Trust Registration - Overview
Trust registration is a process of legalizing the trust deed (a legal contract between the settlor and Trustee) from the registrar of the respective jurisdiction. The Trust serves as a legal medium liable for the lawful distribution of the settlor’s assets among the concerned beneficiaries. The Trust comes to an effect as soon as the registrar provides its authorization to the trust deed.
Trust Deed is the mandatory document to register a charitable trust and that is the reason why charitable registration is also called a trust deed registration. As per the Indian Trust Act 1882, the Trust is an organization where the owner (trustor) determines to transfer the power and right of his asset to a second person called trustee so that the beneficiary can enjoy the benefit out of it.
Three types of trusts in India
Public Trust
Private Trust
Public Cum-Private Trust
Three types of trusts in India
Public Trust
Private Trust
Public Cum-Private Trust
Benefits of Trust Registration
To Involve In Charitable Undertakings
Accessibility to Tax Exemptions
Provide Benefits to Financially Aggrieved Individual
Encounter Minimal Legal Hindrances
Ensures Legal Coverage for the Family Wealth
Avert Probate Court
Immigration/Emigration of Family
Documents Required For Registration
- Proof related to Identity for Trustor & Trustee such as Aadhaar Card, Voter ID, Passport, DL.
- Address Proof related to Registered Office such as Copy of Certificate of Property/Utility Bills
- No objection certification from the Landlord if the property is rented .
- Trust deed's objective
- Detail about the Trustee and settlor such as Self-attested copy Id & Address Proof and occupation
- Trust Deed on Proper Stamp Value
- Trustee and settlor Photos
- Trustee and settlor
- PAN details
- Number of trustees
- Trust registered address
- Proposed name of trust
- Proposed Rules that will govern the trust
- Presence of settlor as well as two witnesses at the time of registration of Trust
Process To Register
- Fill the NGO Registration Form, the applicant has to fill all the needed details in the simple application form.
- Assemble the Prerequisites details, here you have to collect all the required documents as per the specifications. And it takes around 2 working days
- Compile a trust deed, as per the documents provided by you for the registration process, a Trust deed will be compiled. This process will take around 4 to 5 working days
- Trust Deed Registration process, the trust deed so compiled will be presented to the concerned local registrar for registration. It takes around 12-13 working days to complete this process.
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