NGO Registration in Nepal 2082/83 (2026) — Process & Law

At the District Administration Office (DAO) under the Chief District Officer, where the association's constitution and founding members are submitted for registration.

It is required for NGOs receiving funding or foreign aid and for all INGOs, but a purely local, self-funded NGO can operate on its DAO registration alone.

The founding members draft a constitution stating the NGO's name, objectives, membership and governance, then apply to the District Administration Office of the district where the NGO will be based, attaching members' citizenship documents and the office address. The Chief District Officer reviews the objectives and registers the association. NGOs seeking funding or foreign aid then affiliate with the Social Welfare Council before receiving grants.

A minimum number of founding members is required to form an association under the Association Registration Act 2034, commonly cited as seven, though the exact number and any local requirements should be confirmed with the District Administration Office. The members adopt the constitution and form the initial executive committee. Having a clear, committed founding group with defined objectives is important, because the CDO reviews the association's purpose before registering it.

An NGO is a domestic non-governmental organisation registered under the Association Registration Act 2034 at the DAO, while an INGO is an international non-governmental organisation based abroad that operates in Nepal. INGOs must affiliate with the Social Welfare Council and obtain the necessary approvals to work in Nepal, typically through a general agreement and project agreements. The compliance and approval path for INGOs is more involved than for a purely domestic, self-funded NGO.

Yes, but generally only after affiliating with the Social Welfare Council under the Social Welfare Act 2049, which oversees foreign-aided social-welfare activity. Receiving foreign funds without the required affiliation and approvals can stall the funding and create compliance problems. NGOs planning to rely on foreign grants should therefore secure SWC affiliation early, and channel funded projects through the approvals the Council requires, rather than treating affiliation as optional.

Yes. An NGO must renew its DAO registration periodically — commonly on an annual basis — and maintain current records, audited accounts and activity reports, with additional reporting to the Social Welfare Council where affiliated. Letting the renewal lapse can suspend the NGO's legal standing and disrupt funding. Because the exact renewal window and documents vary by district and over time, confirm the current requirements with the relevant District Administration Office.

An NGO is an association under the Association Registration Act 2034 registered at the DAO, while a non-profit company is incorporated under Section 166 of the Companies Act 2063 at the Office of Company Registrar. Both are non-profit and cannot distribute profit, but they use different statutes, regulators and governance regimes. NGOs are the traditional vehicle for donor-funded social work; the non-profit company suits those wanting a corporate structure. The right choice depends on funding and governance.

Typically the association's constitution, the application form, the founding members' citizenship certificates and photographs, the proposed office address, and the minutes of the founding meeting electing the executive committee. INGOs and SWC-affiliating NGOs provide additional documents for the Council. Requirements can vary by district, so confirm the current checklist with the District Administration Office before applying, and ensure the constitution clearly states lawful objectives, as the CDO reviews these.

DAO registration is usually completed within a reasonable period once the constitution and documents are in order and the objectives are clear, though timelines vary by district. SWC affiliation, where needed, adds a further process with its own review and can take longer, particularly for INGOs and foreign-funded programmes. Planning both steps together, and preparing a compliant constitution from the start, is the most effective way to avoid delays.

An NGO can carry out activities that further its non-profit objectives, and some income-generation in support of those objectives may be permissible, but it cannot distribute profit to members and must use any surplus for its stated aims. Significant commercial activity can raise tax and regulatory questions and may sit better in a separate vehicle. Because the line between mission-related and commercial activity matters for tax and compliance, it is worth taking advice on structuring any revenue.

The Social Welfare Council, under the Social Welfare Act 2049, coordinates, facilitates and monitors social-welfare activity in Nepal, including NGOs and INGOs that receive funding or foreign aid. It is the body NGOs affiliate with to access funded social-welfare programmes and to channel foreign assistance lawfully. The Council reviews and approves projects and agreements, particularly for INGOs, making it central to any NGO that relies on donor or foreign funding.

Domestic NGO registration under the Association Registration Act 2034 is generally for Nepali citizens forming an association, while foreign organisations operate through the INGO route with Social Welfare Council approval and agreements rather than registering a domestic association. Foreign nationals' involvement in a Nepali NGO is subject to the applicable rules. Anyone with a cross-border element should take advice, as the path differs significantly between a domestic NGO and an INGO operation.

Yes. After registration, an NGO obtains a Permanent Account Number (PAN) from the Inland Revenue to operate bank accounts, receive funds and meet its tax-reporting obligations, even though it is non-profit. Proper PAN registration and bookkeeping are essential for receiving grants and for the audits that the DAO and Social Welfare Council expect. An NGO's non-profit status does not remove the need for tax registration and transparent financial records.

An NGO that does not affiliate can still exist on its DAO registration, but it generally cannot lawfully receive foreign aid or access government and donor social-welfare facilities that require Council affiliation. Attempting to receive such funding without affiliation can stall the funds and create compliance exposure. For an NGO whose plan depends on grants or foreign assistance, the absence of affiliation is effectively a barrier to operating, which is why it should be arranged in advance.

An NGO and a company are created under different statutes, so there is no simple conversion; moving from an association to a company structure generally means establishing the new entity and transferring activities and assets in a compliant way, with attention to the non-distribution constraints that apply to non-profit forms. This is a fact-specific exercise with tax and regulatory implications, so anyone considering it should take legal advice rather than assume a straightforward switch.

NGOs are expected to hold general meetings, keep audited annual accounts, file renewal and activity reports with the District Administration Office, and, where affiliated, report to the Social Welfare Council on funded programmes. Donor-funded and INGO operations face additional project reporting. Maintaining this compliance is essential to keep registration valid and funding flowing, and weak record-keeping is a common cause of problems at renewal or audit.

It depends on funding and governance. An NGO under the Association Registration Act 2034 is the established route for donor-funded social and development work and is what most funders expect, with Social Welfare Council affiliation for foreign aid. A Section 166 non-profit company offers a corporate structure with limited liability for members and may suit professional bodies or member-driven initiatives. Matching the form to the funding sources and governance you need is the key decision.

Before drafting the constitution, and certainly before seeking foreign funding. A lawyer drafts a constitution that matches your objectives and governance, registers the association correctly at the DAO, sequences Social Welfare Council affiliation against your funding plan, and keeps renewal and reporting on track. For INGOs and donor-funded NGOs, early advice prevents the affiliation and compliance gaps that stall grants and delay programmes.