Trust Registration - Madhya Pradesh
Gaurav Agarwal
(Querist) 16 February 2011
This query is : Resolved
I want to register a Public Charitable Trust in Gwalior, Madhya Pradesh. Please provide details of Charity Commissioner and attorneys who can do it.
R.venkatesh Naidu
(Expert) 17 February 2011
Ist you form a name of the trust and chosse its board of directors and other members.then you contact a good lawyer and he guided you. The terms and clauses are made very carefully before registered. After made a draft deed you go to your jurisdiction of Sub-registrar office and register it under section 17 of indian registration act. Then you proceed.
malipeddi jaggarao
(Expert) 18 February 2011
Please read the following extract before you would like to proceed so that it will give clear idea:
A. Types of Organizations
1. Trusts
Public charitable trusts can be established for a number of purposes, including the relief of poverty, education, medical relief, provision of facilities for recreation, and any other object of general public utility. Indian public trusts are generally irrevocable. No national law (except the broad principles of the India Trusts Act 1882, which governs private trusts) governs public charitable trusts in India, although many states (particularly Maharashtra, Gujarat, Rajasthan, and Madhya Pradesh) have Public Trusts Acts.
2. Societies
Societies are membership organizations that may be registered for charitable purposes. Societies are usually managed by a governing council or a managing committee. Societies are governed by the Societies Registration Act, 1860, which has been adapted by various states. Unlike trusts, societies may be dissolved.
3. Section 25 Companies
A section 25 company is a company with limited liability that may be formed for "promoting commerce, art, science, religion, charity or any other useful object," provided that no profits, if any, or other income derived through promoting the company's objects may be distributed in any form to its members.
B. Tax Laws
India’s tax laws affecting not-for-profit organizations (NPOs) are similar to the tax laws of other Commonwealth nations.
The income of certain NPOs carrying out specific types of activities is exempt from corporate income tax, with the caveat that unrelated business income is subject to tax under certain circumstances.
India also subjects certain sales of goods and services to VAT, with a fairly broad range of exempt activities. The rates range from 1 percent to 12.5 percent, with most goods and services taxed at 12.5 percent. VAT liability arises only if the total turnover of sales is Indian Rupees (Rs.) 500,000 (Rs.100,000 if the dealer is an importer).
The income tax law and the corporate tax law provide tax benefits for donors. India and the United States have signed a double taxation treaty.
Finally, NPOs involved in relief work and in the distribution of relief supplies to the needy are 100% exempt from Indian customs duty on the import of items such as food, medicine, clothing and blankets. Other exemptions may also be available.
