Trusts & Societies Registration
Establish your non-profit organization with the right legal structure. Our experts guide you through the registration process for trusts and societies.
Trust vs Society: Choosing the Right Structure
Understanding the key differences to make an informed decision for your non-profit organization
| Aspect | Trust | Society |
|---|---|---|
| Governing Law | Indian Trusts Act, 1882 / State Trust Acts | Societies Registration Act, 1860 |
| Minimum Members | Minimum 2 trustees (no upper limit) | Minimum 7 members |
| Formation Document | Trust Deed | Memorandum of Association & Rules and Regulations |
| Registration Authority | Sub-Registrar of Assurances | Registrar of Societies |
| Management | Managed by trustees as per trust deed | Managed by governing body elected by members |
| Ownership of Property | Property vests in trustees | Property vests in society as a legal entity |
| Dissolution | As per trust deed provisions | By 3/5th majority of members |
| Ideal For | Charitable, religious, or educational purposes with defined beneficiaries | Cultural, scientific, educational, or charitable activities with democratic management |
Trust Registration Process
Our streamlined approach makes registering your trust simple and efficient
Trust Deed Drafting
We draft a comprehensive trust deed outlining the objectives, trustees, beneficiaries, and operational details of the trust.
Document Preparation
We help prepare all necessary documents including identity and address proofs of trustees, property details, and other required attachments.
Registration
We assist in registering the trust deed with the Sub-Registrar of Assurances in the jurisdiction where the trust is being established.
Tax Exemption
We help apply for income tax exemption under Section 12A and 80G of the Income Tax Act for charitable trusts.
FCRA Registration
If required, we assist in obtaining Foreign Contribution Regulation Act (FCRA) registration for receiving foreign donations.
Compliance Setup
We set up systems for ongoing compliance including accounting, tax filing, and annual reporting requirements.
Society Registration Process
Our streamlined approach makes registering your society simple and efficient
Name Approval
We help you select and get approval for a unique name for your society from the Registrar of Societies.
Document Drafting
We draft the Memorandum of Association and Rules & Regulations outlining the objectives and operational framework of the society.
Document Preparation
We help prepare all necessary documents including identity and address proofs of members, property details, and other required attachments.
Registration
We assist in filing the registration application with the Registrar of Societies in the jurisdiction where the society is being established.
Tax Exemption
We help apply for income tax exemption under Section 12A and 80G of the Income Tax Act for charitable societies.
Compliance Setup
We set up systems for ongoing compliance including accounting, tax filing, annual reporting, and renewal requirements.
Documents Required
Prepare these documents to ensure a smooth registration process
For Trust Registration
- ✓Trust Deed (stamped and notarized)
- ✓Identity proof of trustees (PAN, Aadhaar)
- ✓Address proof of trustees
- ✓Passport-sized photographs of trustees
- ✓Details of trust property (if any)
- ✓Address proof of trust premises
- ✓NOC from the owner of the premises
- ✓Resolution for appointment of trustees
- ✓Affidavit declaring the objectives of the trust
For Society Registration
- ✓Memorandum of Association
- ✓Rules and Regulations
- ✓Identity proof of members (PAN, Aadhaar)
- ✓Address proof of members
- ✓Passport-sized photographs of members
- ✓Address proof of society premises
- ✓NOC from the owner of the premises
- ✓Resolution for formation of society
- ✓Affidavit declaring the objectives of the society
- ✓List of governing body members
Frequently Asked Questions
Get answers to common questions about trusts and societies registration
What is the difference between a public trust and a private trust?
A public trust is created for the benefit of the public at large or a significant section of the public, while a private trust is created for the benefit of specific individuals or a closed group of beneficiaries.
Can a trust or society engage in business activities?
Trusts and societies can engage in business activities that are incidental to the achievement of their charitable objectives. However, the profits must be used for the charitable purposes and not distributed among members/trustees.
How long does it take to register a trust or society?
The registration process typically takes 30-45 days, depending on the state laws, documentation readiness, and processing time of the registering authority.
What are the tax benefits available to registered trusts and societies?
Registered charitable trusts and societies can apply for income tax exemption under Section 12A and 80G of the Income Tax Act, which provides tax exemption on income and allows donors to claim tax deductions on donations.
Can foreign nationals be trustees or members?
Yes, foreign nationals can be trustees or members of Indian trusts and societies. However, for receiving foreign contributions, the organization must obtain FCRA registration or prior permission.
What is the renewal process for society registration?
Societies typically need to renew their registration every 5 years (varies by state). The renewal process involves submitting annual reports, audited accounts, and other compliance documents to the Registrar of Societies.
Association of Persons (AOP)
Understanding the structure and requirements for Association of Persons
Association of Persons (AOP) is an entity formed by two or more persons, for a common purpose with an objective of producing Income or profits. They may be individual or artificial persons such as LLP or a company.
An Association of Persons (AOP), whether incorporated or not, is treated as a 'person' under the Income-tax Act. Hence, AOP is treated as a separate entity for the purpose of assessment under the Income-tax Act.
What type of activities is generally done through an AOP?
We have come across situations where a group of persons join together for conducting a one-time event such as seminar, conference, etc. forms an AOP.
Is it mandatory to file return of income?
Every AOP whether incorporated or not has to file the return of income if his total income exceeds the basic tax exemption limit.
Body of Individuals (BOI)
Understanding the structure and requirements for Body of Individuals
Body of Individuals (BOI) is a group of individuals (natural persons) who join together for earning income.
A Body of Individuals (BOI), whether incorporated or not, is treated as a 'person' under the Income-tax Act. Hence, BOI is treated as a separate entity for the purpose of assessment under the Income-tax Act.
What type of activities is generally done through a BOI?
We have come across situations where a group of individuals join together for conducting a one-time event such as seminar, conference, etc. forms a BOI.
Is it mandatory to file return of income?
Every BOI whether incorporated or not has to file the return of income if his total income exceeds the basic tax exemption limit.
Ready to Establish Your Non-Profit?
Our team of experts will guide you through every step of the registration process, ensuring compliance with all legal requirements.
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