WHAT IS TRUST REGISTRATION

PROVISIONS RELATED TO TRUST REGISTRATION

GOVERNING ACT

The Trust registration is Governed by the Indian Trust Act of the respective state in India.

 

REGISTERING AUTHORITY

The Sub – Registrar or the District Registrar or the Charity Commissioner of the area where the registered office of Trust is situated.

 

NAME APPROVAL ACT

The name approval for Trust registration as per State Emblem of India (Prohibition of Improper Use), 2005.

 

TRUST CAN USE “FOUNDATION, SAMITI OR NGO” IN ITS NAME

Trust can be used “Foundation, Samiti Or NGO” words in the last of their Trust name.

 

WHO CAN FORM

Any person {Natural person (eg. Ram, Shyam) or Artificial person (eg. The company, Entity} can form an NGO which able to do contract as per The Contract Act.

 

IMPORTANT DOCUMENT

The “Trust Deed” is an important document for registering a Trust and Its also known as By-Laws of the Trust.

 

MEMBERS

The minimum of 3 & a maximum of 21 members is required for Trust Registration with Registrar.

 

TRUSTEES

The minimum of 2 & maximum 25 Trustees is required for Trust registration.

 

CONTROLLING PERSON

The Founder or Author or Authorised person or Trustees of the Trust are the controlling people.

 

POWER TO VOTE

The Trust members have equal right of voting for any decision as per Indian Trust Act but they can modify the voting power of member by insert provisions in Trust deed.

 

MANAGEMENT OF ASSETS/PROPERTY

The controlling person (i.e. Trustees) will able to manage the Asset/property of Trust but the selling of Trust Assets/property with the approval of Court.

 

RAISING OF FUNDS

Normally there is no restriction on raising of funds for Trust as Indian Trust Act but the government may restrict if it is against public policy or national policy.

 

DISSOLUTION/REVOCATION OF TRUST

The Trust may Revocable (If time is mention or Objective is Completed) or Irrevocable but court approval is required to dissolve or revoke Irrevocable Trust deed.

 

ANNUAL COMPLIANCE

There is no requirement of Annual filing in Trust but he needs to maintain proper Books of Accounts get them audited properly.

 

PAYMENT TO CONTROLLING PERSON

Generally, Trustees didn’t receive any payment except there are provisions in the Trust need But Professional services or consultancy are Eligible for payment.

 

TRANSFER OF TRUSTEESHIPS

There is no provision related transfer of Trusteeships in the Indian Trust Act except provided in Trust Deed.

 

CAN FOREIGNER CAN BE MEMBER

There is no restriction on Foreigner to become a member or Trustee of Trust as per Indian Trust Act but the Trust may not get FCRA/12A License.

 

CAN GOVERNMENT EMPLOYEES OR OFFICER REGISTER TRUST

Yes, there are no restrictions in the Indian Trust act on Government employees or officer to become the member or register a Trust as NGO.

 

MEETINGS OF CONTROLLING PERSON

There is no provision related to meetings but Trust needs to conduct a meeting of controlling person to managed day to day decision-related Trust deed objectives.

 

AREA OF OPERATION

The Trust registered under the Indian Trust Act and It operates on National Level or throughout India.

 

TENURE OF TRUST DEED

The Tenure for Trust deed is a minimum of 1 year & a maximum of 5 years.

 

DOCUMENTS REQUIRED FOR TRUST REGISTRATION

  • Name of Trust.
  • The objective of Trust.
  • PAN card of all members & Trustees of Trust.
  • Tenure of Trust.
  • Identity proof of all members & Trustees of Trust.
  1. Driving License or
  2. Passport or
  3. Voter ID or
  4. Aadhar Card.​
  • Address proof of members & Trustees of Trust (not older than 2 months).
  1. Mobile Bill or
  2. Telephone Bill or
  3. Electricity bill or
  4. Bank Statement.
  • The registered office of Trust.
  1. Property Owned ( Sale Deed or Electricity Bill) or
  2. Property Rented ( Rent Agreement)​​​​.
  • Trust Deed.
  • Identity proof of Two Witnesses.

PROCEDURE OF TRUST REGISTRATION

  • Check Availability of Name.
  • Preparation of Trust Deed.
  • The signing of Trust Deed by Members.
  • Attestation of Trust Deed, Identity proof, Address proof, Relevant NOC/Undertaking of Members, Trustees & Witnesses.
  • Fixing the date of appointment with Sub-registrar.
  • Appear before Sub-registrar with Members & Witnesses.
  • Checking of Trust Deed & relevant documents by Sub-Registrar.
  • Hearing with Sub-Registrar (if required).
  • Clicking of Photo along with Witnesses.
  • Trust deed registered in 10 Days.

For Trust Registration in Delhi, Mumbai, Nashik, Pune, Gurgaon or Uttar Pradesh visit Link

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