Trust Registration
A trust is a legal entity that is created to manage assets for the benefit of a particular group or purpose. In India, trusts are governed by the Indian Trusts Act, 1882. Here is a write-up on trust registration in India:
Trust Deed: The first step in the process of registering a trust is to prepare a Trust Deed. The Trust Deed must include the name of the trust, the objects of the trust, the details of the trustees, and the rules and regulations governing the management of the trust.
Trustees: A trust must have at least two trustees, and they must be individuals. The trustees are responsible for managing the assets of the trust and ensuring that they are used for the benefit of the beneficiaries.
Name of the Trust: The name of the trust must not be identical or similar to the name of any other registered trust in India. It is advisable to conduct a name search before finalizing the name of the trust.
Registration: The trust can be registered with the Registrar of Societies or the Registrar of Trusts in the state where the trust is located. The application for registration must be accompanied by the Trust Deed, along with other documents such as proof of address of the registered office, identity proof of the trustees, and the registration fee.
Taxation: Once the trust is registered, it must obtain a Permanent Account Number (PAN) and file annual income tax returns. If the trust is eligible, it may also apply for exemption from income tax under Section 12A of the Income Tax Act.
Bank Account: The trust must open a bank account in the name of the trust and operate it in accordance with the rules and regulations governing the management of the trust.
In conclusion, the process of registering a trust in India involves preparing a Trust Deed, appointing trustees, finalizing the name of the trust, registering it with the appropriate authority, obtaining a PAN, filing tax returns, opening a bank account, and complying with the legal requirements. It is advisable to seek the guidance of a qualified professional to ensure that all legal requirements are met.
List of documents that are typically required for registering a trust in India:
Trust Deed: The Trust Deed is the primary document required for registering a trust in India. It should include the name of the trust, the objects of the trust, the details of the trustees, and the rules and regulations governing the management of the trust.
Identity proof of the trustees: Identity proof documents of all the trustees, such as Aadhaar card, PAN card, passport, voter ID card, etc. will be required for the registration of the trust.
Address proof of the registered office: A copy of the electricity bill, water bill, or any other utility bill that serves as proof of the registered office's address will be required.
NOC from the landlord: If the registered office is rented, a No Objection Certificate (NOC) from the landlord will be required.
Registration fee: The registration fee for a trust varies from state to state and depends on the value of the assets of the trust.
Covering letter: A covering letter stating the purpose of the registration, along with a declaration by the trustees that all the information provided is true and correct.
Self-attested copy of PAN card: The trust must have a PAN card, and a self-attested copy of the same should be submitted along with the application.
Two passport size photographs: Passport size photographs of all the trustees will be required.
Address proof of the trustees: A copy of the address proof of all the trustees, such as Aadhaar card, passport, voter ID card, etc. will be required.
It is advisable to seek the guidance of a qualified professional to ensure that all necessary documents are obtained, and all legal requirements are met. The exact requirements may vary depending on the state where the trust is being registered and the specific circumstances of the case.