What we do
Our work in this practice group is structured around the records, deadlines, and decisions involved:
- Formal legal structure for eligible charitable or public welfare activities.
- Clearly defined charitable objects and trustee responsibilities.
- Drafting of the trust deed.
- Assistance with applicable trust registration formalities.
- Guidance on PAN and related statutory registrations.
- Support for evaluating 12A/12AB and 80G registrations where applicable.
- Post-registration compliance and documentation guidance.
How the engagement works
Trust registration requirements depend on the nature of the trust, its objects, and the applicable State laws and registration procedures. Public or charitable trusts may be governed by applicable State-specific public trust legislation, the Indian Trusts Act where relevant, registration laws, income-tax provisions, and other applicable regulations. Tax registrations such as 12A/12AB and 80G are separate processes and are subject to their own eligibility requirements and application procedures.
Scenario 1: Individuals or families want to establish a charitable trust for education, healthcare, social welfare, or community development.
Scenario 2: A charitable initiative wants to formalize its activities through a registered public trust.
Scenario 3: Trustees want a professionally drafted trust deed clearly defining the trust’s objectives, powers, responsibilities, and administration.
Scenario 4: An existing charitable initiative wants assistance with trust registration and subsequent PAN, 12A/12AB, or 80G-related processes.
Scenario 5: Trustees want professional guidance for maintaining proper records and complying with applicable charitable trust requirements.
Trust Structure & Objective Review
We understand the proposed charitable or public welfare activities, settlor, trustees, beneficiaries where applicable, assets, and proposed administration structure.
Trust Deed Drafting
We prepare a comprehensive trust deed covering the trust’s objects, trustee powers and duties, appointment or retirement of trustees, administration, application of income and assets, and other relevant provisions.
Trustee Documentation
We collect and verify identity and address documents, photographs, consent and declaration documents, registered office or trust address proof, and other records required for registration.
General questions
01What is a charitable trust?
A charitable trust is a legal arrangement established to hold and apply assets or income for specified charitable or public welfare objectives, subject to the applicable trust law, registration requirements, and tax provisions.
02Who can register a charitable trust?
Individuals or entities capable of establishing a trust under the applicable law can create a charitable trust, subject to the requirements relating to the settlor, trustees, trust objects, property, documentation, and registration procedure.
03What is a trust deed?
A trust deed is the foundational document that establishes the trust and sets out its objects, trustees, powers, duties, administration, management of assets, application of income, and other governing provisions.
04What documents are required for trust registration?
Common documents may include the trust deed, identity and address proof of the settlor and trustees, photographs, address or registered office proof, property-related documents where applicable, declarations, and other documents prescribed by the relevant authority.
05Is trust registration the same as 12A or 12AB registration?
No. Trust registration and income-tax registration under the applicable 12A/12AB provisions are separate processes. A registered trust must separately satisfy the relevant income-tax conditions and complete the prescribed application process.
06Can a registered trust obtain 80G approval?
An eligible charitable trust may apply for approval under the applicable 80G provisions, subject to satisfying the relevant income-tax conditions and documentation requirements. Approvals under 12AB and 80G are generally granted for a block of 5 years and are subject to periodic renewal requirements under the Income Tax Act.
07Does a charitable trust have annual compliance requirements?
Yes. Depending on its activities and registrations, a charitable trust may have requirements relating to books of account, income-tax returns, audit, donor records, trustee records, regulatory filings, and other applicable compliance obligations.
