Legal Framework

• Charitable Society: Registered under the Societies Registration Act, 1860 or corresponding state acts.
  
• Trust: Governed by the Indian Trusts Act, 1882 (for private) or state public trust acts (for public).

Founding Members

• Society: Requires minimum 7 members from different states (if national).
  
• Trust: Can be formed by a single individual or group of individuals.

Governance and Elections

• Society: Managed by a governing council elected periodically.
  
• Trust: Managed by trustees whose appointment is usually fixed by the trust deed.

Legal Recognition

• Societies must file annual returns and conduct meetings; amendments are easier.
  
• Trusts have fixed structures; changes often need amendments to the trust deed.

Transparency and Accountability

• Societies must submit annual reports to the Registrar of Societies.
  
• Trusts may not have mandatory filing unless governed by a public trust act.

Flexibility in Objectives

• Societies may easily expand or modify objects with members’ consent.
  
• Trusts are bound strictly by the objects mentioned in the trust deed.

Perception and Use

• Societies are often used for educational and social work requiring member participation.
  
• Trusts are common for asset-based charity work such as temples, hospitals, or shelters.

Documentation and Registration

• Society: Requires Memorandum of Association, Rules, ID/address proof of members.
  
• Trust: Requires Trust Deed, Stamp Duty, and registration with Sub-Registrar.

What is an NGO Under Indian Law

Definition and Scope

• NGO is a non-profit entity that operates independently of government to promote social welfare, education, health, environment, or humanitarian causes.

Legal Forms

• Registered as Trust, Society, or Section 8 Company.
  
• Choice depends on objective, scale of work, and preferred governance style.

Registration Process

• Must submit constitutional documents, ID/address proof, and resolutions.
  
• Registered with respective authorities based on legal structure.

Purpose and Activities

• Engage in activities for public benefit such as charity, education, healthcare, women empowerment, skill development, etc.

Tax Benefits and Recognition

• Can register under 12A for income tax exemption.
  
• Eligible for 80G certificate to offer tax deductions to donors.

Foreign Funding

• Must register under FCRA to receive foreign donations legally.
  
• Must open a designated bank account and file FCRA returns annually.

Compliance and Auditing

• Maintain proper accounts, submit annual returns, and undergo audits.
  
• Must adhere to the laws governing their chosen legal structure.

Governance and Public Accountability

• Run by a managing body, board of trustees, or directors.
  
• Required to ensure transparency, ethical conduct, and effective use of public or donor funds.