as registration certificates, trust deeds, and audited financial statements. 80G Registration 1. *Definition*: Section 80G of the Income Tax Act, 1961, allows donors to claim a tax deduction for donations made to registered charitable organizations. 2. *Benefits*: Encourages donations to NGOs, as donors can claim a tax deduction of up to 50% of their donated amount. 3. *Eligibility*: NGOs must be registered under Section 12A and have a valid 12A registration certificate. 4. *Registration process*: NGOs must submit an application to the Income Tax Commissioner, providing documents such as the 12A registration certificate, trust deed, and audited financial statements. In summary, 12A registration provides tax exemption to NGOs, while 80G registration allows donors to claim tax deductions for their donations. Both registrations are essential for NGOs to operate efficiently and attract donations.