Indian Trusts Act, 1882 regulates and administers the private trusts in India, whereas the public trusts direct the functioning of public trusts except in the state of Maharashtra and Gujarat where public trusts are governed by Bombay Public Trusts Act, 1950. In public charitable trusts, the most important instrument is the trust deed, and it is important that aims and objectives of the trust should be specified in the trust deed. There is no upper limit for the trustees in a trust, but a minimum of two trustees are always required for trust registration. The trust deed should have provision concerning the management of the trust along with the procedure of appointing or removing the members. Public trusts after registration with the income tax can avail certain tax exemptions.
The cost mentioned above is for Delhi NCR jurisdiction, however it may change according to the circumstances.
Tax exemption is one of the significant benefits of NGO’s. Whether it’s Trust, Society, or Section 8 Company, every NGO is exempted from paying Income Tax.
In the case of NGOs, these are exempted from any stamp duty during the registration process of the company. they do not need to pay stamp duty on their bye laws.
An NGO has a separate legal entity from its members. It implies that the members are only responsible for the decision and action undertaken by them and not by the members.
The liabilities of the members are limited to their amount of shares only due to feature of separate legal entity of Society. Personal account of member will not attache here.
It’s easier to start an NGO when compared to others as there are many donors who have keen interest in supporting NGOs. Therefore, there won’t ever be lack of resources.
Its quite easy to operate a Trust in India, Trust registration is easy procedure and also not required much post registration compliances as compare to other entity.
It became easy, just follow these steps to get your work done