How can I register a trust

Public Trusts, at times synonymous with foundations, can be created for public charitable purposes. There is no all India level Act for setting up public charitable trusts. Some of the states in India have enacted Public Charitable Trust Act, while most states in India do not have a trust act. An NGO can be created only under a public trust act. Madhya Pradesh and Rajasthan have independent state level public trust acts. Some states, like west Bengal and Bihar, do not have any act to register a public trust. A trust can be registered in one State, but the same may have a scope to operate in any number of States. In the state of Maharashtra and Gujarat, all organizations that are registered as ‘Society’ are by default also registered as Public Trust. The trustees are required to manage the trust and they are also liable for breach of the trust. Trustees are individually as well as collectively responsible for every action carried out on behalf of the trust.

A private trust, created under and governed by the Indian Trusts Act of 1882, aims at managing assigned trust property for private or religious purpose. A private trust does not enjoy the privileges and tax benefits that are available to public trusts or NGOs.

The basic concept of setting up a Public Charitable Trusts relies on the settler (creator or owner) of the trust setting aside some moveable and/or immovable asset to be used by the trustee (eg, administrator of the trust) for achieving the objects (must be legal purpose) of the trust as laid down by the settler. Benefits of such trusts shall be open to people irrespective of caste, creed or faith.)

Under Indian Trust Act, a settler can create a trust with his or her own personal property, designate one or more trustees and lay down the terms and conditions benefiting the identified beneficiary(ies) including one’s own child, relative or any other individual or group of individuals. Private trust or family trust is not a Public Charitable Trusts and hence does not enjoy the privileges entitled to a trust with charitable purpose.
Documents required for trust

Detail of all members or trustees of the trust with their address and PAN no.
Certified true copies of the Institution’s Registration Certificate
Certified true copies of Laws & by-laws of the Institute
Copy of income tax registration certificate.
Audited Balance Sheet and Income & Expenditure account with Audit Report of last 3 years
The original copy of Trust Deed evidencing the creation of the Trust.