Income of an organization is exempted if NGO has 12-A registration. All income shall not be taxable after 12-A registration. This is one time registration. If the NGO is not registered, income tax is payable on surplus during the year. This is one time registration.Benefits of 12A Registration are...

1. Income will be exempted for taxation.
2. Benefits in taking grants from Govt./Abroad/ other     Agencies.
3. Benefit in FCRA registration.