How to Register a Non-Profit Company (NPC) in South Africa (2026)

What an NPC is

A Non-Profit Company (NPC) under the Companies Act 2008 is a separate legal entity that exists for a public benefit purpose and cannot distribute profits to members. It is the modern equivalent of the old Section 21 company.

An NPC is NOT the same as an NPO (Non-Profit Organisation) registered with the Department of Social Development under the NPO Act, although the same entity can hold both registrations and most public-benefit organisations want both.

Cost

• CIPC NPC registration (long-form MOI required, CoR15.1D or E): R475.
• Name reservation: R50.
• NPO Directorate registration (separate, optional but recommended): free.
• PBO (Public Benefit Organisation) status with SARS for 18A tax certificates: free, but requires application.

Director rules

An NPC must have at least three directors (not one, like a Pty). Directors are typically uncompensated trustees, although the MOI can permit reasonable compensation for services rendered. The MOI must include the NPC's public-benefit objects and a non-distribution clause.

After CIPC

1. Register for SARS company tax. NPCs are taxed normally unless granted PBO status.
2. Apply for NPO Directorate registration: file your CIPC certs, MOI, and a list of office bearers.
3. Apply to SARS for PBO status under Section 30 - this is what makes you tax-exempt and lets you issue Section 18A donation receipts.
4. Open a business bank account.
5. Annual returns at CIPC (R100 if turnover under R1m).
6. Annual reports to NPO Directorate.
7. Annual SARS reporting if PBO.

Frequently asked questions

Tools to help

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