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A public charitable trust is usually floated when there is property involved, especially in terms of land and buildings.
Legislation: Different states in India have different Trusts Acts in force; in the absence of a Trusts Act in any particular state or territory the general principles of the Indian Trusts Act, 1882 are applied.
The trust deed: The main instrument of any public charitable trust is the trust deed, which spells out the aims, objectives and mode of management of the trust. A trust deed must specify the minimum and maximum number of trustees and how trustees can be appointed or removed. It should be signed by both the settler/s and trustee/s in the presence of two witnesses. It should be executed on non-judicial stamp paper, the value of which depends on the valuation of the trust property.
A trust comes into existence the day the trust deed is signed.
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.
The application for registration should be made to the office of the charity commissioner or the official having jurisdiction over the region where the trust is to be registered.
After providing details in the prescribed application form, the applicant has to affix a court fee stamp on the form and pay a nominal registration fee, depending on the value of the trust property.
The application form should be signed by the applicant in the presence of the regional officer or superintendent of the regional office of the charity commissioner or a notary.
The application form should be submitted with a copy of the trust Deed and an affidavit.
Charitable societies in India are registered under the Societies Registration Act of 1860, which is a federal act based on which many state governments have formulated rules to suit their own requirements. Registration rules differ from state to state. Some states for instance, require an annual renewal of registration, whereas in many others registration is a one-time process except when changes need to be notified to the registering authority.
Memorandum of association and rules and regulations: The main instrument of any society is the memorandum of association and rules and regulations (no stamp paper is required), which states the aims, objectives and mode of management of the society.
A society needs a minimum of seven managing committee members; there is no upper limit to the number of managing committee members. The board of management is in the form of a governing body or council, or a managing executive committee.
Registration can be done either at the state level (in the office of the Registrar of Societies) or at the district level (in the office of the District Magistrate or the local office of the Registrar of Societies).
The procedure varies from state to state. Generally the application should be submitted with the following documents
Sources from CAF India.
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