Page 102 - Quick Insights Book 2022

Non-Profit Organisation 29

Non Profit Organisatoin’s (NPO) have played a crucial role in
development of India. There are various NPOs that work all
over India and for a wide range of causes. The World Bank
defines NPO’s as “private organizations that pursue activities
to relieve suffering, promote the interest of the poor, protect
the environment, provide basic social services, or undertake
community development.” NPOs do not work for profit motive
and apart from own sources, NPO utilises funds raised through
donations.

The NPO’s sector offers special opportunities for Chartered
Accountant at rural, small towns and urban areas. Opportunities
for Chartered Accountant start from the concept when someone
wants to serve the society and establish a NPO. There
are various areas where chartered Accountant can explore
opportunities including formation, registration, audit and taxation,
for NPOs.

Various opportunities for practising professionals in NPO sector
are mentioned as under:

1. Under respective acts
NPOs can be registered in any of the applicable acts as
mentioned below, according to the type of organisation
chosen to be formed. Major laws and acts applicable to
NPO are as follows –
Society registered under Societies Registration Act,
Central or respective State Acts
Public trusts under Indian Trust Act, 1882
Section 8 Companies registered under Companies
Act,2013
Chartered Accountant can advise organisation type
Non-Profit depending upon objectives, convenience, compliance
and various other factors. Chartered Accountant can
Organisation play crucial role in -
NPO formation including drafting of trust deed,
•
bylaws, Memorandum of Association, Article of
Association.
• submitting forms and documents for registration
with concern authorities
• Annual and other compliance under respective act
like filing of yearly financial statements, minutes
drafting, maintenance of records and registers, etc.

• Statutory audit under respective acts.

Quick Insights on Professional Opportunities for Chartered Accountants 89