We 2-3 persons want to create a trust for social activities like Spiritual discourses, education and medical aid for poor etc. Initially when the Trust will be created there would be no property and there would be no owner. The trust will utilize the collections made by the Trustees or any charity from outside. anyone person among us could hold the funds collected. Then in Trust Deed, what should be mentioned that who will hold the funds collected (even if it is a very small amount), what should be clause in Trust deed? Who will be the Settlor in this case?
Under which Act should we create Trust ? Indian Trust Act 1882 or Charitable and Religious Trusts Act 1920?
Is “General public” be the beneficiary in this case?
Shall these 2-3 persons be trustees (who will be the owner)? Who shall be the author/authors of the Trust Deed?
Shall the Trust deed be executed on non-judicial paper? If yes, then what should be the value of paper?
Is it necessary to get the Trust registered (if it is a public trust)? With which Authority?
Is registration with Income Tax dept. (for Tax exemption) necessary?
What is the registration procedure with Income Tax dept? Time duration for registration?
Is the audit of the Trust mandatory (even if it is small trust with few funds)? Or if Income Tax is NIL on computation?
Does the TRUST have to file the income Tax return every year?
Should the method of winding up the trust be mentioned in the Trust Deed?
regards
