Association registered proc. - ERDOSDR

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Association registered proc.


In respect of an Association, which is an entity that is registered and covered by the same basis of the company law, has several differences between a normal entity. One must know these differences and to be aware of them in practical operations. The registration of NGOs is a very strict procedure and elevated scrutiny of review judges. Such organizations operations are under the supervision of the public prosecutor office, and as they keeps an eye on the activities, usual "tricks" cannot be used in normal companies.

For example, if a company feels too hassled by its county tax authorities, it may move its seat to another county or region, and then you are dealing with a new authority in every respect, and this may alleviate any undue scrutiny. Unlike social support organizations (say charitable services), regardless of where they relocate to, the same original court and prosecutor's office remains the overview "master" where it was first established.

The social organizations usually take the rights and duties of its members very seriously. The stronger society activity of that organization, the greater the percentage is likely that there will be some organizational event, that sooner or later will attract someone's complaint to the court.

The patrons of these non-profit organizations must meet several expectations. The members of the parties are obliged to separate statements as defined in the Act, moreover, these rules can only be found in Hungarian, or local government entities with the right to vote in Hungary. Together with the non-profit organizations they must also declare the full details of their business.

The foundations of these operating entities are under the Civil Code deemed asset legal entities, which are represented by the Board of Trustees appointed by the founder. The Board of Trustees of cannot have the founder sitting on the board. He does however, have the right to appoints members of the Board of Trustees.

The Home Cooperative Associations are not voluntary associations, but individual communities formed by the co-owners of the property (real estate). It directs the lives of members of the Association and operates under a set organizational and operational Regulations framework, and such Articles of Association may only be changed unanimously, but apply to the most important rules. For the rest of the document, any authorizing or creation of by-laws, is made mostly on the basis of a simple majority voting to decide such everyday operational resolutions.

The founding of organizations, the development of codes is a rewarding good job but there is also the tricky aspect of the tax reporting methods.

According to the latest changes in registration of civil society organizations reporting is done electronically, and we need only to look at initiating of the proceedings and the forms to know it is not easy to complete and comply.  

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