Cardiff Services

Trust Registration

Trust Registration

A Trust is one of the most common forms of not-for-profit organization in India, created for charitable, religious, or social welfare purposes. Trusts are governed by the Indian Trusts Act, 1882 (for private trusts) and relevant state-specific laws (for public charitable trusts). Through a trust, the author (settlor) transfers property or assets to trustees, who manage them for the benefit of specified beneficiaries or for the advancement of a charitable cause.

 

Trust registration provides legal recognition, tax benefits, and credibility, making it easier to raise donations and grants. A registered trust can also apply for exemptions under 12A and 80G of the Income-tax Act, allowing donors to claim tax benefits.

 

At Cardiff Services, we assist individuals, families, and organizations in setting up Public Charitable Trusts by drafting the Trust Deed, filing with the local Sub-Registrar, obtaining PAN, and applying for tax registrations — ensuring compliance and credibility right from the beginning.

Key Features of Trust Registration

  • Charitable / Religious Purpose – Established for education, healthcare, relief of poverty, religion, or other social welfare activities.

  • Legal Recognition – A registered trust is recognized under Indian law and can own property, open bank accounts, and enter contracts.

  • No Profit Motive – Income and assets of the trust must be applied only towards its charitable or specified objectives.

  • Governed by Trust Deed – The rights, duties, and powers of trustees are laid down in a legally binding Trust Deed.

  • Tax Benefits – Eligible to apply for 12A and 80G registrations under the Income-tax Act, enabling exemptions for the trust and tax deductions for donors.

  • Credibility with Donors – Registration enhances transparency and trustworthiness, making it easier to secure donations and grants.

  • Perpetual Succession – Once registered, the trust continues to exist irrespective of changes in trustees.

  • Simple Structure – Compared to companies or societies, trusts are relatively simpler to manage and operate.

Documents Required for Trust Registration

  1. Trust Deed & Related Papers

    • Draft Trust Deed (clearly stating objectives, powers, and duties of trustees)

    • Two passport-size photographs of settlor and trustees

    • Signature of settlor and at least two trustees on the Trust Deed

  2. Identity & Address Proof

    • PAN Card of settlor and all trustees (mandatory)

    • Aadhaar Card / Passport / Voter ID / Driving License of settlor and trustees

    • Recent utility bill or bank statement as address proof

  3. Registered Office Proof

    • Proof of registered office (electricity/telephone bill)

    • Rent Agreement / Lease Deed (if office is rented)

    • No Objection Certificate (NOC) from property owner

  4. Supporting Documents

    • Self-attested copies of ID & address proof of witnesses

    • Resolution / consent letter of trustees for registration (if applicable)

    • Statement of assets to be endowed to the trust (cash, property, etc.)

  5. Other Requirements

    • PAN application for the trust (to be filed after registration)

    • Application for 12A and 80G exemption under the Income-tax Act (optional but recommended for tax benefits)

Step-by-Step Procedure for Trust Registration

  1. Drafting of Trust Deed

    • Prepare a Trust Deed clearly outlining:

      • Name of the Trust

      • Objectives (charitable, religious, or social welfare)

      • Details of settlor, trustees, and beneficiaries (if applicable)

      • Powers, duties, and rights of trustees

      • Rules for managing trust property and income

  2. Stamp Duty & Execution

    • Print the Trust Deed on non-judicial stamp paper of appropriate value (varies by state).

    • Settlor and trustees must sign the Trust Deed in the presence of at least two witnesses.

  3. Submission to Sub-Registrar

    • Visit the office of the local Sub-Registrar of Assurances.

    • Submit the Trust Deed along with identity, address proofs, and passport-size photographs of settlor and trustees.

    • Pay the prescribed registration fee.

  4. Verification & Registration

    • The Sub-Registrar verifies documents and witnesses.

    • Once approved, the Trust Deed is registered, and an official seal is affixed.

    • A certified copy of the registered Trust Deed is issued.

  5. PAN & TAN Application

    • Apply for a PAN card in the name of the Trust.

    • Apply for TAN if the Trust will deduct tax at source (TDS).

  6. Tax Exemptions (Optional but Recommended)

    • Apply for 12A registration to avail income-tax exemption.

    • Apply for 80G certification so donors can claim tax deductions.

    • If foreign donations are expected, apply for FCRA registration.

  7. Bank Account Opening

    • Open a bank account in the name of the Trust using the registered Trust Deed and PAN card.

Frequently Asked Questions

A company name search ensures that your chosen business name is unique, legally compliant, and not already registered with Companies House UK. It helps you avoid legal disputes, trademark issues, and confusion in the Cardiff business market.

If your desired name is already registered, you’ll need to choose a different name or modify it. Using a taken name could result in rejection by Companies House or potential legal issues. Our experts can help you brainstorm alternative names that are compliant and market-ready.

It’s not advisable to use a name that’s too similar to another company, especially within the same industry. Similar names can confuse customers and risk trademark disputes. A company name search helps you identify these risks early.

For a company name search in Cardiff, you may need:

  • Proposed company name

  • Business entity type (Ltd, LLP, Partnership, etc.)

  • Jurisdiction (Cardiff / UK)

  • Owner or shareholder details (if applicable)

  • Business description

A “high probability” result means your proposed company name is likely to be available, but further checks are recommended. This is why our detailed Cardiff Company Name Search Report includes both identical and similar names for clarity.

Certain words are restricted under UK law (e.g., “bank,” “insurance,” “government”). If you want to use them, you’ll need special approval from regulatory bodies. We guide you through this process if your Cardiff business requires such terms