Trust Registration in Guwahati, Assam: Requirements and Cost Explained

Most people think running a charitable trust or NGO does not require any type of legal procedure, but they are wrong about it.

To run a non-governmental organization without any issues you need to register your organization under any of these acts which are trust, society, or section 8 company.

This comprehensive blog will explain everything you need to know about trust registration in Guwahati or Assam or anywhere in India.

How Trust Registration in India Works?

The Indian government rules for registering a charitable trust is very simple and structured under the Indian Trusts Act, 1882.

The sole purpose of registering this organization is to do good deeds for the public, such as helping homeless peoples and providing them healthcare needs, educating people, and many more things.

Types of Trusts in India

There are mainly two types of trusts works in India which are private and public trusts, but there is one more type which is religious trusts that many of people do not know about:

• Private Trusts: Established in order to handle personal or family belonging on behalf of certain people and are controlled by the Indian Trusts Act, 1882.
• Public Charitable Trusts: They are often formed to benefit the community at large (through causes like education, health care or the alleviation of poverty) and are regulated by the particular public trust laws of the state in which the trust was created.
• Religious Trusts: Created to assist religious practices, ceremonies, temples, or places of worship, and concentrate on their promotion or perpetuation.

Legal Requirements for Trusted Company Registration in India

Document Needs:

For Trust Registration:

• Trust Deed (on stamp paper)
• Photograph same as Passport size of all the trustees
• PAN & Aadhaar of all trustees
• Proof of registered office address although proof of the same is provided.
• (vii) Photo identity proof (Voter ID/Passport/Driving License) of trustees.
• NOC by property owner (if premises rented)

For Section 8 Company:

• MOA & AOA
• Passport size photographs of all directors
• PAN & Aadhaar of all the directors
• DSC of directors (Digital Signature Certificate)
• Proof of the registered office address
• NOC from the owner of the premises (if not owned)

Fee Structure:

Trust Registration:

• Stamp duty on Trust Deed (varies according to state, around ₹500 to ₹1,500)
• But your copy which is being given at the time of registration will not have the signature or seal of the sub registrar.
• Professional Fees: ₹15,000/-

Section 8 Company:

• Government fee for name approval (RUN): ₹1,000
• Filing fees for ROC (depends on capital) : ₹2,000–₹7,000+
• Stamp duty (varies by state)
• Professional fees: ₹30,000/-

Other Requirements:

• Before you dive into Section 8, make sure to get your DSC and DIN sorted out ahead of time.
• To meet the requirements, you must have at least two members, trustees, or directors on board.
• The goals should focus on charity rather than making a profit.
• It’s essential to keep accurate records and make sure to fulfill annual filing requirements, particularly those for Section 8.
• If you want a tax exemption, go ahead and apply for 12A and 80G.
• There should be a distinct beneficiary and a well-defined objective in the trust.

Common Mistakes to Avoid During Trust Registration

Here are some common mistakes you can avoid during the trust company registration:

Documents Incompleteness: Applying the forms without attaching your trust deed, ID proofs, address proof causes the delay in approval.

Ambiguous Objectives of Trust Deed: Ambiguity regarding the objective of the trust deed can lead to legal and operational problems.

Less Number of Trustees: Falling short of or lacking the required number of trustees as per the state norms can result in rejection.

Wrongly Drafted Trust Deed: In a situation where the deed is not registered correctly such as not witnessed or stamped may make the trust invalid.

Lack of Guidance: If you do not consult a legal agency you may end up causing problems that can potentially affect the work.

Difference Between Trust Society and Section 8 Company

To explain this difference between trust, society and section 8 company i have created a tabular format below for easy understanding:

Final Words

In case you are planning to open a trust or an NGO, you can make it as simple and stress free by registering your trust or NGO with a reputed company registration service in Guwahati such as Regible Corporate Advisor LLP. 

Our team supports you in everything from doing the paperwork, taking you through the legal procedures, getting you the government approvals and finally the trust registration process in Assam. With Regible Corporate Advisor LLP beside you, you can be all about your mission, and we will attend towards settling the registration fast and proper.

FAQs

What are the charges for trust society registration in India?

The charges for trust or society registration in India would vary anywhere between ₹5,000 to ₹15,000, depending on state and professional services provided.

How do I register a trust in India?

You can create trust in India, by way of Trust deed, by appointing trustees and file it with the local registrar along with required documents.

How many people are needed For trust registration?

There shall be at least two trustees required for registration in India.

Which is best legal firm for trust or society registration in Guwahati, Assam?

Regible Corporate Advisor LLP appears as the best legal agency for registering trust or society in Guwahati, Assam renowned for their trustworthy professional services.

Is trust taxable in India?

In India, a registered trust is generally not required to pay any tax if complies with the rules and gets the duly commenced certificate like 12A and 80G.