Start Your Journey
Legally Register Your Trust with Expert Support
Get your charitable or religious trust registered with ease. Lawfinity handles deed drafting, legal filing, 12A/80G, and post-registration compliance end-to-end.
Expert Support
Fast Service
Please Fill The Form
Know More About TRUST
Introduction and Its Compliance
A Trust is a legal and non-profit organization formed with the objective to promote a charitable, religious, educational or social cause in India. Governed by the Indian Trusts Act, 1882, a settlor drafts a Trust Deed and transfers the property to trustees who would hold it on behalf of the beneficiaries or a cause. Trusts can either be public or private, based on their objectives. At Lawfinity, we help individuals, families and institutions to form Trusts by drafting a Trust Deed for them, assisting in all the legal formalities and registering the Trust with the relevant authorities, including facilitating the 12A and 80G certification processes for tax exemption.
Why It Is Needed
Registering a Trust provides a recognized, legal structure to operate the charitable or religious function. It ensures transparency, credibility with donors and offers eligibility for government grants and tax exemptions. Lawfinity does everything from the start to end to make your philanthropic endeavours become a legal reality.
Benefits and Advantages
- Tax Benefits Registered Trusts can avail income tax exemptions under Sections 12A and 80G, making them financially viable and attractive to donors who seek deductions.
- Legal Recognition A registered Trust has a legal identity, allowing it to hold property, enter into contracts and operate independently.
- Structured Governance Trust Deeds outline roles, responsibilities and objectives, ensuring transparent governance and smooth administration.
- Public Trust and Credibility A Registration enhances the reputation of the Trust, builds confidence among beneficiaries, donors and government institutions.
- Access to Government Schemes A Registered Trusts can apply for government aid, CSR funding and welfare project collaborations.
- Perpetual Succession A Trust remains operational even with a change in trustees, ensuring long-term sustainability of charitable activities.
Eligibility Criteria
Requirements
- Any individual or group of individuals can form a Trust.
- A minimum of two trustees is recommended, though more can be appointed.
- The Trust Deed must define clear charitable objectives.
- Trust property must be clearly identified in the Trust Deed.
- Foreign nationals or entities can also create Trusts with proper FCRA compliance, if applicable.
Documents Required
Required Documents
- PAN Card and Aadhaar of settlor and trustees (KYC documents)
- Passport-size photographs of trustees
- Electricity bill/utility bill for registered address
- Ownership proof or No Objection Certificate (NOC) from the property owner
- Trust Deed drafted on non-judicial stamp paper
- ID and address proof of witnesses
- Lawfinity ensures proper document collection, drafting and filing to avoid delays or rejections.
Steps
- Consultation: Lawfinity understands your objectives and recommends the best structure and type of Trust.
- Drafting Trust Deed: Customised drafting of the Trust Deed outlining objectives, trustees and rules.
- Stamp Duty Payment: Procurement of stamp paper of appropriate value based on the trust property value and state regulations.
- Registration Process: Submitting the Trust Deed at the local Registrar's office with required documents.
- Registrar Verification: Physical presence of trustees may be required for identity verification.
- Issuance of Certificate: Post-verification, a registration certificate is issued.
- Post-Registration Support: Assistance with PAN, 12A, 80G registration and opening of a Trust bank account.
Penalties
- Failure to register the Trust may result in ineligibility for tax exemptions and legal recognition.
- Mismanagement or deviation from objectives can lead to cancellation of the Trust’s registration.
- Inaccurate financial reporting may attract penalties under the Income Tax Act.
- Not maintaining proper books of accounts and annual filings could lead to fines and scrutiny from authorities.
Timelines
Trust registration typically takes 15 to 25 working days, depending on document readiness, registrar availability and complexity of objectives. Lawfinity works efficiently to minimize delays and ensure smooth processing.
Timelines may vary depending on document verification and government approvals.
Fee
Frequently Asked Questions
Because every great business starts with the right answers.
While private Trusts may operate without registration, public charitable Trusts must be registered to avail legal benefits and tax exemptions.
A minimum of two trustees is generally required, though more can be appointed as per the Trust Deed.
Yes, but the income must be used solely for the Trust’s charitable or religious objectives.
Once registered, a Trust continues to exist until dissolved as per the terms mentioned in the Trust Deed.
12A exempts the Trust’s income from tax, while 80G allows donors to claim tax deductions on their donations.
Yes, a Trust can work nationwide if such a clause is included in the Trust Deed.
In most states, the settlor and two trustees must be physically present before the registrar.
Yes, changes to trustees or objectives can be made through a supplementary deed and subsequent legal formalities.
Yes, Lawfinity provides end-to-end services, including PAN, bank account setup and tax registrations.
Voices of Success
Hear from those who have thrived with us and discover how businesses have transformed and grown with our expert guidance and support.
Anil Yadav
Shaperz India Grain Private Limited
“From FSSAI to Trade License, Lawfinity handled all our approvals efficiently. One-stop solution for all licensing needs.”
Subscribe to Our Newsletter
Stay updated with the latest trends in legal compliance — delivered straight to your inbox.