PROCESS OF REGISTERING A NGO IN NEPAL
If you are planning to register a NGO of your
own and looking for the procedure on how you do it, then you have come to the
right place. This will guide you through the whole process of registration in much
detail.
In order to register a NGO, you must first have
a group of 7 Nepali citizens. This group of seven will act as ad-hoc committee prior
to establishment of the organization. After registration, the same ad-hoc
committee members can act as Board Members or can choose to elect new board
members. Once all 7 members have been confirmed, you then have to decide on the
name of your NGO. In Nepal, they do not allow you to use English name and hence
it should be a Nepali name. In case you chose English name that will be treated
as Nepali i.e. if the name of NGO is “Voice of Youth”, this will be written as “भ्वाइस अफ युथ “. After finalization of
name, agree on the official logo and make a design of it ready. Also, decide on
which District Administration Office (DAO) you want to register for e.g. inside
valley you might want to register in either DAO, Kathmandu, Lalitpur or
Bhaktapur. Else, you might want to register in the district of your permanent
residence.
The next step is now to
work towards finalization of constitution, referred to as Bidhan in Nepali.
There is a specified format for constitution, which you can get from respective
DAO. You are not allowed to make many changes in this pre-defined template as
most of the things required for functioning of the organization are already
included in the format and also because this being prepared in compliance with
the Association Registration Act, 2034. Clauses that you should change are: preamble
(should be a single sentence), name, address and working area (physical
location, not the sector of service) of the organization, some of the definitions,
and mainly the objective clause. You can also make other minor changes regarding
meeting and general assembly procedure, quorums etc. otherwise, it is not mandatory
and necessary to change.
Objective clause should
be very clear and straightforward. Vague objective with multiple meanings and
covering various sectors will be rejected straight away. For example if you
want to work on education sector be specific to that. Or if you choose to work
on poverty or livelihood or health you should state it clearly and focus in one
area only. Once this document is finalized from your end, it is better to ask someone
in NGO section of respective DAO for their review so that there won’t be any
problem later on. When this is done, you are now ready for the next step.
The first organization
you will approach now in process of registration is the Ward Office. So prepare
following set of documents and submit it to the Ward Office for letter of
recommendation from them. This ward office is the one located in the same
region where your NGO will be located.
1. Application signed by Chairperson and addressed to Chief
of Ward, seeking for letter of recommendation
2. Copy of minute of Ad-hoc Committee meeting stating that
registration of NGO has been agreed
3. Copy of Constitution signed by each member in each page
4. Certified copy of citizenship of all board members
5. Rent agreement of your NGO where its office will be
located
6. Land Tax Paid Receipt of House Owner
7. Copy of Citizenship of House Owner
If all the required
documents have been submitted, Chief of Ward reviews your application and
issues letter of recommendation on the same day. After receiving letter of
recommendation from Ward Office, you now have to go to District Development Committee
(DDC) with following set of documents:
1. Application for letter of recommendation in pre-defined
document (to be obtained from respective DDC and should be signed by each
member)
2. Copy of letter of recommendation from Ward Office
3. Copy of citizenship of all board members (Original also
required to be shown at the time of submitting application)
4. Copy of constitution signed by all members in each page
5. Copy of Ad-hoc Committee Meeting Minutes
6. Copy of Rent Agreement
If all required
documents have been submitted, DDC will also issue the letter of recommendation
the same day or the next working day depending on volume of its work. After
getting recommendation from DDC, next step is to approach DAO with following
set of documents:
1.
Application for registration-should be signed by all 7
members
2. 4 Copies of Constitution signed by every member in each
page (2 copies in Nepali Paper and 2 copies in normal A4 size paper)
3. Copy of citizenship of all board members (Original also
required to be shown at the time of submitting application)
4. Copy of letter of recommendation from Ward Office
5. Copy of letter of recommendation from DDC
6. Copy of Ad-hoc Committee Meeting Minutes
7. Copy of Rent Agreement
Once you submit all
these required documents, DAO will take 2 to 3 days depending on its work
volume and issue a letter to Nepal Police seeking clearance report of each
board member. You will have to dispatch that letter to respective police office
and get clearance report from them. One main thing you should note here is that
in case you have mentioned permanent address of all board members in
constitution and if they belong to different district, it will take long time for
verification and clearance report. It is because DAO writes letter to main
office of Nepal Police and then this office will direct respective police
offices (district wise) based on the address you have provided for board
member, to understand and check your background. Hence, to speed up the process,
you can mention the temporary address of all board members as in the same
locality and hence single police office can issue clearance letter to all the
members. This will save a lot of your time during registration. Finally, when
you get the clearance report, submit it to DAO and your NGO will be registered.
After successful registration
at DAO, you will now have to affiliate your NGO with Social Welfare Council (SWC)
of Nepal. It is located at Lainchaur, Kathmandu. To get the affiliation you now have to submit
following set of documents to SWC for affiliation:
1.
Application in prescribed format signed by the Chairperson
2.
Original Constitution-1 Set
3.
DAO Registration Document
4.
Copy of citizenship certificates of all members
You can expect to have
the affiliation in 2/3 working days after submission of all required documents.
Finally, you now have to get your PAN certificate before you are operational.
Approach nearest tax office to your NGO and submit the following set of
documents:
1. Copy of Board Minute for obtaining PAN, with authorization
to one of the board member for signing
2. 2 PP size photo of authorized personnel
3. TDS
Deposit Voucher of Rent for at least half year
4. Filled up application form (predefined template) with
stamp of Rs 10 signed by authorized person/Organizational Stamp should also to
be affixed
5. Copy of Constitution
6. Copy of land tax paid receipt
7. Copy of DAO Registration Certificate
8. Copy of SWC affiliation
Once registered in PAN,
you can now apply for Tax Exemption Certificate in the same office. We need
following set of documents for this:
1. Signed application form along with Organizational Stamp
2. Copy of Registration in DAO
3. Copy of Affiliation in SWC
4. Copy of PAN and
5. Copy of Constitution
You have now completed all
the registration requirements and your NGO can be functional from the next day
you obtain your PAN.
Should you have any questions
or feedback, please leave a comment below.
hello, this is a very informative. However I am currently looking to fund and create the planning for an ngo in Nepal, and the key manager is in place, but the fact that I will not have any role being a foreigner on the board, it means that I will not have any transparence or control over the expenses and activities in due course. Is there a way to ensure that we can also fund the group and obey the law and also have control as if we were on the board?
ReplyDeletehey varun if you are intrested and if you are doing work in other Ngo i wanted to meet you or contact you because i wanted to run a Ngo!!
DeleteHi Varun, thank you for your comments ! In Nepal NGOs are registered under Association Registration Act 2034 and current provisions do not allow foreigners to act as promoters or board members. After registration they can however be provided honorary membership but they do not hold voting rights. If you are trying to fund Nepali NGO and have control over it, the only way you can do it at the moment is by entering into Donor Agreement with that NGO where you can mandate it to provide access to all sorts of information including board minutes, books of accounts, vouchers, invoices etc. If you are trying to have transparency of expenses and activities before registration, you can do so by having similar kind of agreement with ad-hoc committee (group of 7 people agreed for the registration of NGO).
ReplyDeletein above comment, you have mentioned about not allowing foreigners to act as promoters or board members. Was this effective from 2034?
Deletethanks so much for your comments. Is there a way that I can nominate one person to have more powers than the others such as check signing etc?
ReplyDeleteProvisions related to bank account operation and signatory should be mentioned in "the Constitution" itself. Usually this will be done through Chairperson and Treasurer where Treasure is mandatory for check signing. So you can nominate the person of your choice as Treasurer to exercise proper control over the funds. Treasurer is also the mandatory board member and has full access and authority over all the functions of the organisation.
Deletemay i know the source of all the documents that you have listed for the process of registration?
ReplyDeletehello sir, we are group of youth planning to register NGO in kathmandu. We have worked on different social activities like distributing cloths to under privileged people in village, cleaning open areas in Disable hospital in jorparti, working voluntarily at Dhurmus Suntali foundation, organizing different literature oriented programs for fund raising. Now we are planning to work officially. My question is.. What kind of source of fund should we include in our application form because we are not tie up any INGos and we are group of youth passionate to work for social welfare. Please reply asa you receive this comment.
ReplyDeleteThis comment has been removed by the author.
ReplyDeleteSir those 7 members can be our family members or relatives
ReplyDeleteSir please let me know.... Can get free guidance for NGO startup right from its beginning till the end
ReplyDeleteFirst of all thanks for your important guidance.I just want to know one thing that i wish to raise fund for .my NGO through crowd funding so please tell me how and from where i can get permission for crowd finding to raise fund. Thank you
ReplyDeleteNGO register garda kati kharcha hunchha?
ReplyDeleteNGO register garda kati kharcha hunchha?
ReplyDeleteI want to open ngo for social work
ReplyDelete