Regarding registration of trust deed
supriya sharma
(Querist) 27 January 2014
This query is : Resolved
Sir/Ma'am,
I want to know that whether for registration of public charitable trust the property is necessary or not? and if it is necessary what would be the minimum amount of property required? I mean to say is it necessary have a land/building type property?
And please tell me the whole procedure?
malipeddi jaggarao
(Expert) 28 January 2014
A public charitable trust is usually floated when there is property involved, especially in terms of land and building. However there is no rule about minimum property required.
Legislation : Different states in India have different Trusts Acts in force, which govern the trusts in the state; in the absence of a Trusts Act in any particular state or territory the general principles of the Indian Trusts Act 1882 are applied.
Main Instrument : The main instrument of any public charitable trust is the trust deed, wherein the aims and objects and mode of management (of the trust) should be enshrined. In every trust deed, the minimum and maximum number of trustees has to be specified. The trust deed should clearly spell out the aims and objects of the trust, how the trust should be managed, how other trustees may be appointed or removed, etc. The trust deed should be signed by both the settlor/s and trustee/s in the presence of two witnesses. The trust deed should be executed on non-judicial stamp paper, the value of which would depend on the valuation of the trust property.
Trustees : A trust needs a minimum of two trustees; there is no upper limit to the number of trustees. The Board of Management comprises the trustees.
Application for Registration :
The application for registration should be made to the official having jurisdiction over the region in which the trust is sought to be registered.
After providing details (in the form) regarding designation by which the public trust shall be known, names of trustees, mode of succession, etc., the applicant has to affix a court fee stamp of Rs.2/- to the form and pay a very nominal registration fee which may range from Rs.3/- to Rs.25/-, depending on the value of the trust property.
The application form should be signed by the applicant before the regional officer or superintendent of the regional office of the charity commissioner or a notary. The application form should be submitted, together with a copy of the trust deed.
Two other documents which should be submitted at the time of making an application for registration are affidavit and consent letter.
Rajendra K Goyal
(Expert) 28 January 2014
Well advised by the expert malipeddi jaggarao ji, agree to it.
supriya sharma
(Querist) 28 January 2014
thanx malipeddi jaggarao sir !!!!
Dr J C Vashista
(Expert) 30 January 2014
Appreciating advise by the expert Mr. Malipeddi Jaggarao.
Just to add, documents of identification and the residential address and consent of Board of Management {the trustee(s)}and permission of landlord where registered office shall be there, will also be required.
supriya sharma
(Querist) 02 February 2014
Sir again i want to Know that whether it is necessary to mention regarding authority to receive further foreign donation from foreigners in trust Deed Or it is understood?
supriya sharma
(Querist) 02 February 2014
Thanks to Dr. Vashishtha ji also.
supriya sharma
(Querist) 02 February 2014
Thanks to Dr. Vashishtha ji also.
Dr J C Vashista
(Expert) 03 February 2014
Of course you will have to mention and it is not implied.
Acceptance of foriegn donation by a trust is governed by other laws e.g. FEMA, FERA etc
supriya sharma
(Querist) 11 February 2014
Thanks Dr J C Vashista sir !!!!
supriya sharma
(Querist) 11 February 2014
If any foreigner comes to India and contributes any amount directly in Foreign currency then what are the legal procedures for that? I mean to say how can we account for that amount?
malipeddi jaggarao
(Expert) 11 February 2014
All such contributions are subject to FCRA. It is too early to look into all these things.
supriya sharma
(Querist) 21 March 2014
sir can you please tell me that whether the relative of the trustee be the witness at the time of trust registration deed?
Dr J C Vashista
(Expert) 21 March 2014
Any one competant to contract can witness, irrespective of relation.
