Introduction to NGO Registration in Nepal
Non-Governmental Organizations (NGOs) in Nepal are legally established under the Association Registration Act, 1977 (2034 B.S.). Registration is done at the District Administration Office (DAO) of the concerned district. NGOs play a role in development, social welfare, health, education, and environmental protection. The government monitors their establishment and operation through legal frameworks to ensure accountability and transparency. NGOs must operate within the legal scope and comply with financial reporting and operational regulations.
Who Can Register an NGO in Nepal
Any group of seven or more Nepali citizens above 18 years of age can register an NGO. These individuals must not have any criminal background and should agree on a common constitution for the organization. Foreigners are not permitted to register an NGO in Nepal directly. The founding members should represent diverse fields to justify the NGO’s scope and objectives.
Required Documents for NGO Registration
To register an NGO in Nepal, the following documents are mandatory:
- Application for registration
- Constitution of the organization
- Copies of citizenship certificates of all founding members
- Minutes of the meeting regarding NGO formation
- Commitment letter of members
- Name approval recommendation from Ward Office
- Passport-sized photos of board members
- Office address details
All documents should be submitted in Nepali language. If they are in English or other languages, certified translations must be attached.
Legal Framework Governing NGO Registration
The primary law regulating NGO registration in Nepal is the Association Registration Act, 1977. Other relevant laws include:
- Social Welfare Act, 1992
- Income Tax Act, 2058 (2002) for taxation matters
- National Directive Act, 2018 (1961) for administrative compliance
- Public Account Committee Guidelines for transparency and auditing
All NGOs must register with the DAO and may also be required to affiliate with the Social Welfare Council depending on their scope.
Step-by-Step NGO Registration Procedure
The NGO registration procedure includes the following steps:
- Select the organization’s name and draft the constitution.
- Get name approval and recommendation from the Ward Office.
- Convene a meeting of founding members and prepare minutes.
- Collect the required documents and complete the application form.
- Submit documents to the DAO of the relevant district.
- Pay the applicable fees.
- DAO reviews documents and conducts necessary verification.
- Receive the registration certificate upon approval.
The organization may subsequently register with the Social Welfare Council if it wishes to collaborate on larger-scale social programs.
Timeline for Completing NGO Registration
The standard timeframe for registering an NGO in Nepal ranges from 7 to 21 working days, depending on the district and completeness of documentation. Delays often occur due to:
- Incomplete or incorrect documents
- Delays in verification from local bodies
- Public holidays and administrative backlog
Timely coordination with the Ward Office and DAO can help reduce delays in processing.
Government Authorities Involved in Registration
The following authorities are responsible for NGO registration and regulation:
- District Administration Office (DAO) – Main registration body
- Ward Office – For name recommendation
- Social Welfare Council (SWC) – For affiliation and partnership
- Inland Revenue Office (IRO) – For PAN and tax compliance
Each of these authorities has specific roles and requires coordination for registration and compliance purposes.
Applicable Government Fees and Costs
The registration cost depends on the district and size of the NGO. Generally, the fees include:
- Application processing fee: NPR 500 to NPR 1,000
- Registration fee: NPR 2,000 to NPR 5,000
- PAN registration: Free, but minor administrative costs
- Legal assistance (if hired): Varies from NPR 5,000 to NPR 15,000
Additional costs may include notarization, document translation, and office setup expenses.
Checklist Before Submitting NGO Application
Ensure the following before submitting the NGO application:
- Minimum seven Nepali founding members
- Finalized organization name
- Constitution drafted as per the Act
- Recommendation from Ward Office
- All documents translated into Nepali (if needed)
- Application form completed without errors
- All members have citizenship documents
- Meeting minutes and photographs ready
Cross-verification of documents before submission minimizes the risk of rejection or delay.
Types of NGOs Allowed in Nepal
Nepal allows the registration of various types of NGOs based on their purpose and activity areas:
- Social development NGOs
- Educational and literacy-focused organizations
- Environmental conservation groups
- Human rights and advocacy bodies
- Community-based development organizations
- Health and sanitation support NGOs
- Women and child welfare NGOs
NGOs must specify their objectives clearly in the constitution to be considered under the correct category.
Renewal and Reporting Obligations of NGOs
Every registered NGO must renew its registration annually at the DAO. Renewal requirements include:
- Submission of annual audit report
- Updated executive committee details
- Progress report of activities
- PAN and tax clearance documents (if applicable)
- Proof of office existence
Additionally, affiliated NGOs must also report to the Social Welfare Council. Non-compliance may result in penalties or cancellation.
Common Challenges During Registration
Some of the common issues faced during NGO registration in Nepal include:
- Rejection of name due to duplication
- Missing documents or improper formatting
- Unavailability of founding members for verification
- Delay in obtaining local authority recommendations
- Changes in legal provisions or DAO internal rules
Legal support and pre-consultation help avoid many of these challenges.
Legal Services for NGO Registration Support
Legal and consultancy firms in Nepal offer services to assist with NGO registration, including:
- Drafting constitution and internal regulations
- Preparing and verifying documents
- Coordinating with DAO and local authorities
- Legal translations and notarization
- Representing clients for application filing
These services help ensure compliance with the law and faster registration processing.
Compliance Requirements Post Registration
After registration, NGOs must comply with several legal and administrative obligations:
- Maintain proper financial records
- Conduct annual audits and submit reports
- Renew registration each fiscal year
- Inform DAO of any changes in executive board
- Comply with the Income Tax Act for PAN
- Secure SWC affiliation if receiving foreign funds
Non-compliance may lead to revocation of registration or legal action.
Why Register Your NGO in Nepal
Registering an NGO provides legal recognition and operational legitimacy. Benefits include:
- Ability to open bank accounts
- Eligibility for grants and partnerships
- Recognition by government and donors
- Protection of organizational name and objectives
- Access to tax exemptions (if applicable)
Only registered NGOs can lawfully operate, receive funding, and implement programs in Nepal.
FAQs
- Who can start an NGO in Nepal?
Any seven Nepali citizens over 18 years can register an NGO. Foreign nationals cannot directly register NGOs. - How long does registration take?
Registration typically takes 7–21 working days if all documents are in order. - Is a lawyer needed to register NGO?
Legal help is not mandatory, but it simplifies drafting and document filing. - What is the registration cost?
Costs range between NPR 2,000 to NPR 5,000, excluding legal support. - Where do I submit NGO documents?
Submit all NGO registration documents to the District Administration Office. - Can foreigners register NGOs in Nepal?
Foreigners cannot directly register NGOs. They may partner with local NGOs. - Is registration mandatory for all NGOs?
Yes, all NGOs must be registered to operate legally in Nepal. - Do NGOs pay tax in Nepal?
NGOs must register for PAN. Some income may be tax-exempt. - How often is renewal required?
NGO registration must be renewed every fiscal year with an audit report. - What laws govern NGO registration?
The Association Registration Act, 1977, and Social Welfare Act, 1992, apply.