Charitable Trust / Society

Charitable Trust 

Public Charitable trust In India, any Non-Profit organisation, can get registered as trusts, societies, or a private limited company under Section-8 of the Companies Act. Non-profit organisations exist independent of interference by the state and have a self-governing board of trustees.

Trust Registration is processed under Indian Trust act 1882. It is easy to register and manage Trust. Trust is a kind of recommended registration process to register Non Governmental Organisation (NGO). A Public Charitable institution is known as Non Profit Non Government Organisation.

Registration of a religious charitable trust is created with a document called the trust deed. The trust is created by the founder (author or settler) with the trustees. The trust deed consists of the objects of the trust, operation of the trust, trustee information and trustee powers, rights, duties and liabilities.

The first step to register a trust starts with the drafting of a trust deed. The trust deed is to be executed on appropriate non-judicial stamp paper, the rate of stamp duty differs from State to State. The next step is to seek an appointment with the sub-registrar office having jurisdiction based on the registered office of the trust, and the Government registration fee is to be paid after that.

On the appointed date the trust deed is presented before the sub-registrar where all trustees need to be present along with two witnesses. The registration process is then undertaken by the office of the sub-registrar, and the registered deed can be collected after a week's time. The next logical step shall be to get the PAN and TAN Number allotted for the trust and open a Bank A/c for the trust.

Society

The registration of a society in India is governed by the Societies Registration Act, 1860 that aims at legalizing and bringing uniformity to the way such societies are governed. The Act has been adopted by all Indian states, many of which have made amended the original Act.

Thus, applications for society registration should be made to the specific authority of the state where the registered office of the society is located. For society registration, the established members must first agree with society’s name and then prepare the society’s memorandum, rules, and laws. Let’s have a look.

The following document has to be prepared, submitted and signed for the sake of registration: Requesting society registration by providing covering letter, signed by all establishing members. Duplicate copy of Memorandum of Association of society along with certified copy.

When selecting a name for society registration, it is vital to understand that according to Society Act, 1860, an identical or similar name of a currently registered society will not be allowed.